(1) Except as provided in section 79-9,104, in the event of a member's death, the death benefit shall be paid to the following, in order of priority: (a) To the member's surviving designated beneficiary as designated in writing on forms provided by the system; (b) To the spouse married to the member on the member's date of death if there is no surviving designated beneficiary as designated in writing on forms provided by the system; or (c) To the member's estate if the member is not married on the member's date of death and there is no surviving designated beneficiary as designated in writing on forms provided by the system. (2) The priority designations described in subsection (1) of this section shall not apply if the member has retired under a joint and survivor benefit option.
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