Which of the following best describes the cash value of a VUL policy?

The cash value of a Variable Universal Life (VUL) policy is influenced by the performance of the selected investment options. This means that policyholders have the flexibility to choose from various investment vehicles, such as stocks and bonds, and the returns from these investments directly impact the cash value of the policy. If the selected investments perform well, the cash value can increase significantly, but if they underperform, the cash value can also decrease.

This characteristic of a VUL policy makes it distinct from other types of life insurance, where cash values are typically more stable or guaranteed. In a VUL policy, the potential for higher returns comes with a higher level of risk, dependent on market performance. Therefore, the growth of the cash value is not fixed and can fluctuate based on investment choices, making option B the most accurate description of the cash value in this context.