Final answer:
A whole life insurance policy must include a statement that dividends are not guaranteed, as they depend on the insurance company's financial performance.
Step-by-step explanation:
When Carol purchases a whole-life policy with a choice of dividend options, the policy is required to include a statement that the dividends are not guaranteed. Whole life insurance is a type of permanent life insurance that provides coverage for the insured's entire life, with the potential for accumulating cash value and paying dividends to the policyholder.
However, it is crucial to note that these dividends are a result of the insurance company's financial performance and are not guaranteed. Policyholders may choose from various dividend options such as receiving them in cash, using them to reduce premiums, leaving them to accumulate interest, or using them to purchase additional insurance.