Maximum Rollup Period

In Indexed Universal Life (IUL) insurance policies, the Maximum Rollup Period is a key element that shapes the policy's financial growth. It involves:

• Defined Time Frame: A specific duration established at the start of the policy.
• Guaranteed Minimum Interest Rate: Known as the "rollup rate," this rate is applied to the cash value during this period.

Implications for Policy Growth:

• Cash Value Accumulation: This period aims to boost the policy's cash value potential.
• Post-Period Crediting: After this period, cash value growth is linked to the performance of selected market indices.

The period is marked by predetermined factors like participation rates, caps, and floors, dictating how the policy's cash value responds to market trends.

The Maximum Rollup Period is integral to an IUL policy, providing an initial growth phase under favorable terms before transitioning to market-linked accumulation.