A Medicare supplement plan can be canceled by the insurer for nonpayment of premiums.

• A. Nonpayment of premiums
• B. Reaching a specific age
• C. Non-renewal due to rate changes
• D. Change in address

Answer: (B)

Medicare supplement (Medigap) policies are guaranteed renewable, meaning the insurer can’t cancel the policy just because you reach a certain age, move, or because premiums change. The only standard ground for cancellation by the insurer is nonpayment of the premium (often after a grace period) or, in some cases, material misrepresentation on the application. So the idea that a Medigap plan can be canceled for nonpayment aligns with how these policies are designed to work. Age, rate-change nonrenewals, or a change of address do not, by themselves, justify cancellation.