Is this the same thing as variable universal life insurance?
As the name suggests, variable universal life insurance is a hybrid of variable and universal life insurance. With this policy, you can invest in the market and change the amount and frequency of your premium payments. The key difference is how you pay your premiums. You can choose to make a larger lump sum payment within the minimum and maximum limits, or use your accrued cash value to cover your premiums. This is why these policies are sometimes referred to as flexible premium variable life insurance.
Let’s say your premium is $400 per month. Once your cash value hits a certain number, you can opt to pay $100 out of pocket and use your cash value to pay the rest.