Upon the death of an employee under the terms provided in § 377 of this title, the beneficiaries shall receive an annuity equal to the remuneration he was receiving at the time of death, according to the following distribution: fifty percent (50%) for the surviving spouse, and the remaining fifty percent (50%) divided in equal parts among the remaining beneficiaries. If upon his death the employee has no surviving spouse, or if the death of said surviving spouse should occur while he is enjoying the annuity, the share corresponding to the surviving spouse shall be distributed equally among the other beneficiaries. If the death of any other beneficiary should occur while enjoying his annuity, his share shall be distributed equally among the other beneficiaries. Notwithstanding the above, when there is only one beneficiary, he/she shall be entitled to the full amount of the annuity.
In those cases of employees who at the time of their death are not members of one of the retirement systems maintained by the employer for his employees, and who have no surviving beneficiaries, a lump sum death payment shall be made in cash to the person or persons designated by the employee, on a written duly recognized order filed with the Administrator, or to his heirs, if there is no such designation. This death payment shall be equal to two thousand dollars ($ 2,000) or to the annual compensation of the employee at the time of his death, whichever is greater. Said payment shall be distributed according to the proportion established by the employee on the written order filed with the Administrator, or in lieu of a written order, in the proportion established by law.
History —June 27, 1958, No. 127, p. 300, § 5; Feb. 16, 1990, No. 1, p. 3, § 27; July 30, 1999, No. 174, § 5.