Had never heard of them before until my sister-in-law mentioned them to my wife and I as we were discussing finances and retirement at a high-level. My brother and SIL, I'm guessing, are making ridiculous amounts of money (probably in the ballpark of at least $200-300k per year if not more). They recently met with a financial planner whom they trust and it was recommended to them that they get IULs; her logic is "if we're going to buy whole life insurance anyway, why not get IUL?" - I kept my mouth shut at this and quickly diverted over to using HSAs as a tax-shelter and how I may do this within the next year... Anyway, IUL *sounds* like a great idea on the surface since you can invest money into something that tracks the S&P 500 or whatever. But what about all the potential fees as well as the fact that you're still paying a premium for whole life insurance? She did point out that if you put enough money into it, since you can apparently pay more on top of the premium and it'll just go into the IUL account pre-taxed, that you could essentially cover the cost of the premium (via the interest made off of the investments) and the whole thing would end up paying for itself... that sounds a bit too good to be true, especially after reading this -
http://www.hcplive.com/physicians-money-digest/personal-finance/dahle-5-reasons-not-to-buy-iul-insuranceI don't know, are IULs just for people who are too rich and need/want something to throw their money at?