Tenn. Code § 8-36-108

Current through Acts 2023-2024, ch. 1069
Section 8-36-108 - Benefits upon death in line of duty
(a)
(1) If a member in service in Group 2 dies prior to retirement and the board of trustees determines that the member's death was the natural and proximate result of an accident or was occasioned as the direct result of physical violence against the member's person occurring while the member was in the actual performance of the member's duty:
(A)
(i) A state annuity equal to one-half (½) the member's average final compensation shall be paid to the member's surviving spouse or surviving minor child or children; provided, that either and no other person, persons or institution are named in writing by the member on file with the retirement system;
(ii) If the member's surviving spouse is named, the annuity will continue to such spouse until death. If the named surviving spouse dies, then the annuity shall be divided equally among the member's surviving minor children. Each child shall receive such child's share until the first day of the month following the month in which the child dies or reaches twenty-two (22) years of age, whichever occurs first, at which time the annuity shall be redistributed equally among the remaining minor children;
(iii) If a surviving minor child or children are named, then the annuity shall be divided equally among them. Each child shall receive such child's share until the first day of the month following the month in which the child dies or reaches twenty-two (22) years of age, whichever occurs first, at which time the annuity shall be redistributed equally among the remaining minor children;
(B) If there is no such surviving spouse or children named as beneficiary upon the member's death, to the member's father or mother, if living, for life, divided, where appropriate, in such manner as the board of trustees in its discretion shall determine.
(2) If the member has made an effective election of an optional benefit under part 6 of this chapter and has designated the member's spouse as beneficiary under the option, the benefit payments under this section shall be made in lieu of any benefits under the option.
(3) If the member has made an effective election of an optional benefit under part 6 of this chapter and has designated a person other than the member's spouse as beneficiary under the option, the benefit payments under the option shall be made in lieu of any benefits under this section.
(b)
(1)
(A) If a member in service in Group 1, 3 or 4 dies prior to retirement and the board of trustees determines that such person's death was the natural and proximate result of an accident or was occasioned as the direct result of physical violence against the member's person occurring while the member was in the actual performance of the member's duty, a state annuity equal to one-half (½) the member's average final compensation shall be paid to the member's surviving spouse or surviving child or children; provided, that either and no other person, persons or institution are named by the member in writing on file with the retirement system.
(B) If the member's surviving spouse is named, this annuity will continue to such spouse until death. If the named surviving spouse dies, then this annuity shall be divided equally among the member's surviving minor children. Each child shall receive such child's share until the first day of the month following the month in which the child dies or reaches twenty-two (22) years of age, whichever occurs first, at which time the annuity shall be redistributed equally among the remaining minor children.
(C) If a surviving minor child or children are named, then this annuity shall be divided equally among them. Each child shall receive such child's share until the first day of the month following the month in which the child dies or reaches twenty-two (22) years of age, whichever occurs first, at which time the annuity shall be redistributed equally among the remaining minor children. On the first day of the month following the month in which the last surviving child dies or reaches twenty-two (22) years of age, then the annuity shall be paid to the member's surviving spouse, if any, until the surviving spouse dies. Notwithstanding the foregoing or any other law to the contrary, if no surviving spouse exists on the date of the member's death and if the projected payments to be made to all the minor children pursuant to this subdivision (b)(1) do not exceed a minimum total value of fifty thousand dollars ($50,000), then the projected excess shall be paid to the member's estate for the sole benefit of all the member's surviving children, regardless of age; provided, that such excess exceeds the amount a bank may pay under § 45-2-708(a). Any such payment shall be free from the claims of any and all creditors.
(2) In order to be eligible for this benefit, the death must be conclusively shown by competent medical evidence to have occurred in the actual performance of duty, regardless of § 7-51-201.
(3) If the member has made an effective election of an optional benefit under part 6 of this chapter and has designated the member's spouse as beneficiary under the option, the benefit payments under this section shall be made in lieu of any benefits under the option.
(4) If the member has designated an individual or individuals other than, or in addition to, the member's surviving spouse or surviving child or children, such individuals may disclaim the death benefit otherwise payable. To be effective, the individuals must not have received any of the benefits, and the disclaimer must be in writing and filed with the division of retirement. Such writing shall contain the information required in § 8-36-125. If a disclaimer is made under this subdivision (b)(4), the state annuity described in subdivision (b)(1) shall be paid to the member's surviving spouse and surviving child or children in accordance with subdivision (b)(1)(B). If no surviving spouse exists, then the annuity shall be paid to the member's surviving child or children in accordance with subdivision (b)(1)(C).
