(40 ILCS 5/5-132.2)
(from Ch. 108 1/2, par. 5-132.2)
(a) A policeman, prior to retirement
on annuity, may elect to take a lesser amount of annuity and provide, with
the actuarial value of the amount by which his annuity is reduced, a reversionary
annuity for a wife or husband. The option may be exercised by filing
a written designation with the board prior to retirement, and may be revoked
by the policeman at any time before retirement. The death of the policeman
prior to his retirement shall automatically void the option.
(b) The death of the designated reversionary annuitant prior to the policeman's
retirement shall automatically void the option. If the reversionary annuitant
dies after the policeman's retirement and before the death of the policeman
annuitant, the reduced annuity being paid to the retired policeman annuitant
shall be increased to the amount of annuity before reduction for the reversionary
annuity and no reversionary annuity shall be payable.
The option is subject to the further condition that no reversionary annuity
shall be paid if the policeman dies before the expiration of 730 days from
the date his written designation was filed with the board, even though he has
retired and is receiving a reduced annuity.
(c) A policeman exercising this option may not reduce his annuity by more
than $200 per month, or elect to provide a reversionary annuity of less than
$50 per month.
(d) A reversionary annuity shall begin on the day following the death
of the annuitant, with the first prorated payment due and payable the first
day of the month following the date of death, and shall continue monthly
thereafter until the death of the reversionary annuitant, with the last
payment prorated to date of death.
(e) Notwithstanding the fact that a policeman has elected to receive a
reduced annuity under this Section, the increases in annuity provided in
Section 5-167.1 of this Article shall be calculated on the amount of the
original unreduced annuity.
(f) The amount of the monthly reversionary annuity shall be determined
by multiplying the amount of the monthly reduction in the policeman's annuity
by the applicable factor in the following table based on the age of the
policeman and the difference in the age of the policeman and the age of
the policeman's spouse at the starting date of the policeman's annuity.