The Truth Behind Kyle Busch’s $8.5M IUL Lawsuit

Index Universal Life (IUL) is under fire after Kyle Busch sued Pacific Life over an $8.5M “loss,” claiming his IUL policy imploded. In this video, MoneySmartGuy Matt Sapaula breaks down the Kyle Busch IUL lawsuit, the Pacific Life index universal life strategy, and whether IUL is really a scam or just bad design and misalignment.

I walk through:

✅ How Kyle & Samantha Busch say they lost $8.5 million in their Pacific Life IUL
✅ Why the policies were owned inside an ILIT (irrevocable life insurance trust)
✅ How an ILIT estate planning strategy collided with a “retirement income” IUL pitch
✅ The impact of early 1035 exchanges and surrender charges
✅ What this case really says (and doesn’t say) about index universal life policies
✅ Why “buy term and invest the difference” often fails real families in the real world

Matt is a licensed life insurance agent (not a financial advisor or attorney) with over two decades in the industry. He’s seen both properly structured IUL change families’ lives and badly designed plans blow up.

If you own an IUL, sell IUL, or you’re thinking of cancelling your index universal life policy because of this Kyle Busch / Pacific Life lawsuit, watch this before you react to headlines.

✅ In this video you’ll learn:

✅ When IUL can be a powerful tool for tax-advantaged accumulation and legacy
✅ When permanent life insurance is a terrible fit
✅ How banks, corporations, and the wealthy actually use cash value life insurance
✅ The real dangers of misalignment, misrepresentation, and bad expectations

👉 Before you cancel your policy or swear off permanent life insurance, get clarity, not fear.

If this helped, drop “CLARITY” in the comments, tell us your biggest takeaway, and share this with someone freaking out over IUL right now.

TIMESTAMPS

00:00 – $8.5M IUL “Implosion” – What Happened?
00:48 – Disclaimer: What Matt Is (and Isn’t)
01:48 – Kyle Busch vs Pacific Life: Lawsuit Basics
02:20 – ILITs Explained: Estate Planning vs Retirement Income
04:41 – Alleged Promises, Multipliers & “Self-Sustaining” IUL
06:00 – 1035 Exchanges & Surrender Charges: The Hidden Risk
09:00 – Where’s the Signed IUL Illustration?
10:33 – Who Pacific Life Really Is in Advanced Markets
12:15 – Reacting to Kyle & Samantha Busch’s Video
14:58 – “Buy Term & Invest the Difference” vs Reality
18:07 – Answering the Biggest Anti-IUL Arguments
23:39 – How the Wealthy Actually Use Permanent Life Insurance
25:36 – The Real Lesson: Alignment, Design & Stewardship

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Matt Sapaula is not a registered investment advisor and does not offer or sell securities, nor provide investment advice. All investment-related services or discussions are strictly limited to securities exempt from registration. Investment services, if provided, are exclusively offered to accredited investors under the Illinois Securities Act of 1953.

The information shared on this channel is for educational and informational purposes only and should not be construed as personalized financial advice. Always conduct your own due diligence and consult a licensed financial professional before making financial decisions.

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