A Medicare Supplement Policy may be cancelled if which of the following occurs?

A Medicare Supplement Policy may indeed be cancelled if the insured fails to pay the premium. Insurance companies rely on regular premium payments to maintain coverage, and non-payment can lead to a lapse in the policy. This is a standard practice in the insurance industry, as premium payments are the essential basis for the contract between the insurer and the insured.

While other scenarios such as the insurance company withdrawing from the market could lead to situation-specific outcomes, they do not typically form a basis for the cancellation of an existing policy based solely on the actions of the insured. Similarly, age limits do not apply in the same manner since Medicare Supplement Policies are designed for individuals who are typically eligible for Medicare, and moving out of state might set off other conditions or options for coverage rather than outright cancellation of the Medicare Supplement Policy. Thus, failing to pay premiums is clearly established as a fundamental reason for cancellation.