re: Indexed Universal Life policy. Who has done it?

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There are some concepts out there where you fund these policies to the point where the value is high enough to loan yourself an income stream….and the loans aren’t taxable. They reduce the face value at death. I looked into it and still couldn’t figure out how this would create more value than just investing the money other than maybe internal caps on market losses and tax free accumulation? The amount you need to pay in premium over time is substantial to get to that point.

Still too many hands in the pot IMO.

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I get that.

But the loans have interest.
If you pull out $10,000, you may feel like you avoided taxes.
But you would be paying interest every single year until the loan is paid back or you cancel the policy (which converts the loan to a taxable withdrawal) or you die (which subtracts the loan from the death benefit).

Retire at 65. Borrow $50,000 and pay back interest on that loan for 25-35 years?

As you said... the policy would need to be massive to keep itself from imploding in itself (funds to cover cost of permanent life insurance, funds to cover annual policy management fees, funds to cover interest on loans, and the borrowed funds are deducted from the balance to sustain that).