I have a '95 Grand Cherokee and I've had my share of electrical issues. Some I've been able to fix but a few I've given up on!
They 'refreshed' the JGC for '96, so I'm not sure how much they changed regarding the layout of the fuses and electical system (if any). My fuses are located on the side of the passenger side of the dash and you have to open the passenger door to see the panel. Under the hood, there is also a fuse box that Jeep refers to as the "Power Distribution Center". Again, I'm not sure if your '96 has the same setup, but if so I'll share what little I know with you.....
In the Power Distribution Center- Fuse #7 controls the Headlight System and it should be a Green 30amp fuse. Also, Relay 'A' and Fuse #15 control the Fog Lamps, which may or may not apply to you, but couldn't hurt to check.
In the fuse box located inside the car, Fuse #12- 15amp blue; #19- 15amp blue are the two fuses related to the headlights. It couldn't hurt to also check #7 (flash-to-pass) also 15amp blue and even #21 (lamp outage module) - 15amps blue.
At least once, I've lucked out and fixed my problem just by removing and replacing all the fuses in the box with brand new ones. None of the old ones appeared to be blown, but there was obviously at least one with a problem. I figured after almost 16 years, the fuses may fail even if they're not blown (whether they just come unseated, have corrosion of some kind or whatever).
My radio stops working for long periods of time and that's one I've never been able to fix! Sometimes it would be working and when I'd turn on the wipers or headlights (or even a turn singal) - it would go out and wouldn't work again for days or weeks! My overhead console (with the compass and trip computer) doesn't start working for at least 10 minutes after you start the vehicle. It's just blank for the first 10-12 minutes of driving then it comes on and works perfectly after that....fun, fun!
Hope this helps...headlights are kinda important! =)