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State RegulationsMI specificDifficulty 1/5

Under Michigan's long-term care insurance law, an individual long-term care policy must be:

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Answer & full 3-part explanation (select an option above, or peek)

Why B is correct

M.C.L. 500.3907 requires individual long-term care insurance policies to be guaranteed renewable, meaning the insurer cannot single out an insured for cancellation or refuse renewal as long as premiums are paid. Michigan's long-term care chapter (M.C.L. 500.3901 to 500.3955) also requires a nonforfeiture option to be offered, but the applicant may decline it.

Why the other options are wrong

  • A) Partnership inflation rules vary by age, but nothing in Michigan law limits issuance to applicants under age 61.
  • C) Long-term care policies may cover skilled, intermediate, and custodial levels of care.
  • D) A nonforfeiture option must be offered under M.C.L. 500.3910, but the applicant is not required to purchase it.

Memory hook

Individual LTC = guaranteed renewable, M.C.L. 500.3907.

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