Is it a wise decision to invest in an Index Universal Life Policy?

I'm considering an IUL policy. I am 27 years old and want to use it not only as a retirement plan, but as an investment. What is your take on IULs? Do you have one?

Investing, Life Insurance
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First, do you have a need for life insurance? If so, and you can afford it, a IUL can be a good choice. I personally have an IUL because I have a need to provide life insurance, and I like the cash value build up for retirement. With that said, it is not the only thing I have for retirement. The IUL is the fixed income portion of my portfolio and the equity and bond portions are in my 401(k) and Roth IRA. I'm sharing this with you to suggest that the IUL should be only a part of your retirement plan, not your only retirement plan. Also, shop the insurance companies. You want one with easy to understand index accounts, financially sound with "A" ratings or better from A.M. Bests, and with an experienced agent who has been in the insurance business for a while. Good Luck, at your age, if you stick with it, you will experience some substantial compounding and have a nice nest egg in your later years.

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