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How does this plan work?
If you are at or near retirement, you probably have some money set aside in the form of savings, CDs, mutual funds, 401(k) plans, or IRAs. This fixed immediate annuity plan lets you convert part of your retirement funds into a stream of guaranteed lifetime income payments. You purchase this plan with a single lump sum of money, called a “premium.” In return, you will receive a check from New York Life Insurance and Annuity Corporation every month for the rest of your life.


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How can I benefit from this annuity plan?
You might think of this new plan as a way to help protect against the risk of outliving your savings. No matter how long you live, you will always have the security of knowing that you have a regular monthly income. The amount you receive each month is guaranteed, and payments will continue for the rest of your life. You can choose a Single Life plan that will pay an income for you only, or a Joint Life plan that will continue to pay an income to your spouse after you’ve passed away.


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What other advantages does this annuity provide?
This plan can provide protection against losing retirement savings if stock market performance declines. Regardless of the ups and downs of the financial markets, you can be confident that your annuity income is locked in and guaranteed. Additionally, with this plan you set aside a reasonable part of your assets to help cover future living expenses, and monthly income checks make it easier for you to stay on budget.


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What is the rate of return on this plan?
This plan is not an investment product that provides you with a rate of return over a fixed period of time, like a CD or mutual fund. Rather, this annuity is an income product that provides you with fixed monthly income that is guaranteed for life … no matter how long you live … and no matter how the markets perform. The total payout you receive from this plan will be largely determined by your own longevity. The longer you live, the more income you will receive.


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How soon can payments begin?
Since this is an immediate annuity, you'll receive your first payment one month after your Certificate is issued.


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Are there age or health restrictions?
To qualify for this group plan, you must be an AARP member age 50 to 89 or spouse age 45 to 89. No medical history is required.


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What kind of funds can I use to start this annuity?
To fund your annuity, you may want to use a portion of your checking or savings accounts, investments such as CDs and mutual funds, or inheritances. You may also be able to transfer certain retirement accounts, such as your IRA, 401(k) or lump-sum pension plan payout. In some cases, you can even combine multiple assets to fund a single lifetime income annuity.


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How much of my money should I use for this plan?
You can purchase this lifetime income plan with any amount of $5,000 or more. Money committed to this plan will be permanently locked into the contract, and your access to funds will be limited to the monthly payments you receive for life. Therefore, we recommend that you don’t use more than 50% of the assets you have set aside for retirement to purchase this plan, excluding your home. You should also keep at least $20,000 of savings on hand for emergencies. Please refer to our Important Guidelines to help decide if this plan is suitable for you.


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What happens to my money if I pass away prematurely?
Unlike some annuity plans, this one comes with a "Cash Refund" feature that guarantees that you won’t lose a penny of your premium. If you die before your monthly income payments equal the full amount of your annuity purchase price, your beneficiary will be paid the difference.


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Can I ever withdraw more than my monthly income?
Money used to purchase this plan will be permanently locked into the contract and can only be returned in the form of monthly payments. However, if you fund your annuity from a non-tax qualified source such as a checking or savings account and you are at least age 59½, you may be able to access future payments, which can be helpful in the event of an emergency.

A Payment Acceleration Feature* allows you to receive six monthly benefit payments in one lump sum. This feature is only used twice, and regular monthly payments will resume six months after it is initiated.

A one-time Cash Withdrawal Feature** allows you to withdraw 30% of the current value of the payments that we would make until we’ve returned the full amount of your annuity purchase price. Future payments will be reduced if you use this feature. Use of these liquidity features within five years of your first income payment could result in a penalty tax if income payments begin prior to age 59 ½.

These features are not available in all cases. Our free information kit will outline the restrictions and tax implications to consider.

* Proceeds will be taxable at the time of receipt. You may wish to consult with your tax adviser.
** Proceeds will be taxable at the time of receipt. You may wish to consult with your tax adviser. You will receive 30% of the present value of these payments using interest rates effective at the time of the withdrawal. Present values of these payments will be less than the sum of those payments. Future monthly payments will then be reduced by 30% until payments that we would have made equal the full amount of your initial premium. Details will be provided in the Certificate. Not available in New Jersey and Oregon.



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Who guarantees my lifetime income?
Your income is guaranteed by New York Life Insurance and Annuity Corporation, a wholly owned subsidiary of New York Life Insurance Company. An industry leader for more than 160 years, New York Life has consistently received among the highest ratings for financial strength from the leading independent rating services:  A.M. Best, Fitch, Standard & Poor’s, and Moody’s Investors Service.

New York Life is America’s largest mutual life insurance company.† Being mutual means our primary focus is on creating long-term financial safety and stability for our policyholders, rather than the short-term gains favored by Wall Street. When we say New York Life is “The Company You Keep^®,” that’s a promise for life.
†Fortune 1,000 Ranked within Industries, Insurance: Life and Health (Mutual), Fortune Magazine, April 18, 2005

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How do I get more information?
Request a free information kit, or, if you prefer, you can call 1-800-590-1455. Within a week you’ll receive complete plan information, a personalized proposal that's been customized for you and step-by-step instructions on how to apply by mail. Annuity Specialists will be available by telephone to answer your questions, and to assist you throughout the process. Our staff is available to help, Monday through Friday, 8 a.m. – 6 p.m. and Saturday, 9 a.m. – 5 p.m. (Eastern Time).



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Are there other group plans available?
We are currently developing a broad portfolio of annuity products. An additional group plan that’s available is the Lifetime Income Plan with 20 Year Guarantee. This plan comes with a “20 Year Guarantee” feature that can benefit your loved ones. If you pass away before you receive at least 20 years of payments, your beneficiary will receive the remaining monthly payments during the 20-year guarantee period. To qualify for this group plan, you must be an AARP member age 50 to 77 or spouse age 45 to 77. For more information, call 1-800-590-1504.