Who must sign the notice of replacement when replacing a Medicare Supplement insurance policy?

In the context of replacing a Medicare Supplement insurance policy, the requirement for signatures serves to ensure that both parties involved—the producer and the applicant—acknowledge the terms and the implications of the replacement. This dual signature requirement is essential because it helps provide transparency and protection to the applicant. The producer, who is knowledgeable about the policies, informs the applicant of the differences and reasons for the replacement, while the applicant confirms their understanding and consent.

This practice is consistent with regulations intended to promote consumer awareness and protect against potential pitfalls, such as losing important benefits or incurring additional costs. By requiring both signatures, the process emphasizes the involvement and agreement of both parties in the transaction. Therefore, the correct answer highlights the collaborative nature of the replacement process, ensuring all parties are duly informed and agree to the change.