State RegulationsTX specificDifficulty 1/5
Where are the minimum standards that Medicare supplement policies must meet in Texas found?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
The minimum standards for Medicare supplement policies in Texas are set by Texas Department of Insurance rules adopted under the Insurance Code, at 28 TAC 3.3301-3.3310, 3.3312-3.3313 and 3.3315-3.3325. Because the standards come from TDI rulemaking, an insurer must conform its forms and rates to those rules; a policy that measures its compliance only against the federal Medicare statute, or against the insurer's own rating manual, is not the standard the department will apply.
Why the other options are wrong
- A) The federal Medicare statute does not supply the Texas Medicare supplement minimum standards; TDI rules under the Insurance Code do.
- B) An insurer's rating manual is a filing of the insurer's own rates and does not establish the minimum standards the policy must meet.
- C) The guaranty association handles claims against insolvent insurers and has no role in setting Medicare supplement benefit standards.
Memory hook
Texas Medigap standards live in 28 TAC 3.3301 et seq., not in the insurer's own manual.