CHAPTER 5. BENEFITS
IC 5-10.4-5
Chapter 5. Benefits
IC 5-10.4-5-1
Disability benefit
Sec. 1. (a) A member who becomes disabled after June 30, 1984,may receive a benefit under this section and sections 2 through 4 ofthis chapter. If the member qualifies for disability retirement underIC 5-10.2-4-6, the member may choose to receive a benefit underIC 5-10.2-4-6 instead of under this section and sections 2 through 4of this chapter.
(b) A member who:
(1) is an active teacher;
(2) has earned at least five (5) service credits; and
(3) suffers a temporary or permanent disability that continuesfor at least six (6) months;
may receive a classroom disability benefit for as long as thedisability exists.
(c) Except as provided in subsection (d), a teacher must apply notlater than one (1) year after the date of the disability to receive aclassroom disability benefit under this chapter.
(d) The board may waive the requirement described in subsection(c) if the board finds extenuating circumstances that justifiablyprevented the person from applying within the time required. Theboard shall adopt rules specifying the extenuating circumstances thatmust be shown before a waiver may be granted under this subsection.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-2
Calculation of disability benefit
Sec. 2. (a) The monthly classroom disability benefit paid undersection 1 of this chapter is determined in STEP THREE of thefollowing formula:
STEP ONE: Subtract five (5) from the total years of servicecredit earned by the member before the date of the member'sdisability.
STEP TWO: Multiply the remainder determined under STEPONE by five dollars ($5).
STEP THREE: Add the STEP TWO result and one hundredtwenty-five dollars ($125).
(b) A classroom disability benefit payment is charged against theretirement allowance account.
(c) Classroom disability benefits may not begin until ordered bythe board after the member undergoes a medical examination by aphysician selected by the board. If the medical examinationconducted by a physician selected and paid by the board establishesto the board's satisfaction that the disability no longer exists, themember may not receive a classroom disability benefit.
(d) If a member on a classroom disability benefit refuses to submitat least annually to a medical examination by a physician selected by
the board, the board shall discontinue the member's benefits until themember withdraws the refusal. If the refusal continues for at leastone (1) year, the member may forfeit the right to receive classroomdisability benefits.
(e) To the extent required by the federal Americans withDisabilities Act, the transcripts, reports, records, and other materialcompiled to determine the existence of a disability shall be:
(1) kept in separate medical files for each member; and
(2) treated as confidential medical records.
(f) This section shall be administered in a manner that isconsistent with the federal Americans with Disabilities Act, to theextent required by the Act.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-3
Deduction from death benefits
Sec. 3. (a) If a member dies while on a classroom disabilitybenefit, the member's total classroom disability benefit payments arededucted from the funds that are paid to the member's estate ordesignated beneficiary.
(b) If a member stops receiving a classroom disability benefit,returns to teaching, and dies before retirement, the member's totalclassroom disability benefit payments are deducted from any deathbenefit payable to the member's estate or designated beneficiary.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-4
Election to terminate disability benefit at retirement age
Sec. 4. After reaching sixty-five (65) years of age or an earlierretirement date selected by the member, the member may request thatthe member's classroom disability benefit payments cease and themember's retirement benefits begin. A member's retirement benefitsmay not be reduced because the member received classroomdisability benefits.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-5
Prohibition against mandatory retirement age
Sec. 5. The state or a school corporation may not enforce amandatory retirement age against members employed in the publicschools.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-6
Eligibility for retirement benefits
Sec. 6. A member is eligible for retirement benefits as specifiedin IC 5-10.2-4.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-7
Member-legislators
Sec. 7. (a) As used in this section, "member-legislator" means amember who has at least:
(1) twenty (20) years of service credit as a teacher; and
(2) ten (10) years of service in the general assembly.
(b) Notwithstanding IC 5-10.2-4-3 or IC 5-10.2-4-3.1, incomputing the pension for a member-legislator, the average of theannual compensation is the sum of the salaries in any one (1) year fora member-legislator's:
(1) position covered by the fund; and
(2) service in the general assembly.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-8
Designation of retirement date
Sec. 8. (a) A member who:
(1) has ceased employment in the public schools; and
(2) is eligible for retirement benefits;
shall designate a retirement date as described in IC 5-10.2-4-1.
