State RegulationsMA specificDifficulty 1/5
Which Massachusetts regulation governs the compensation that may be paid in connection with the sale of Medicare supplement insurance?
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Answer & full 3-part explanation (select an option above, or peek)
Why C is correct
211 CMR 71.18 is the Massachusetts Division of Insurance's permitted-compensation rule for Medicare supplement insurance. It defines how producers and insurers may be paid for these sales. The distractors govern other subjects: 211 CMR 71.13 holds the required disclosure provisions, 211 CMR 71.08 defines the standardized plans, and 211 CMR 71.16 sets marketing-conduct standards — none of them addresses compensation.
Why the other options are wrong
- A) 211 CMR 71.13 governs required disclosure provisions, including the buyer's guide, not compensation.
- B) 211 CMR 71.08 establishes the standardized Core and Supplement 1 plans, not payment rules.
- D) 211 CMR 71.16 sets standards for marketing conduct; the compensation regime lives in 211 CMR 71.18.
Memory hook
Commissions on med-supps answer to 71.18.