Tax-Advantaged Growth

Tax-Advantaged Growth refers to the increase in the cash value of the policy that accumulates on a tax-deferred basis. This means that the earnings from the investments linked to the policy, such as stock market indices, are not subject to taxes as they grow within the policy. Policyholders can benefit from the compounding growth of their investment without the immediate tax implications. This tax-deferred growth can enhance the overall accumulation of cash value within the IUL policy, which can later be accessed through loans or withdrawals, potentially in a tax-advantaged manner.