(b) A member who chooses to begin receiving retirement benefitsat the time the member ceases employment is entitled to receive theproportionate amount of the member's monthly benefit for the monthin which the cessation occurred.
(c) Annually the board may require a member to execute anaffidavit stating the member's eligibility for a retirement benefit.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-9
Schedule; initial pension benefit
Sec. 9. (a) The fund shall make a member's first pension benefitpayment not more than ninety (90) days after the date the membercompletes and files an application for retirement benefits.
(b) After the first pension benefit payment and except as providedunder IC 5-10.2-4-7(f), a person entitled to benefits shall receive aretirement benefit payment by the tenth day of each month.
As added by P.L.2-2006, SEC.28. Amended by P.L.115-2009,SEC.17.
IC 5-10.4-5-10
Cancellation of uncashed benefit check
Sec. 10. (a) If a benefit check issued by the fund is outstandingand unpaid for more than six (6) months after the date the check isissued, the benefit check is canceled.
(b) A benefit check canceled under subsection (a) may not behonored, cashed, or accepted for payment or deposit by anindividual, a bank, a trust company, a savings association, or anyother financial institution or person.
(c) The cancellation of a benefit check under this section does notdischarge the fund's obligation to pay the benefit for which the
canceled benefit check was issued.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-11
Payment options
Sec. 11. A member may have the member's retirement benefitspaid under the options specified in IC 5-10.2-4-7.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-12
Death before retirement; payment of benefits
Sec. 12. If a member dies before retirement, the member's benefitsare paid as specified in IC 5-10.2-3-7.5, IC 5-10.2-3-7.6, andIC 5-10.2-3-8.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-13
Calculation of benefit; teaching after initial retirement
Sec. 13. IC 5-10.2-4-8 applies to the reemployment of a retiredmember.
As added by P.L.2-2006, SEC.28. Amended by P.L.72-2007, SEC.9;P.L.76-2008, SEC.6; P.L.115-2009, SEC.18.
IC 5-10.4-5-14
Benefits; exemption from legal process
Sec. 14. (a) The benefits payable from the fund are exempt fromseizure or levy on attachment, supplemental process, and all otherprocesses.
(b) A member's transfer of a benefit payment is void. However, amember may assign benefits for paying:
(1) premiums on a group, life, hospitalization, surgical, ormedical insurance plan maintained in whole or in part by a stateagency; and
(2) dues to any association that proves to the board's satisfactionthat the association has as members at least twenty percent(20%) of the number of retired members of the fund.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-15
Termination of benefits; grounds
Sec. 15. (a) The board may stop a member's benefit if the memberdoes any of the following while receiving the benefit:
(1) Fails to report for a required examination, unless excused bythe board.
(2) Disobeys the requirements of the board regarding theexamination.
(3) Refuses to repay an overpayment of benefits.
(b) The board also may stop a member's benefit if the board hasreasonable cause to believe that:
(1) the member has died; or (2) in the case of a member receiving disability benefits underIC 5-10.2-4-6 or classroom disability benefits under section 1of this chapter, the member no longer has a disability.
As added by P.L.2-2006, SEC.28. Amended by P.L.99-2007, SEC.18.
IC 5-10.4-5-16
Retirement before July 1, 1975; limitations on reductions inbenefits
Sec. 16. The computation of benefits described in section 2 of thischapter applies to benefits payable on and after July 1, 1975, andincludes benefits payable to members who retired or whoseemployment was terminated before that date. However, a member'sbenefits may not be reduced below the amount paid to the memberbefore July 1, 1975. The benefits for a member who retired beforeJanuary 1, 1956, shall be computed by multiplying fifteen dollars($15) by the member's years of service and then actuarially adjustingthe product obtained to take into account a member's early retirementand the retirement option selected by a member using the factors ineffect on July 1, 1975.
As added by P.L.2-2006, SEC.28.
IC 5-10.4-5-17
Claims of error
Sec. 17. A member may petition the board to correct an error inthe determination of the member's:
(1) creditable service; or
(2) benefit;
at any time. The petition must contain the necessary information tosustain the member's claim of error. The board shall investigate theclaim and, if an error is found, shall order the member's recordscorrected. If no error is found and the member petitioned the boardto correct the error within six (6) years after the determination of themember's creditable service or benefit, the member may appeal theboard's decision under IC 4-21.5.
As added by P.L.99-2010, SEC.8.