What Are The Cons Of Universal Life Insurance? 
This is a great question ! I like it especially because it shows that you are carefully considering before buying . That is wisdom . This type of policy is often hyped with big numbers about what it will generate for you . The reality is far too often something different . I do not recommend these policies for my clients , and here 's why . There is very little risk on the part of the insurance company . You will bear the majority of it . Are you a skilled investor ? You are expected to be , by the insurer . Are you able to spend time watching the performance of your policy investments ? Because if you are expecting a policy that you can buy and throw in a drawer and forget about , this is n't one of them . Your premium payments need to be enough to cover the cost of the insurance , which rises steadily as the policy ages . If your investments do n't do well , you are expected to increase your payments to compensate for the losses your policy is taking . If you are n't doing that , your policy draws from the cash value it may or may not have generated . It cannibalizes itself until there is no money to cover costs , and it lapses . There are very few guarantees in this type of policy . Most will only guarantee you will have coverage for twenty years . This makes them little more than very expensive term policies . Can they generate large cash values ? Yes . Can they lose money , and go belly up , costing you years of payments ? Yes . Are you someone that is okay with trying to make this work ? If so , then this may be a policy for you . In my opinion , they are a great way for agents and insurers to make a lot of money at your expense , and that is not my way of doing business . I do not sell them , nor do I recommend them , as I do not believe in their viability as a life insurance vehicle for most people . I hope that helps , and I 'd be happy to discuss it further with you , if you 'd like to contact me . Thanks for asking ! 