What distinguishes a revocable beneficiary from an irrevocable beneficiary?

A revocable beneficiary is a designation that allows the policyholder to change the beneficiary without needing to obtain consent from that individual. This provides the flexibility for the policyholder to update their beneficiary designation in response to changing circumstances, such as marriage, divorce, or the birth of a child.

In contrast, an irrevocable beneficiary cannot be changed without the consent of the named beneficiary. This means that once an irrevocable beneficiary is designated, the policyholder is bound to that choice unless they receive approval from the beneficiary to make any changes.

Understanding this distinction is crucial for policyholders who wish to maintain control over their life insurance policies and ensure that their death benefits are directed according to their current intentions.