(5)
(A)
(i) If the member has designated an individual or individuals other than, or in addition to, the member's surviving spouse or surviving child or children and such individuals do not disclaim the death benefit under subdivision (b)(4), a state annuity shall nevertheless be paid the member's surviving spouse and surviving child or children. The annuity shall be equal to the amount which would have otherwise been payable under subdivision (b)(1) had the member designated the member's surviving spouse or surviving minor child or children as beneficiary, minus:
(a) The actuarial value of the benefits payable to the non-disclaiming beneficiaries; or
(b) In the case of a lump sum payment, the amount of the lump sum payment made to the non-disclaiming beneficiaries.
(ii) Notwithstanding this subdivision (b)(5) to the contrary, the annuity shall have a guaranteed minimum total value of fifty thousand dollars ($50,000), minus the:
(a) Actuarial value of the benefits payable to the nondisclaiming beneficiaries; or
(b) In the case of a lump sum payment, the amount of the lump sum payment made to the non-disclaiming beneficiaries.
(iii) The guaranteed minimum value shall be paid in monthly installments calculated on a sixty-month basis and divided in the manner prescribed in subdivision (b)(5)(B).
(B) The annuity provided in subdivision (b)(5)(A) shall be paid to the member's surviving spouse until such spouse's death. Upon the surviving spouse's death, this annuity shall be divided equally among the member's surviving minor children. Each child shall receive such child's share until the first day of the month following the month in which the child dies or reaches twenty-two (22) years of age, whichever occurs first, at which time the annuity shall be redistributed equally among the remaining minor children. If the guaranteed minimum total value has not been paid out under this subdivision (b)(5)(B) in the form of an annuity by the first day of the month following the month in which the last surviving child dies or reaches twenty-two (22) years of age, the remaining amount shall be divided equally among all the member's surviving children, regardless of age. If no surviving children exist, then the remaining amount shall be paid to the estate of the last to survive of the spouse and the member's children in accordance with § 8-36-120.
(C) If no surviving spouse exists on the member's death, then the annuity provided in subdivision (b)(5)(A) shall be divided equally among the member's surviving minor children. Each child shall receive such child's share until the first day of the month following the month in which the child dies or reaches twenty-two (22) years of age, whichever occurs first, at which time the annuity shall be redistributed equally among the remaining minor children. Notwithstanding the foregoing or any other law to the contrary, if no surviving spouse exists on the date of the member's death and if the projected payments to be made to all the minor children pursuant to this subdivision (b)(5) do not exceed a minimum total value of fifty thousand dollars ($50,000), then the projected excess shall be paid to the member's estate for the sole benefit of all the member's surviving children, regardless of age, provided such excess exceeds the amount a bank may pay under § 45-2-708(a). Any such payment shall be free from the claims of any and all creditors.
(6) Notwithstanding any law to the contrary, the aggregate total death benefit payable under chapters 34-37 of this title on account of a member who dies in the line of duty shall have a value of not less than fifty thousand dollars ($50,000). Except as otherwise provided in this subsection (b), if the death benefit is payable to a single beneficiary, the guaranteed minimum value shall be paid in monthly installments calculated on a sixty-month basis. In the event the beneficiary dies before receiving all of the guaranteed minimum value, a lump sum payment equal to the actuarial equivalent of the monthly benefit due over the remaining months in the sixty-month period shall be paid to the beneficiary's estate in accordance with § 8-36-120. If the benefit is payable to multiple beneficiaries, other than to the member's surviving minor children, or to a non-human being such as a firm, organization, partnership, association, corporation, estate or trust, the guaranteed minimum value shall be paid in a lump sum. Amounts payable to multiple beneficiaries under this subdivision (b)(6) shall be distributed in equal proportions among the surviving beneficiaries.
(7) This subsection (b) shall not apply to individuals who are members of the retirement system by virtue of their employment with any employer participating in the retirement system pursuant to chapter 35 of this title unless the governing body of any such employer passes a resolution authorizing and accepting the associated liability and costs to provide such benefits.

T.C.A. § 8-36-108

Amended by 2014 Tenn. Acts, ch. 659, Secs.s 17, s 18, s 19, s 20, s 21 eff. 4/10/2014.
Acts 1972, ch. 814, § 5; T.C.A., § 8-3918; Acts 1985, ch. 449, § 17; 1986, ch. 553, §§ 11-13; 1986, ch. 554, § 10; 1991, ch. 378, §§ 13, 14; 1992, ch. 843, § 18; 1995, ch. 154, §§ 1, 2; 1997 , ch. 219, §§ 1 - 3; 2001, ch. 446, §§ 1, 2; 2002, ch. 863, § 7.