Ethics Beneficiaries, Creditor Protection & Claims question: life policy to secure child support

EthicsBeneficiaries, Creditor Protection & Claims

Under their separation agreement, Neil, 47, designated his ex-wife Clara irrevocably as beneficiary of his $500,000 life policy to secure child support, and the designation was filed with the insurer. Four years later Neil has a new partner and wants her to be the beneficiary instead. Clara has not agreed to any change. What is required?

A A new will that names the new partner instead
B Clara's consent, since she is irrevocable
C Nothing, because separation ends the designation
D Only a new declaration filed with the insurer

Show the answer and explanation

Answer: B. Clara's consent, since she is irrevocable

An irrevocable designation filed with the insurer's head office during the life insured's lifetime cannot be altered or revoked without the beneficiary's consent while she is living. A new declaration or a will cannot override it. Neil needs Clara's consent, or a court order if she lacks capacity. Source: Insurance Act (BC), RSBC 2012, c. 1, s. 60(1), s. 66(4) (current to 6 Oct 2026; as at 12 Oct 2026); the other common-law provinces' Insurance Acts have the same uniform provision.

Common mistake

Treating an irrevocable designation like a revocable one.

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Original study material mapped to the public CISRO curriculum; not a real test question.Not affiliated with CISRO, CCIR or any provincial insurance regulator. Verify figures and rules against current guidance before relying on them.