Under which beneficiary designation are policyowner rights limited?

When a beneficiary designation is irrevocable, the policyowner's rights are significantly limited. This means that once the policyowner designates a beneficiary as irrevocable, they cannot change the beneficiary or access cash values without the consent of that designated beneficiary. This designation offers a form of protection to the beneficiary since it guarantees them a right to the policy’s benefits regardless of any future changes the policyowner might wish to make.

In contrast, revocable designations allow the policyowner to change the beneficiary at any time without needing permission, which keeps their rights intact. Flexible designations also tend to offer some level of adaptability, and conditional designations involve stipulations that may or may not affect the rights of the policyowner in a similar manner to revocability. The key aspect of irrevocable designations is the restriction they place on the policyowner, which enhances the security of the beneficiary's claim to the policy benefits.