Which statements about characteristics of variable life policies are TRUE?

Variable life policies are unique insurance products that combine both life coverage and an investment component. The correct statement about these policies is that commissions and company expenses vary. This varies due to the nature of variable life policies, as they allow policyholders to choose from a range of investment options. Each investment choice can have different associated costs and commission structures, thus leading to variation based on the policyholder's selections and the insurance provider's offerings.

In variable life insurance, the investment performance can directly impact the cash value and death benefit, leading to a more dynamic expense structure compared to traditional life insurance, where costs are typically more predictable and stable.

The other statements do not align with the typical characteristics of variable life policies. Unlike traditional policies, variable life policies involve a greater degree of investment risk and exposure to equity markets, meaning they often have longer exposure periods rather than shorter ones. Additionally, while protection costs are explicitly charged in variable life policies, they are not uniform across different policies due to the variability in investment choices and charges applied. Lastly, variable life policies are distinctly different from traditional policies in terms of investment options and fund performance, leading to potential fluctuations in values, which does not reflect the similarities suggested by the statement regarding funds.