Alabama Insurance License
The Alabama insurance license exam, in plain numbers.
Everything below is specific to Alabama — the pass mark, the question counts, who runs the exam, and what the state requires before and after you sit it.
What you need to pass in Alabama
| Edition | Scored questions | Correct to pass | Pass mark | Misses allowed |
|---|---|---|---|---|
| Life & Health | 150 | 105 | 70% | 45 |
Administered by the Alabama Department of Insurance testing program for the Alabama Department of Insurance. Time limit: 3 hours (180 minutes). Roughly 20 of the scored questions (13%) come from Alabama law — the block national courses cover most lightly.
Prelicensing
Not required. Alabama eliminated mandatory prelicensing education effective January 1, 2024.
Continuing education
24 hours every two years, including 3 hours of ethics.
License term
2 years
Regulator
The Alabama Department of Insurance oversees licensing, headed by serves at the appointment of the Governor.
Alabama Life & Disability Insurance Guaranty Association (ALDIGA)
If an insurer fails, these are the limits that apply to Alabama policyholders. Verified against the NOLHGA state-by-state table dated 1 June 2025.
| What is protected | Limit |
|---|---|
| Life insurance death benefit | $300,000 |
| Life insurance cash surrender value | $100,000 |
| Hospital, medical, surgical, or major medical | $500,000 |
| Disability income and long-term care | $300,000 |
| Other health insurance benefits | $100,000 |
| Annuity benefits (present value) | $250,000 |
The Study Guide
Written for Alabama, not for everyone.
Every rule explained in ordinary English before the terminology arrives. If two things are easy to confuse, we tell them apart in a sentence. No insurance background assumed.
You get two PDFs: a study guide that teaches the material, and a practice exam whose answer key explains why each answer is right. Printable flashcards, a master sheet of every number worth memorizing, and a four-week study plan are included.
Twisting versus churning. Twisting involves lying to move a customer, usually to a different company. Churning happens inside the same company and is about generating commission. If the question mentions misrepresentation, it is twisting. If it mentions the same insurer, it is churning.
Alabama insurance exam questions, answered
How many questions are on the Alabama insurance license exam?
The combined life and health exam has 150 scored questions. You need 105 correct to pass at 70%, which means you can miss 45.
What is the passing score for the Alabama insurance exam?
70%. That works out to 105 correct answers out of 150 scored questions.
Who administers the Alabama insurance license exam?
the Alabama Department of Insurance testing program, on behalf of the Alabama Department of Insurance.
Does Alabama require prelicensing education?
Not required. Alabama eliminated mandatory prelicensing education effective January 1, 2024.
How much continuing education does Alabama require?
24 hours every two years, including 3 hours of ethics.
Is there a Alabama life-only or health-only exam?
No. Alabama tests life and health together as one combined exam, so there is no single-line edition.
How much does a Alabama study guide cost?
A single-line guide is $9.99 and the combined life and health guide is $19.99. Each includes a study guide and a practice exam with a full answer key.
These are independent study aids. They are not state-approved prelicensing education courses and do not satisfy any state prelicensing requirement. They are not affiliated with any exam vendor or state insurance regulator. All practice questions are original. We publish no pass-rate claim and make no guarantee of any exam result. Content verified as of August 2026 — confirm current requirements with the Alabama Department of Insurance.