Variable Universal Life Insurance

Offer clients protection, growth, and income potential.

Variable universal life (VUL) insurance offers long-term savings potential that can be used later on as supplemental retirement income—or to fund nonqualified executive benefits for high income-earning key employees. Benefits Include:

  • Flexibility with a more aggressive cash value accumulation strategy
  • Options to access tax-deferred cash values without penalty
  • Ability for clients to set their investment strategy

Principal Variable Universal Life Income IVSM

VUL Income IV offers long-term market-based cash value growth and efficient income distribution and is ideal for ages 35-55 and high income earners. This product is approved in all states.

Principal Executive Variable Universal Life III

Executive VUL III offers funding for business-owned/sponsored solutions and is ideal for businesses seeking ways to attract, reward, and retain key employees.

Executive VUL III is used as a financing solution for a variety of business needs including:

  • Corporate-owned life insurance (COLI) for nonqualified deferred compensation. Learn more.
  • Corporate-sponsored solutions to help retain and retire key employees or prepare for planned and unplanned ownership transition events.

This product is approved in all states.

Target market

  • Small to midsize (SMB) clients seeking ways to attract, reward, and retain key employees
  • Financing option for business planning concepts, including:
    • Bonus plans for for-profit or tax-exempt organizations
    • Bonus (LLC Member or S Owner)
    • Deferred Comp (Incentive Bonus, Select Reward, or SERP)
    • Exit planning concepts such as Multi-Owner Buy-Sell and Entity Purchase when living benefits, as well as death benefits, are important
    • Key Person and ESOP Repurchase for business protection

Riders and endorsements

Learn more about the available riders and endorsements for these products.

Some things clients should consider:

  • VUL policies have less predictability than standard life insurance policies.
  • Investors who can assume additional risk may prefer VUL policies for their tax advantages.
  • There’s risk of cash value loss.
  • Premiums can possibly increase.
  • There may be higher fees and charges than other types of life insurance.

Working with Principal®

We're more than just products.  It's about the service you'll receive from Principal and the experience, education, and ease of doing business.

To get started, contact your internal sales team at 800-654-4278.

Important information

All investments involve risk, including loss of principal.

Before investing, carefully consider the investment option objectives, risks, charges, and expenses. Contact a financial professional or visit principal.com for a prospectus or, if available, a summary prospectus containing this and other information. Please read it carefully before investing.

Variable life insurance is subject to market risk, including the potential loss of the principal invested.

No investment strategy such as asset allocation or diversification can guarantee a profit or protect against loss in periods of declining value.

In exchange for the death benefit, life insurance products charge fees such as mortality and expense risk charges and surrender fees.

All guarantees are subject to the claims-paying ability of the issuing life insurance company.

The policy rider descriptions are not intended to cover all restrictions, conditions or limitations that may apply. See the policy and rider for full details. Riders are subject to state variations and may not be available in all states. Some riders may require additional premium.

Insurance products issued by Principal National Life Insurance Company (except in NY), Principal Life Insurance Company®, and the companies available through the Preferred Product Network, Inc. Plan administrative services offered by Principal Life. Securities offered through Principal Securities, Inc., member SIPC, and/or independent broker/dealers. Referenced companies are members of the Principal Financial Group®, Des Moines, IA 50392. Guarantees are based upon the claims-paying ability of the issuing insurance company. For financial professional use only. Not for public distribution.