(1) A member whom the retirement board finds to have become totally and permanently disabled for purposes of employment by his or her reporting unit by reason of personal injury or mental or physical illness before termination of reporting unit service and employment shall receive a disability allowance if all of the following requirements are met:

    (a) The member has not met age and service requirements of section 81(1)(a) or (b) or, if the member first became a member on or after July 1, 2010, the member has not met age and service requirements of section 81c(1).

    (b) The member has at least 10 years of credited service in effect before termination of employment.

    (c) The member or reporting unit makes written application to the retirement board not more than 12 months after the date the member terminated public school employment.

    (d) The person undergoes an examination by 1 or more practicing physicians or medical officers designated by the retirement board who certify to the retirement board that the member is totally and permanently disabled for performing the duties for the member’s position or similar position for which the member is qualified by reason of training, experience, or both.

    (2) The retirement board may extend the application time limit provided in subsection (1) not more than 24 months for a member or deferred member who satisfies the other requirements of subsection (1), if evidence of extenuating circumstances is presented to the satisfaction of the retirement board.

    (3) The member’s disability retirement allowance shall be computed pursuant to section 84. The effective date of the disability retirant’s allowance shall be determined pursuant to section 83.