What is the difference between IUL and whole life insurance?

Whole life is generally more predictable, since growth is guaranteed regardless of market performance, while IUL has more growth potential in good years but also more variability and complexity due to caps, participation rates, and changing costs of insurance.

The right choice depends on whether you prioritize predictability and simplicity (whole life) or are comfortable with more complexity in exchange for potentially higher, market-linked growth with a downside floor (IUL).