CARD Q039
An owner wants to replace an irrevocable beneficiary. What is generally required?
- The irrevocable beneficiary’s consent
- A signed request from the owner without beneficiary consent
- A transfer of ownership before a beneficiary can be changed
- The insured’s consent alone when the owner is someone else
The irrevocable beneficiary’s consent
Irrevocable designation restricts the owner’s ability to change the beneficiary without consent. Other ownership actions may also require consent.
Why each choice is right or wrong
A. The irrevocable beneficiary’s consent
Correct. Irrevocable designation restricts the owner’s ability to change the beneficiary without consent. Other ownership actions may also require consent.
B. A signed request from the owner without beneficiary consent
Incorrect. An owner’s request alone generally cannot remove irrevocable rights.
C. A transfer of ownership before a beneficiary can be changed
Incorrect. Changing ownership is not a general substitute for obtaining the required beneficiary consent.
D. The insured’s consent alone when the owner is someone else
Incorrect. The insured’s consent alone does not replace the irrevocable beneficiary’s consent.
Review the related terms
Use these lessons to revisit the concepts and try additional practice questions.