Proposed new Reminder Letter



2006 Fixed Inherited IRA Elect PPW

Elect PPW for Inherited Individual Retirement Annuity for Fixed products.

Client Identification Number

New York Life Insurance and Annuity Corporation

(A Delaware Corporation)

PO Box

City, ST Zip+XXXX

1-800-XXX-XXXX



Date

Agent/Representative

Name

Policyholder’s Name Address

Street Address

Street Telephone Number

City, ST Zip+XXXX

Annuitant: XXXXXXXXX

Policy: XX XXX XXX

Policy Cash Value as of 12/31/2005: $

RMD for 2006: $

Dear (Mr./Mrs./Ms./Miss and the name of the Policyholder):

We are writing to remind you that owners of Inherited Individual Retirement Annuities are required by the Internal Revenue Service (IRS) to make a withdrawal from their annuity contract(s) each calendar year. This minimum withdrawal is called a Required Minimum Distribution (RMD).

The first RMD must be taken by December 31 of the year following the year in which the original owner had passed away. In addition, a RMD must be taken by December 31 of each year thereafter.

Please complete the enclosed Required Minimum Distribution Election Form and return it in the enclosed envelope by November 15, 2006. We cannot process a RMD for your policy unless we receive this form. Please note that you must take the RMD by December 31, 2006 in order to avoid IRS penalties. Failure to take a RMD before the close of this year may subject you to severe IRS penalties equal to 50% of the RMD amount that was not distributed.

Please note that the RMD amount is the minimum amount that you must withdraw in order to avoid an IRS penalty. You may withdraw more than the RMD amount; however, if your total withdrawals made during the year exceed the 10% window for this policy year, surrender charges may apply.

If you have made a withdrawal from the above referenced policy and are uncertain as to whether or not your RMD has been satisfied for this year, please contact a professional tax advisor.

We want to help. If you would like New York Life Insurance and Annuity Corporation (NYLIAC) to automatically compute your RMD amount and send it to you each year, please make the appropriate election under Withdrawal Option A on the enclosed election form. If the original owner was younger than you and passed away after April 1 following the year he or she attained age 70½, your RMD may be less than the above amount. Please complete section A2 on the enclosed form if this is the case. You may calculate your own RMD amount for this year only by electing Withdrawal Option B.

If you have any questions regarding your RMD, please contact us at our toll-free number. For tax advice, please contact your professional tax advisor.

Sincerely,

Name

Title

cc: Name

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|2006 REQUIRED MINIMUM DISTRIBUTION ELECTION FORM | |

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|Date: | |Policy Number: |XX XXX XXX |

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|Policyowner: |FIRST NAME LAST NAME | | |

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|Social Security Number: | |Cash Value as of: 12/31/2005 |$X,XXX,XXX,XXX.X |

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|Complete Sections I and II, sign and date this form and return it in the enclosed envelope provided. If you have any questions, please contact one of our customer |

|service representatives at our toll-free number. |

|WITHDRAWAL OPTIONS |

|(Please select either A or B. Please refer to the enclosed letter for information on completing this section.) |

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|A. Please calculate and withdraw my RMD for this and all subsequent years using the option checked below. |

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|Please withdraw $x,xxx.xx, as calculated by NYLIAC, to satisfy my RMD requirement. (NYLIAC will recalculate my RMD for all subsequent years.) |

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|Please determine my RMD based on the following information for the original owner. You are eligible for this option only if the original |

|owner: (A) was younger than you, AND (B) died after April 1 following the year he or she attained age 70 ½. |

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|___________________________________________ __________________ _________________________________ |

|First name Last Name Date of Birth Social Security Number |

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|B. Please withdraw $__________________ from my policy to satisfy my RMD requirements. This is based upon my own calculation for this year only. |

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|II. INCOME TAX WITHHOLDING ELECTION - Substitute W-4P |

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|IMPORTANT: Please provide the following information to meet Internal Revenue Service (IRS) requirements. See below for important tax information before you make |

|your withholding election. If your taxpayer identification number is not furnished, we are required by Federal Law to withhold 10% of the taxable gain. |

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|Policyowner’s Taxpayer Identification Number: |

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|Are you a citizen of the United States? |

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|YES |

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|NO |

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|I elect to have the following withholding option applied to this payment and any future payments under this policy |

|(please check only one box): |

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|I elect to have taxes withheld. |

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|I elect NOT to have taxes withheld. |

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|If you elect to have federal taxes withheld, state withholding taxes may apply. |

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|Signature: _____________________________________________________________ Date: ________________________ |

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Withdrawals are subject to Federal Tax Withholding unless you choose not to have taxes withheld. Withholding applies only to the taxable portion of your withdrawal. If you choose not to have tax withheld, or you do not have enough tax withheld, you may be subject to a tax penalty under estimated tax rules if your withholding and estimated tax payments are not sufficient. In addition, some states require state taxes to be withheld when federal taxes are withheld. If you live in one of these states, we will withhold state taxes as required by your state. Your signature on this form confirms that you have read this notice and you made a choice for this distribution.

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