|
RETIREES – DISSOLUTION
OF MARRIAGE
OVERVIEW
LACERA is bound by certain legal restrictions in paying retirement benefits when a divorce is pending:
- If you divorce after retirement, LACERA will continue paying your full monthly allowance until we receive a conformed copy (with the court clerk's filing date stamp and the judge's signature) of the final Judgment of Dissolution directing a split of your allowance with your ex-spouse.
IMPORTANT: Notify LACERA immediately if you are retired and are in the process of a divorce.
MONTHLY RETIREMENT ALLOWANCE & DEATH BENEFIT
You may change your beneficiary designation for the $5,000 lump sum death benefit at any time after retirement. However, the option you selected at retirement may restrict changes to your Primary Beneficiary designation:
- If you elected the Unmodified Retirement Option, Unmodified+Plus, or Option 1, you may designate a new Primary Beneficiary. If you divorced on or after January 1, 2002, your ex-spouse is NOT eligible for any benefit upon your death unless payment is mandated by court order or you designate your ex-spouse as beneficiary after the divorce. If you divorced before January 1, 2002 and your ex-spouse is your Primary Beneficiary at the time of your death, he or she would be eligible for a lump-sum death benefit, if applicable.
NOTE: An ex-spouse is NOT an eligible surviving spouse and is not eligible to receive a monthly continuing allowance under the Unmodified Retirement Option, even if he or she is named as beneficiary after the divorce. An ex-spouse would be eligible to receive a community property portion of a lump-sum benefit, if applicable.
- If you elected Option 2, Option 3, or Option 4, you may NOT change your beneficiary. If you named your ex-spouse as a beneficiary at retirement, he or she will receive a monthly continuing allowance after your death.
For more information, see your LACERA Summary Retirement Plan Description. If your marriage is dissolved, please contact LACERA to update your records.
RETIREE HEALTH CARE
You must notify LACERA's Retiree Health Care Division to remove your ex-spouse from your Retiree Health Care coverage. However, in some cases, the court will order continuation of an ex-spouse's health insurance and will hold you financially responsible for that coverage, not LACERA.
You may purchase COBRA insurance for your ex-spouse within 60 days of the qualifying event.
2/17/10
|
