West Virginia Insurance Practice Exam

A policyowner can change the beneficiary designation without the beneficiary's consent when the designation is revocable. This means that the policyholder retains the right to alter or cancel the beneficiary designation at any time and for any reason. The ability to make such changes without needing to secure approval from the beneficiary provides the policyowner with flexibility in managing the policy according to changing circumstances or preferences.

In contrast, if the designation is irrevocable, the beneficiary's consent would be necessary for any changes to be made. This is because an irrevocable designation grants rights to the beneficiary, thereby restricting the policyowner’s ability to alter the beneficiary designation unilaterally. The other response options also do not relate directly to the flexibility provided under a revocable designation. During the policy's term, while adjustments can be made, this aspect applies primarily to revocable designations rather than serving as a standalone condition. After the insured's death, the beneficiary designation is set in stone based on the policy terms at that time, meaning no changes can occur posthumously. Thus, the revocable designation is the key aspect that allows for changes without consent.