Index Universal Life Insurance (IUL) is a type of permanent life insurance that was introduced in the 1990s. The history of IUL can be traced back to the development of the universal life insurance policy in the 1970s.

Universal life insurance was designed to be more flexible than traditional whole life insurance. It allowed policyholders to choose the amount and timing of premium payments, and also offered the potential to earn interest on the policy’s cash value.

In the 1990s, some insurance companies began to offer IUL policies. IUL policies are similar to traditional universal life policies, but they offer the potential to earn interest based on the performance of a stock market index, such as the S&P 500. This means that policyholders have the potential to earn higher returns than they would with a traditional universal life policy, while also being protected from market downturns.

IUL policies quickly gained popularity, particularly among investors who were looking for ways to grow their wealth while also protecting their families with life insurance. Today, IUL policies are widely offered by insurance companies and are a popular choice for many consumers.

It is important to note that IUL policies are complex financial products that may not be suitable for everyone. Before investing in an IUL policy, it is important to carefully consider your financial goals and consult with a financial advisor to determine if an IUL policy is right for you.