(1) In accordance with the provisions of this part 9, if a member met the service credit requirements specified in section 24-51-904 (1)(a)(I) or (1)(a)(II) but did not meet the age and service credit requirements for service retirement as of the date of death, pursuant to the provisions of section 24-51-602 or 24-51-604, survivor benefits or a single payment shall be payable in the following order:
(a) To qualified children who are under twenty-three years of age;
(b) To the surviving spouse of the member if no qualified children specified in paragraph (a) of this subsection (1) exist;
(c) To qualified children who are twenty-three years of age or older if none of the persons specified in paragraphs (a) and (b) of this subsection (1) exist;
(d) To dependent parents if none of the persons specified in paragraphs (a) to (c) of this subsection (1) exist;
(e) To the named beneficiary if none of the persons specified in paragraphs (a) to (d) of this subsection (1) exist;
(f) To the estate of the deceased member if none of the persons specified in paragraphs (a) to (e) of this subsection (1) exist.
(2) If an inactive member who had earned at least five years of service credit dies, survivor benefits or a single payment shall be payable in the following order:
(a) To the surviving spouse;
(b) To the named beneficiary if no surviving spouse exists;
(c) To the estate of the deceased member if neither of the persons specified in paragraphs (a) and (b) of this subsection (2) exists.
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