Which statement is TRUE concerning irrevocable beneficiaries?

The statement that irrevocable beneficiaries can only be changed with the written consent of that beneficiary is accurate and highlights a key characteristic of irrevocable beneficiaries in life insurance policies. When a beneficiary is designated as irrevocable, it means that the policy owner cannot modify the beneficiary designation without obtaining permission from that beneficiary. This provision serves to protect the interests of the irrevocable beneficiary, ensuring that they have a say in any changes that may affect their rights to the policy's proceeds.

This principle of requiring written consent ensures stability and security for the designated irrevocable beneficiary, as their potential claim to the death benefit cannot be easily altered by the policy owner. This can be particularly relevant in situations involving divorce, family dynamics, or other personal circumstances where the designation is significant.

Understanding this concept is essential for policy owners as it impacts their flexibility in managing the policy and making future decisions regarding the beneficiaries.