Alabama Producer Life Examination (Life Only Exam), state-designed exam administered at University of Alabama test centers
The Alabama life insurance exam.
The Alabama life insurance exam is 125 scored questions, in 150 minutes, passing at 87 correct of 125, $50 per attempt. We sell study materials and practice exams for it, written from the official Alabama outline. The first questions are free, and the full License Pass is $149, yours until you pass. Below are the licensing steps, exactly what the exam covers, and free practice questions written to this state's outline.
At a glance
| Exam | Alabama Producer Life Examination (Life Only Exam), state-designed exam administered at University of Alabama test centers |
| Scored questions | 125 |
| Pretest questions | varies |
| Time limit | 150 minutes |
| Passing score | 87 correct of 125 (per ALDOI outline); Ala. Admin. Code 482-1-147-.06 defines passing as a weighted score of 70 or more out of 100 |
| Exam fee | $50 |
| Testing vendor | state-run |
| Retake rules | After 2 failures of an exam for a line of authority: 90-day wait before retesting; after 4 failures: 180-day wait before each subsequent attempt; the waiting-period count starts over 24 months after the last failure. Applies across related exams (e.g., failing Life twice also blocks the combined Life & Health exam). |
| Prelicensing education | not required for the life line |
Verified against official state materials, Industry Advisory Committee review 8/8/2023 (retake rules and passing-grade rule from Ala. Admin. Code 482-1-147, revised 1/1/24). Specs change; confirm when you register.
How to get your Alabama life insurance license
- 1
Meet the basics
Be 18 or older and able to pass the background screening. Alabama handles licensing through the NIPR system like most states.
- 2
Study the exam outline
Alabama does not require prelicensing education for the life line, so your preparation is the whole game. Study the official outline below and drill practice questions until every section holds.
- 3
Book the exam with the testing vendor
Register, pick a test center or online proctoring where offered, and pay the $50 exam fee.
- 4
Pass the exam
Walk in knowing the format, 125 scored questions in 150 minutes, passing at 87 correct of 125. About 62% of first-time life exam takers pass nationally (NAIC, latest published data).
- 5
Apply for the license and get appointed
Submit the license application (fingerprints where required), then get appointed with carriers so you can write business.
What the Alabama exam covers
From the official exam outline, each section's share of the exam and how many of the 125 scored questions it earns.
| Section | Weight | Questions |
|---|---|---|
| Part I - General - Life and Health Insurance | 22% | 27 questions |
| Part II - Life Insurance | 64% | 80 questions |
| Part IV - Alabama Insurance Law | 14% | 18 questions |
Free Alabama practice questions
Original questions written to the Alabama outline, the same bank our students drill. Tap a question to check the answer.
Question 1Marcus lies on his life insurance application about a serious heart condition, and the insurer would not have issued the policy had it known the truth; this is an example of:
- A. A material misrepresentation
- B. A permissible representation
- C. A warranty
- D. An estoppel
Show the answer
Answer: A
A misrepresentation is material when the true facts would have changed the insurer's decision to issue the policy, which is exactly what happened here. It is not a permissible representation because the false statement was material. It is not a warranty, which is a guaranteed statement. Estoppel prevents someone from denying facts they previously acted on, which does not apply to this false statement by the applicant.
Chapter 3: Underwriting and the Application - material misrepresentation
Question 2What does the Alabama Life and Disability Insurance Guaranty Association do?
- A. Insures producers against errors and omissions
- B. Protects policyholders if a member insurer becomes insolvent
- C. Guarantees investment returns on cash value policies
- D. Pays commissions if an insurer fails to pay the producer
Show the answer
Answer: B
The guaranty association steps in to protect policyholders, within limits, when a member insurer becomes insolvent. It does not provide producer errors and omissions coverage. It does not guarantee investment performance or cash value gains. It does not exist to pay a producer's commissions.
Alabama Life and Disability Insurance Guaranty Association Act (Ala. Code Title 27, Chapter 44)
Question 3How does a universal life policy differ from a traditional whole life policy regarding premium payments?
- A. Universal life requires a fixed premium while whole life allows flexible premiums
- B. Universal life allows flexible premiums while whole life requires a fixed scheduled premium
- C. Both require the exact same fixed premium every year
- D. Neither allows the owner to build cash value
Show the answer
Answer: B
Universal life is a flexible feature policy that lets the owner vary premium payments, while traditional whole life uses a fixed scheduled premium. The reverse statement is wrong. They do not require identical fixed premiums. Both actually build cash value, so the last choice is incorrect.
Alabama outline Part II Chapter 5 - Flexible Feature Life Policies (universal vs whole life concept)
Question 4Karen's life policy application listed her age incorrectly, and she dies while the policy is in force; the misstatement of age provision requires the insurer to do what?
- A. Void the policy and refund all premiums
- B. Deny the claim entirely because of the error
- C. Adjust the death benefit to the amount the premiums paid would have purchased at her correct age
- D. Pay the full face amount with no change
Show the answer
Answer: C
When age is misstated, the benefit is adjusted to what the premiums actually paid would have bought at the correct age. This is fairer than voiding the policy and does not require a full denial. Voiding and refunding premiums is not how age errors are handled. Denying the whole claim would be too harsh and is not the rule. Paying full face without adjustment ignores the correction.
Concept: misstatement of age provision. Ala. Code Title 27, Chapter 15 (life policy provisions).
Question 5Which policy option allows a policyowner to receive a portion of their premium back as a return of overcharge when the insurer performs better than expected?
- A. Nonforfeiture option
- B. Policy dividend
- C. Settlement option
- D. Automatic premium loan
Show the answer
Answer: B
A policy dividend is a return of surplus paid to owners of participating policies, essentially a refund when the insurer's actual costs are lower than expected. A nonforfeiture option deals with the cash value if the policy lapses, not a dividend. A settlement option is how death or maturity proceeds are paid out. An automatic premium loan uses cash value to pay a missed premium, not a refund to the owner.
Part II - Life Insurance > Chapter 7: Policy Options (dividend options concept)
Take the free Alabama practice test, every question with the answer and the explanation
Alabama exam FAQs
How many questions are on the Alabama life insurance exam?
125 scored questions, with 150 minutes on the clock.
What score passes the Alabama exam?
You need 87 correct of 125 to pass.
How much does the Alabama life insurance exam cost?
The exam fee is $50 per attempt, paid to the testing vendor. Licensing application and fingerprint fees are separate.
What happens if I fail the Alabama exam?
After 2 failures of an exam for a line of authority, 90-day wait before retesting; after 4 failures, 180-day wait before each subsequent attempt; the waiting-period count starts over 24 months after the last failure. Applies across related exams (e.g., failing Life twice also blocks the combined Life & Health exam). About 62% of first-time life exam takers pass nationally (NAIC, latest published data). Failing once is common, and the fix is drilling the sections your score report names.
Does Alabama require prelicensing education before the exam?
No. Alabama does not require prelicensing education for the life line, which means how you study is up to you and practice exams carry more of the load.
What RingReady is, and is not
RingReady sells study materials and practice exams for the life insurance licensing exam. We are not a state-approved prelicensing education provider, and practicing here does not by itself satisfy any state's education requirement.
If your state requires prelicensing education, you must complete it with an approved provider; your state insurance department publishes the approved list. What we do is make sure that when you sit down for the real exam, the questions feel familiar.
Practice the Alabama exam until it feels familiar.
Practice questions written to every section of the outline above, full timed practice exams matched to the real format (125 questions, 150 minutes), and a mastery map that shows what to study next.
A free placement plus free practice questions. No card to start.