State RegulationsMI specificDifficulty 1/5
Under Michigan law, what document must insurers make available to help applicants understand and compare long-term care insurance before buying?
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Answer & full 3-part explanation (select an option above, or peek)
Why B is correct
M.C.L. 500.3937, within Michigan's LTC chapter, requires the shopper's guide in connection with long-term care insurance sales. The guide is an educational document written for consumers: it explains what LTC insurance does, what questions to ask, and how to compare policies before committing. Its purpose is pre-purchase understanding, which is why DIFS treats furnishing it as part of the disclosure framework rather than an optional courtesy.
Why the other options are wrong
- A) A financial statement discloses the insurer's condition but does nothing to help an applicant compare LTC coverage options.
- C) The producer's CE certificate evidences the producer's training, not the applicant's understanding of the product.
- D) Handing over statutory text is not the consumer-oriented comparison document the statute requires.
Memory hook
Before you buy LTC, the guide is the gate: shopper's guide, M.C.L. 500.3937.