Premium Type

Premium Type in Indexed Universal Life (IUL) insurance refers to how payments are structured by the policyholder. Fixed Premiums are consistent payments that ensure an active policy and a guaranteed death benefit. Flexible Premiums allow policyholders to adjust payment amounts and frequency, catering to income fluctuations and desires to increase cash value accumulation. Single Premiums involve a one-time, lump-sum payment, often viewed as an investment to grow the policy's cash value. These premium types influence the policy's cash value, death benefits, and financial planning flexibility.