Except as provided in § 843.312, if a separated employee who has completed at least 10 years of service dies after having separated from the service with title to a deferred annuity under § 842.212 of this chapter, but before having established a valid claim for an annuity, and is survived by a current spouse to whom he or she was married on the date of separation, the current spouse may elect to receive—

An annuity under paragraph (b) of this section; or

The unexpended balance, if the current spouse is the individual who would be entitled to the unexpended balance.

Except as provided in § 843.312 and paragraph (c) of this section, the current spouse annuity under this section equals 50 percent of an annuity computed under subpart D of part 842 of this chapter, for the separated employee. If the separated employee died before having attained the minimum retirement age, the computation is made as if the separated employee had attained the minimum retirement age.

The current spouse annuity commences on the day after the separated employee would have attained—

Age 62 if the separated employee had less than 20 years of creditable service,

Age 60 if the employee had at least 20 years of creditable service but less than 30 years of creditable service; or

The minimum retirement age if the employee had at least 30 years of creditable service.

The current spouse may elect to receive an adjusted annuity beginning on the day after the death of the separated employee.

The rate of the adjusted annuity equals the annuity computed under paragraph (b) of this section multiplied by the factor in appendix A of this subpart for the age of the retiree as of the birthday before the retiree's death.