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Tag Archives: Modified Endowment Contract

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  2. Entries tagged with "Modified Endowment Contract"

A series of increasingly larger life insurance shields represents the additional death benefit created through future IUL JUMPs.

Why Does the IUL JUMP Strategy Increase the Death Benefit Over Time?

Indexed Universal Life Insurance, Retirement InsightsBy Dr. Dylan FosterSeptember 25, 2026Leave a comment

Why does the IUL JUMP Strategy increase the death benefit over time? Learn how planned death-benefit increases can create additional policy funding capacity, how MEC rules enter the equation, and why future JUMPs can require new underwriting.

IUL policy-funding gauge showing the MEC limit and why crossing it can change the taxation of retirement distributions.

What Is a MEC in an IUL? Why It Matters for Retirement Income

Indexed Universal Life Insurance, Retirement InsightsBy Dr. Dylan FosterSeptember 22, 2026Leave a comment

What happens if an IUL becomes a MEC? Learn how the 7-pay test works, why MEC status changes the federal tax treatment of distributions, and why policy funding and death-benefit design matter.

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