Answer:
Variable life insurance can be described as a type of insurance which is permanent and builds up a cash value. The cash value account is invested into different sub-accounts which depends on the policy.
The advantage of the variable account is that it has the potential to grow as the investments in the sub- accounts grow. But its disadvantage is that if the underlying investments drops, then the cash value also drops.
The high fees can be avoided by using a budget plan and choosing a policy according to it. A person can avoid the high fees by purchasing lower-cost term insurance and investing the cost difference.
