This option is similar to Option 2 but provides for multiple beneficiaries. Option 4 pays you a reduced retirement benefit with the provision that up to 100% of the benefit continues after your death to your surviving beneficiaries, who must have an insurable interest in your life. At retirement, you specify the percentage each beneficiary will receive upon your death. The amount of your retirement benefit will depend on the age of your youngest beneficiary. The 100% continuance is payable only to the beneficiaries you name at retirement and may not be changed later, even if they pre-decease you.
If one of your beneficiaries dies, his or her benefit is not distributed among the remaining beneficiary(ies). Upon the death of you and your beneficiaries, VCERA will issue no additional benefit payments. Also, there is no provision to refund any remaining contributions if you and your beneficiaries die before VCERA pays out your accumulated contributions.