Under an irrevocable beneficiary designation, what must happen to change the policy?

• A. The policyowner may not change beneficiaries without the irrevocable beneficiary's written consent
• B. The insurer can unilaterally change beneficiaries
• C. Changes can be made by the beneficiary themselves
• D. No consent is required

Answer: (A)

Under an irrevocable beneficiary designation, the person named as beneficiary has a vested interest in the policy proceeds. Because of that, the policyowner cannot change who receives the death benefit without obtaining the irrevocable beneficiary’s written consent. The insurer cannot make a unilateral change, and the beneficiary cannot initiate a change on their own. This arrangement protects the beneficiary’s rights to the proceeds. If the designation were revocable, the owner could change beneficiaries without consent, but with an irrevocable designation, consent is required for any change.