A policyholder's decision to change a beneficiary must be?

A policyholder's decision to change a beneficiary must be a formal process that is documented and submitted to the insurer because this ensures that the change is officially recorded in the policyholder's file. This formal procedure protects the interests of both the policyholder and the beneficiaries by providing clear evidence of the policyholder’s intent. It also helps prevent disputes over beneficiary designations in the future, which can arise if changes are not properly documented. Insurance companies typically require a specific form to be filled out and submitted to validate the change, ensuring compliance with company policies and legal standards.