A Massachusetts producer recommends that a client replace an existing Medicare supplement policy with a new one from a different insurer. Under the Medicare supplement replacement provisions of 211 CMR 71.13, what is required in this situation?

Why C is correct

211 CMR 71.13 places Medicare supplement replacement within the Massachusetts Division of Insurance's disclosure framework: when an existing Medicare supplement policy is to be replaced, the replacement procedures and disclosures must be followed so the applicant makes an informed decision about switching. Replacement is not banned, but neither is it a casual transaction — the disclosure obligations exist precisely because switching Medicare supplement designs can leave gaps or trade away benefits the client relies on.

Why the other options are wrong

• A) Replacement is regulated, not prohibited; a client may lawfully switch Medicare supplement policies when the disclosure procedures are honored.
• B) Medicare supplement sales are squarely regulated by the Massachusetts Division of Insurance under 211 CMR 71.13; the federal Medicare program's existence does not exempt the sale from state disclosure rules.
• D) The replacement framework imposes disclosure duties on the transaction itself; the producer cannot privately decide that no one else in the process is informed.

Memory hook

Switching med supp plans is legal — but only through the disclosure doorway.