Which statement is most accurate regarding withdrawal values from a variable life insurance policy?

Withdrawal values from a variable life insurance policy are contingent upon multiple factors, particularly market performance and any associated policy fees. Unlike traditional whole life policies, which often have guaranteed values, variable life insurance products are linked to investment accounts that can fluctuate in value based on the performance of the underlying investments, such as stocks, bonds, or mutual funds.

As the policy owner contributes premiums, the available cash value can grow or decline depending on how these investments perform over time. Additionally, policy fees, including cost of insurance, administrative fees, and any other charges, will affect the ultimate withdrawal value accessible to the policyholder. This means that if the investments perform well, the withdrawal values may be higher, while poor performance can lead to reduced values, all of which is integral to understanding how variable life insurance operates in terms of cash value withdrawals. This is why the statement emphasizing the dependency on market performance and policy fees is the most accurate.