AL Life Insurance Test 2025/2026 Test Bank
with 350 Recently Tested Questions and
Correct Verified Answers/ Alabama Life and
Health License Exam / AL Life Exam.Latest!!
Question:1
Insurers offering individual life insurance policies or annuities to senior citizens that use non
guaranteed elements in illustration must provide a statement to that effect. Which of the
following correct regarding this statement?
A. Non-guaranteed elements must be in bold print.
B. Guaranteed and non-guaranteed elements must be in bold print, at the discretion of the
agent.
C. Guaranteed elements must be in bold print and non-guaranteed element must be in plain
type
D. All the statement must be in plain type. - ANSWER..A. Non-guaranteed elements must be in
bold print.
Question:2
*Life insurance illustration showing premiums, valued, credits or charges that are not
determined at issue are demonstrating
A. Non-guaranteed elements
B. supplemental illustrations
C. Guaranteed elements
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,D. Minimum assumed expenses - ANSWER..D. Minimum assumed expenses
Question:3
*The rule regarding life insurance policy illustrations are intended to ensure of all following
EXCEPT:
A. Ensure that illustration are understandable by prescribing standard formats to be followed
when illustrations are used.
B. Ensure that illustrations do not misled purchasers of life insurance are specified.
C. Ensure that the disclosures that are required in connection to illustrations are specified.
D. Ensure that the illustration specifies that both guaranteed and non-guaranteed elements will
continue unchanged of all years shown. - ANSWER..D. Ensure that the illustration specifies
that both guaranteed and non-guaranteed elements will continue unchanged of all years
shown.
Question:4
All of the following are required to be included in life insurance illustrations, EXCEPT:
A. The name of the insured.
B. The page number showing its relationship to the total number of pages in the illustration.
C.The page number
D. A statement that the benefits in the illustration are guaranteed. - ANSWER..D. A statement
that the benefits in the illustration are guaranteed.
Question:5
*IF an insurer indicated that an illustration will be used, they must do which of the following?
A. Send the form to the Commissioner for approval.
B. Update and revise the policy number.
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,C. Send a summary status report to the policy owner annually.
D. Send a summary status report to the policy owner at least every 6 months. - ANSWER..C.
Send a summary status report to the policy owner annually.
* Question:6
According to California Insurance Code, an illustration used to sell life insurance must include all
the following information EXCEPT:
A) Generic policy name and form number
B) Name and address of the producer
C) A label that identifies it's as an illustration
D) The probability that illustrated non-guaranteed scenarios will occur - ANSWER..D) The
probability that illustrated non-guaranteed scenarios will occur
Question:7
Preprinted illustration used to sell non guaranteed individual annuity and life policies must
show:
A) Non guaranteed values in bold print
B)Guaranteed values in bold print and non guaranteed valued in standard print, at the election
of the agent
C)All values in standard print
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, D) Guaranteed values in bold print and non guaranteed values in standard print - ANSWER..A)
Non guaranteed values in bold print
* Question:8
Nonpreprinted illustrations selling nonguaranteed individual life and annuity policies must
include a statement the following information..
A) The illustration is an illustration only and not a prediction of actual performance
B) The illustrated interest rate is subject to change by the insurer
C) The probability stated as percentage, that illustrated nonguaranteed scenarios will occur.
D) The policyholder can except to receive the illustrated interest rate. - ANSWER..A) The
illustration is an illustration only and not a prediction of actual performance
Question:9
All of the following apply to an insurance broker (not insurance agent), EXCEPT:
A) A broker represents the insured
B) A broker can change a fee to the insured
C) A broker is appointed by an insured to transact insurance
D) A broker acts on behalf of an insurer - ANSWER..D) A broker acts on behalf of an insurer
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with 350 Recently Tested Questions and
Correct Verified Answers/ Alabama Life and
Health License Exam / AL Life Exam.Latest!!
Question:1
Insurers offering individual life insurance policies or annuities to senior citizens that use non
guaranteed elements in illustration must provide a statement to that effect. Which of the
following correct regarding this statement?
A. Non-guaranteed elements must be in bold print.
B. Guaranteed and non-guaranteed elements must be in bold print, at the discretion of the
agent.
C. Guaranteed elements must be in bold print and non-guaranteed element must be in plain
type
D. All the statement must be in plain type. - ANSWER..A. Non-guaranteed elements must be in
bold print.
Question:2
*Life insurance illustration showing premiums, valued, credits or charges that are not
determined at issue are demonstrating
A. Non-guaranteed elements
B. supplemental illustrations
C. Guaranteed elements
1|Page
,D. Minimum assumed expenses - ANSWER..D. Minimum assumed expenses
Question:3
*The rule regarding life insurance policy illustrations are intended to ensure of all following
EXCEPT:
A. Ensure that illustration are understandable by prescribing standard formats to be followed
when illustrations are used.
B. Ensure that illustrations do not misled purchasers of life insurance are specified.
C. Ensure that the disclosures that are required in connection to illustrations are specified.
D. Ensure that the illustration specifies that both guaranteed and non-guaranteed elements will
continue unchanged of all years shown. - ANSWER..D. Ensure that the illustration specifies
that both guaranteed and non-guaranteed elements will continue unchanged of all years
shown.
Question:4
All of the following are required to be included in life insurance illustrations, EXCEPT:
A. The name of the insured.
B. The page number showing its relationship to the total number of pages in the illustration.
C.The page number
D. A statement that the benefits in the illustration are guaranteed. - ANSWER..D. A statement
that the benefits in the illustration are guaranteed.
Question:5
*IF an insurer indicated that an illustration will be used, they must do which of the following?
A. Send the form to the Commissioner for approval.
B. Update and revise the policy number.
2|Page
,C. Send a summary status report to the policy owner annually.
D. Send a summary status report to the policy owner at least every 6 months. - ANSWER..C.
Send a summary status report to the policy owner annually.
* Question:6
According to California Insurance Code, an illustration used to sell life insurance must include all
the following information EXCEPT:
A) Generic policy name and form number
B) Name and address of the producer
C) A label that identifies it's as an illustration
D) The probability that illustrated non-guaranteed scenarios will occur - ANSWER..D) The
probability that illustrated non-guaranteed scenarios will occur
Question:7
Preprinted illustration used to sell non guaranteed individual annuity and life policies must
show:
A) Non guaranteed values in bold print
B)Guaranteed values in bold print and non guaranteed valued in standard print, at the election
of the agent
C)All values in standard print
3|Page
, D) Guaranteed values in bold print and non guaranteed values in standard print - ANSWER..A)
Non guaranteed values in bold print
* Question:8
Nonpreprinted illustrations selling nonguaranteed individual life and annuity policies must
include a statement the following information..
A) The illustration is an illustration only and not a prediction of actual performance
B) The illustrated interest rate is subject to change by the insurer
C) The probability stated as percentage, that illustrated nonguaranteed scenarios will occur.
D) The policyholder can except to receive the illustrated interest rate. - ANSWER..A) The
illustration is an illustration only and not a prediction of actual performance
Question:9
All of the following apply to an insurance broker (not insurance agent), EXCEPT:
A) A broker represents the insured
B) A broker can change a fee to the insured
C) A broker is appointed by an insured to transact insurance
D) A broker acts on behalf of an insurer - ANSWER..D) A broker acts on behalf of an insurer
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