If a participant dies before required distribution of the participant’s benefits has begun, the participant’s interest shall be distributed as follows:

(1) If the participant has a surviving spouse, the surviving spouse shall receive benefits over the life of the surviving spouse beginning as soon as administratively possible and effective the month after the participant’s death; or

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Terms Used In South Dakota Codified Laws 3-13A-23.3

  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC

(2) If the participant has no surviving spouse, the participant’s remaining interest shall be distributed in a lump sum payment to the designated beneficiary within five years from the date of the participant’s death.

Source: SL 2021, ch 28, § 16.