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ALABAMA INSURANCE PRODUCER LICENSE TEST
(ACTAUL 2025/2026) QUESTIONS WITH VERIFIED
ANSWERS
Employer health plans must provide primary coverage for individuals with end-
stage renal disease before medicare becomes primary care for how many
months? - (answers)30 months
the sole beneficiary of a life insurance policy dies before the insured. the policy
will then go to? - (answers)The insured's estate
An insured buys a 5-year level premium term policy with a face amount of
$100,000. The policy also contains renewability and convertibility options. When
the insured renews the policy in five years, what happens to the premium? -
(answers)it increases because they are 5 years older and not fit into an older
homogenous group.
Workers Comp is regulated by? - (answers)State Government
All the following are dividend options except: - (answers)Fixed period
installments.
which of the following is NOT the consideration in a policy? - (answers)The
application given to a prospective insured.
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When the insured selects that extended term nonforfeiture option, the cas value
will be used to purchase term insurance with what face amount? - (answers)Equal
to the original policy for as long as the cash values will purchase.
When the policy premium wasn't submitted with the application, what should the
agent obtain from the insured upon policy delivery? - (answers)a statement of
good health
Which of the following is NOT among the goals of Medicare supplement
application? - (answers)Presuming the applicant is eligible for Medicaid, based on
the nature of the policy
Which clause stipulates that life insurance premiums can be paid in advance of
policy insurance? - (answers)Payment of Premium Cause
Under an extended term nonforfeiture option, the policy cash value is converted
to - (answers)the same face amount as in the whole life policy.
A new employee who meets HIPAA eligibility requirements must be issued health
coverage on what basis? - (answers)guaranteed
A man decided to purchase a $100,000 Annually Renewable Term Life policy to
provide additional protection until his children finished college. He discovered
that his policy - (answers)required a premium increase each renewal
ALABAMA INSURANCE PRODUCER LICENSE TEST
(ACTAUL 2025/2026) QUESTIONS WITH VERIFIED
ANSWERS
Employer health plans must provide primary coverage for individuals with end-
stage renal disease before medicare becomes primary care for how many
months? - (answers)30 months
the sole beneficiary of a life insurance policy dies before the insured. the policy
will then go to? - (answers)The insured's estate
An insured buys a 5-year level premium term policy with a face amount of
$100,000. The policy also contains renewability and convertibility options. When
the insured renews the policy in five years, what happens to the premium? -
(answers)it increases because they are 5 years older and not fit into an older
homogenous group.
Workers Comp is regulated by? - (answers)State Government
All the following are dividend options except: - (answers)Fixed period
installments.
which of the following is NOT the consideration in a policy? - (answers)The
application given to a prospective insured.
, 2|Page
When the insured selects that extended term nonforfeiture option, the cas value
will be used to purchase term insurance with what face amount? - (answers)Equal
to the original policy for as long as the cash values will purchase.
When the policy premium wasn't submitted with the application, what should the
agent obtain from the insured upon policy delivery? - (answers)a statement of
good health
Which of the following is NOT among the goals of Medicare supplement
application? - (answers)Presuming the applicant is eligible for Medicaid, based on
the nature of the policy
Which clause stipulates that life insurance premiums can be paid in advance of
policy insurance? - (answers)Payment of Premium Cause
Under an extended term nonforfeiture option, the policy cash value is converted
to - (answers)the same face amount as in the whole life policy.
A new employee who meets HIPAA eligibility requirements must be issued health
coverage on what basis? - (answers)guaranteed
A man decided to purchase a $100,000 Annually Renewable Term Life policy to
provide additional protection until his children finished college. He discovered
that his policy - (answers)required a premium increase each renewal
