An Indexed Universal Life insurance policy (IUL) is a versatile financial tool that offers a multitude of benefits. Here are five core benefits that make an IUL the Swiss Army Knife of investing:

1. Permanent Life Insurance to Protect Your IncomeAn IUL provides permanent life insurance. Unlike term life insurance, which only covers you for a specific period, an IUL policy lasts for your entire life. This means that as long as the premiums are paid, your beneficiaries are guaranteed a death benefit. This can provide significant peace of mind, knowing that your income will be protected for your loved ones no matter what happens.

2. Asset Protection with Long Term Care (LTC) Policy RiderAn IUL with an LTC rider offers a cost-effective way to protect your assets. Long term care can be incredibly expensive, and without insurance, it can quickly deplete retirement savings or even lead to bankruptcy. By adding an LTC rider to your IUL policy, you can secure affordable long term care coverage. This rider allows you to use your death benefit while you’re still alive to pay for long term care, protecting your assets from being wiped out by these costs.

3. Asset Growth with a 0% FloorOne of the unique features of an IUL policy is its ability to grow your assets like an index fund, but with a 0% floor. This means that even if the market goes down, your policy won’t lose value. This provides a safe, stable way to grow your assets over time, without the risk of losses associated with direct investments in the stock market.

4. Tax-Free Growth and LoansThe money inside an IUL policy grows tax-free. This means you don’t have to pay state, federal, or capital gains taxes on the growth of your cash value. Furthermore, you can take out loans against your policy, secured by the cash value. These policy loans are tax-free, providing a flexible, tax-efficient way to access your funds when you need them.

5. Tax-Free Death BenefitUpon death, the death benefit from an IUL policy is paid out to the beneficiaries completely tax-free. This can provide significant financial relief to your loved ones during a difficult time, helping them cover expenses and maintain their standard of living without the burden of taxes.

In conclusion, the properly structured IUL policy offers a powerful combination of benefits, making it a versatile tool in any financial strategy. From income protection and asset growth to tax advantages and long-term care coverage, the IUL truly is the Swiss Army Knife of investing.