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I am interested in hearing from some old dogs about their views on VUL. I guess I'm still drinking the koolaid and think it can work, the problem is that a lot of reps I see have a hard time max-funding (less commission on lower DB).
I think it can work.....If properly funded (if not max funded), and the client can refrain from touching the CV for a while.
These policies never seem to turn out very good for the clients. On occasion, they work for estate planning, if the client is willing to accept more risk than they may get in a standard UL. For accumulation / family protection, they are less desirable and don't seem to work out as planned. Term and Invest works best for those situations IMO.
As with most of these products, it depends on the purpose. It isn't for everyone.
Legend, why do you not like it? Care to expand?
Don't think I'd ever use VUL in estate planning,..pretty much exclusively use GUL in an ILIT. CoolJ, have you had any VUL's go bad on you? What happened? I think if you can consistently over fund and stay away from the CV for a while, it could work (though I admit I'm too young to have seen one go as planned). All of this is, of course, easier said than done.
Some of the older reps that I work with complain about their VUL's they have sold in the past, but in each case the client either A) stopped funding the policy properly and/or B) dipped into the CV much too early.