Utah Code 49-23-306. Lump-sum death benefit for retiree and spouse

(1)

Beneficiary: means any person entitled to receive a payment under this title through a relationship with or designated by a member, participant, covered individual, or alternate payee of a defined contribution plan. See Utah Code 49-11-102
Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. ^{Source: OCC}
Board: means the Utah State Retirement Board established under Section 49-11-202. See Utah Code 49-11-102
Office: means the Utah State Retirement Office. See Utah Code 49-11-102
Retiree: means an individual who has qualified for an allowance under this title. See Utah Code 49-11-102
Retirement: means the status of an individual who has become eligible, applies for, and is entitled to receive an allowance under this title. See Utah Code 49-11-102

(a)	Upon retirement, a retiree may elect to have the office deduct an actuarially determined amount from the retiree’s allowance to provide a lump-sum benefit payable to a beneficiary upon the death of the retiree.

(b)	Upon retirement, a retiree may also elect to have an actuarially determined amount deducted from the retiree’s allowance to provide a lump-sum death benefit payable to a beneficiary upon the death of the retiree’s lawful spouse at the time of retirement.

(c)	The board may make rules for the administration of this lump-sum death benefit.

(2)

(a)	For a retiree who pays for a lump-sum death benefit under this section through a reduction of an allowance, benefits shall be paid in accordance with Sections 49-11-609 and 49-11-610.

(b)	If the retiree chooses Option Three, Four, Five, or Six, and a lump-sum death benefit is payable after the death of the retiree, the allowance shall be restored to its original amount.

(3)

(a)	A retiree may elect to cancel the lump-sum death benefit under this section.

(b)	The cancellation under this Subsection (3) is irrevocable.

(c)	Upon cancellation, the allowance shall be restored to its original amount and benefits under this section may not be paid.

Enacted by Chapter 266, 2010 General Session