AAVUL Uses

Tax alpha is laborious and costly to deliver. Advisor-applied VUL delivers tax alpha in one step.

Both PPVUL’s and Registered AAVUL’s structure offer you a rich tool kit for executing the wealth plan in each of these important planning tasks:

Wealth Planning Task	Benefit in Using Advisor-Applied VUL
Tax Planning	A tax-free portfolio similar to what an institutional investor enjoys Instead of municipal bonds, use higher yielding investments
Education planning	As an insurance policy, it is excluded from financial aid calculations No restrictions on dependents or penalties for unused balances
Retirement income planning	Ongoing (or as needed) cash access None of an annuity’s structural restrictions, limitations, or penalties
Retirement planning	No structural contribution limits, required distributions, or penalties
Long-term care	The tax-free growth and cash access permits a less expensive policy Eliminates the need for costly inflation protection Allows LTC policy caps knowing that any additional requirement can be self-insured
Charitable giving	Inside a charitable lead annuity (CLAT) trust provides the giving characteristics of a family foundation without complexity and costs
Estate planning	The tax-free death benefit fits wealth replacement applications
Asset protection	Protection from the policyowner’s creditors In certain states, the policy is granted with strong wealth protection benefits For other states, used inside a trust or LLC, the policy is sheltered from the policyowner’s creditors The PPVUL policy is in a separate account and protected from the insurance company’s creditors