State RegulationsMA specificDifficulty 2/5
A Massachusetts resident buys a Medicare supplement policy, reviews it after delivery, and decides within the right to return period that she does not want the coverage. She returns the policy to the insurer. What is the outcome under 211 CMR 71.13?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
The 30-day right to return for Medicare supplement policies under 211 CMR 71.13 is unconditional: when the purchaser returns the policy within the period, the transaction is undone and the premium is refunded in full, without penalty or service charge. The Massachusetts Division of Insurance treats this as a genuine review window, so the practical consequence for producers is that the sale is not final until the right to return has run.
Why the other options are wrong
- A) Retaining the premium would defeat the purpose of the right to return; the purchaser who returns the policy within 30 days gets the premium back in full.
- B) No service charge or per-day cost may be imposed on an exercise of the right to return under 211 CMR 71.13.
- C) The purchaser's return of the policy ends the coverage; the policy does not linger in force pending the insurer's approval.
Memory hook
Return it in 30 days, get every dollar back — no strings, no fees.