Sec. 15. (a) If a member dies in the line of duty or other than in the line of duty while the member is in the DROP, benefits for the member's survivors are calculated under the provisions of the applicable fund as follows:
(1) If the member dies less than twelve (12) months after the date the member enters the DROP, the benefits for the member's survivors are calculated as if the member had never entered the DROP.
(2) If the member dies at least twelve (12) months after the date the member enters the DROP, the benefits for the member's survivors consist of both of the following:
(A) A benefit for the member's survivors paid by and calculated under the provisions of the applicable fund as if the member had never entered the DROP.
(B) An additional, separate amount that is not calculated as a part of a benefit for the member's survivors from the applicable fund and that is:
(i) calculated under subsection (b); and
(ii) paid to the member's survivors in accordance with the survivor's election under subsection (c).
(b) The additional, separate amount of the benefit for a member's survivors that is described in subsection (a)(2)(B) is equal to:
(1) the amount of the DROP frozen benefit; multiplied by
(2) the number of months that the member was in the DROP.
(c) The survivors of a member who are eligible to receive the additional, separate amount described in subsection (a)(2)(B) must elect to receive the additional, separate amount by either of the following methods:
(1) A lump sum paid as soon as practicable after the member's death.
(2) Three (3) equal annual payments, the first as soon as practicable after the date of the member's death, the second on the first anniversary of the member's death, and the third on the second anniversary of the member's death.
As added by P.L.62-2002, SEC.5. Amended by P.L.145-2020, SEC.5.