A Michigan individual life policy contains a clause that shortens the statutory time limit within which a policyholder may bring legal action against the insurer. Under Michigan law, this clause is:

Why C is correct

M.C.L. 500.4046 prohibits any provision in an individual life policy that shortens the statutory period for bringing legal action. Michigan fixes the limitation period by law precisely so that insurers cannot contract away policyholders' day in court; a clause that trims it is void regardless of disclosure. A policyowner who misses the statutory window has no claim, but the contract itself can never cut the window shorter than the statute allows.

Why the other options are wrong

• A) Prominent placement does not legitimize the clause — M.C.L. 500.4046 bans it outright, wherever it appears.
• B) A signed acknowledgment cannot cure a statutorily prohibited provision; consent does not override M.C.L. 500.4046.
• D) There is no approval mechanism that converts a shortened limitation period into an enforceable term; the prohibition is absolute.

Memory hook

Michigan sets the lawsuit clock — contracts can't wind it back.