Variable group universal life insurance

Affordable permanent protection with growth potential

Variable group universal life insurance (VGUL) combines affordable, permanent1 life insurance with the potential to achieve cash value growth through a number of subaccount investment options. 

VGUL offers living benefits like tax-deferred growth on cash value amounts, policy loans, and tax-advantaged withdrawals from cash value.2

Why offer variable group universal life insurance?

Securian’s VGUL product combines the affordability of group life insurance with the potential for greater cash value growth through subaccount investment options. 

  • Employees can personalize their subaccount investments based on their time horizon and risk tolerance to help work toward personal financial objectives.3 
  • Employees may also take advantage of our guaranteed account, which provides a fixed rate of return.4
  • VGUL coverage may be continued if an employee leaves their employment or is no longer eligible. Premiums may be higher than those paid by active employees.

How variable group universal life insurance works

With VGUL insurance, employees can choose to pay only for the cost of the life insurance protection or build cash value by also making premium contributions above the cost of the insurance. Built up cash value can be withdrawn at any time, at any age, generally without tax penalties.4

Employees have the opportunity to allocate these additional dollars above the cost of insurance in professionally managed, variable investment options, in a guaranteed account, or both. 

Employees can choose to start, change or stop additional premiums at any time without charge.4,5 Additional contributions can be made through the convenience of payroll deduction or in lump sums.


Pay for the cost of insurance


Make additional contributions into a cash value account


Build cash value in a Guaranteed Account3; or invest additional dollars in professionally managed subaccounts. During your lifetime, access this cash value through loans and withdrawals


At your death, your beneficiaries are paid a death benefit

VGUL provides a death benefit plus investment options. If an employee chooses to accumulate cash value, additional premium contributions can be allocated to a guaranteed account and earn a minimum interest rate, or invested into a variety of variable subaccounts from well-known investment managers.

The subaccount options cover a spectrum of investment styles so employees can choose the subaccount(s) that meet their financial goals and risk profile.

The potential return depends on the performance of the separate subaccount options. Any gains in the cash value account grow on a tax-deferred basis.

The money accumulated in the cash value account can be used to meet long-term financial opportunities and obligations, and is accessible through loans and/or withdrawals.

Additional features 

Securian’s VGUL policies are customizable to each employer, allowing the selection of living benefits and features, including:

  • Guaranteed coverage
  • Waiver of premium for employees who become totally disabled
  • Continuation options for employees who change jobs or retire, including portability and conversion

1. Subject to a maximum age, which varies by policy.

2. Loans and withdrawals will reduce both the policy cash value and death benefit.

3. Investments will fluctuate and when redeemed, may be worth more or less than originally invested.

4. The guarantees for the Guaranteed Account are based on the financial strength and claims-paying ability of Minnesota Life Insurance Company or Securian Life Insurance Company, a New York authorized insurer which are important; however, they do not have any bearing on the performance of the variable subaccount. Investments in the variable subaccounts will fluctuate and the cash value available for loans, withdrawals or redemption may be worth more or less than when originally invested.

5. Typically, earnings are not taxed on the money accumulated until the money withdrawn exceeds the premiums that have been contributed to the policy.

Depending upon actual policy experience, the Owner may need to increase premium payments to keep the policy in force. Since it is primarily an insurance product, VGUL does contain fees and expenses such as management fees. fund expenses, distribution fees and mortality expense charges.

This information is a general discussion of the relevant federal tax laws. It is not intended for, nor can it be used by any taxpayer for the purpose of avoiding federal tax penalties. This information is provided to support the promotion or marketing of ideas that may benefit a taxpayer. Taxpayers should seek the advice of their own tax and legal advisors regarding any tax and legal issues applicable to their specific circumstances.

Insurance products are underwritten by Minnesota Life Insurance Company or Securian Life Insurance Company, a New York authorized insurer. Both companies are affiliates of Securian Financial Group, Inc. and are headquartered in Saint Paul, MN. Product availability and features may vary by state. Each insurer is solely responsible for the financial obligations under the policies or contracts it issues.

VGUL is distributed through Securian Financial Services, Inc., Member FINRA/SIPC. 400 Robert Street North, St. Paul, MN 55101, 1-888-237-1838.

You should consider the investment objectives, risks, charges and expenses of a portfolio and the variable insurance product carefully before investing. The portfolio and variable insurance product prospectuses contain this and other information. You may obtain a copy of the prospectus from your representative. Please read the prospectus carefully before investing.

DOFU 11-2017