Variable universal life insurance is a type of insurance coverage that accrues a cash value that can be split into several different types of investment accounts, creating an individual pension portfolio.The investments will be over the stock and bond markets, so the potential of the value to vary is high.
The tax that would legally be required to be paid on different stocks and bond dividends would not be due and payable if the investments were made under the variable life insurance package and instead would be subject to taxes that are assessed on pensions, which would be lower.