State RegulationsMA specificDifficulty 2/5
An insurer issues a Massachusetts Medicare supplement policy but never delivers the disclosure materials required by 211 CMR 71.13, leaving the applicant unable to compare the policy with alternatives. What is the consequence?
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
211 CMR 71.13 makes delivery of the required disclosure materials an affirmative obligation of the insurer, and the obligation is not excused by an accurate sales pitch, a signed application, or the existence of federal materials. An applicant who cannot compare standardized coverage has been denied the protection the rule exists to provide, and the Massachusetts Division of Insurance may act against the insurer for the violation. Disclosure compliance is measured by what the applicant actually receives.
Why the other options are wrong
- A) An accurate description by the producer does not substitute for the insurer's required disclosure delivery under 211 CMR 71.13.
- B) The federal Medicare program does not discharge the insurer's Massachusetts disclosure obligation; the duty belongs to the insurer under the Division's rule.
- C) Signature does not end the duty; the disclosure materials must be provided so the applicant can compare before and after the sale as the rule requires.
Memory hook
Skipping the disclosures invites the Division, not forgiveness.