Variable Universal Life Insurance: A Costly Gamble That Could Leave You Empty Handed

Variable Universal Life (VUL) insurance is marketed as a flexible policy offering both life coverage and investment potential, but in reality, it can be a costly gamble. Premiums are often high, and investment options within the policy are subject to market volatility—meaning your cash value can shrink dramatically. Hidden fees, administrative costs, and required minimum premiums can erode your returns. Without strong market gains or careful management, your policy could lapse or deliver minimal benefits, leaving you underinsured and out of money. For many, VULs are complex, risky, and better avoided in favor of simpler insurance options.