NYLIAC Accumulator

The NYLIAC Accumulator® universal life insurance policy¹ is designed to help meet the needs of individuals, business owners, and key executives who are looking for the combination of essential death benefit protection and competitive long-term cash value accumulation. The policy emphasizes cash accumulation by offering competitive interest crediting rates and loan interest spreads.

The NYLIAC Accumulator® is a very flexible life insurance policy that offers permanent coverage with a variety of features to address your needs. In addition to providing traditional life insurance protection, you may use the cash value of your NYLIAC Accumulator® policy to help meet future educational costs or to supplement retirement funding.

Highlights

• Adaptable life insurance coverage that gives you the opportunity to increase² or decrease coverage, add or delete benefits through riders, and cover the entire family (or non-family members with an insurable interest) under a single policy
• Tax deferred cash value accumulation
• A death benefit that may be fully excludable from the gross income of the beneficiaries for federal income tax purposes
• A competitive interest crediting rate
• Flexible premium payments³
• Access to the cash surrender value through loans and/or partial surrenders⁴
• Five year No Lapse Guarantee^5,6
• Annual statements summarizing important facts about your policy

Product Specifics
Issue Age
0–90⁷

Face Amount
The minimum required face amount is $25,000. Certain policy characteristics and/or policy loan interest rates will vary based on the face amount band. The band options for the NYLIAC Accumulator^® are listed below:

	Face Amount
Band 1:	$25,000 - $99,999
Band 2:8	$100,000 - $249,999
Band 3:8	$250,000 - $999,999
Band 4:	$1,000,000 +

Guaranteed Minimum Interest Crediting Rate
3% all bands

Current Interest Crediting Rate
The current interest crediting rate is based on a portfolio rate that is declared monthly by the Company. (This rate is not guaranteed and is subject to change.) The rate varies by face amount band and policy year. This rate is not applied to any borrowed cash value.

X = the initial band 1 interest crediting rate

Loan Amount
You may borrow any amount up to the loan value of your policy (cash accumulation value less a prorated surrender charge and one monthly deduction) to accommodate your changing needs.

Loan Interest Rate
The current loan interest rate is 5%, payable in arrears.

Interest Credited On Borrowed Cash Value
The current crediting rate varies by face amount band and policy year. It is guaranteed not to be less than 2% below the effective annual loan interest rate.

Underwriting Classes
Underwriting classes determine the cost of insurance based on personal history. Underwriting classes accommodate a broad range of client needs. Select preferred, preferred, nonsmoker, select standard, standard, nonsmoker special classes 213, and standard special classes 213 are available.

Premium Modes
You can choose among a number of options when paying premiums on a NYLIAC Accumulator® policy: Annual, semiannual, quarterly, Check-O-Matic (COM), Government Allotment, combined billing, NYL-A-Plan, and lump sum options are available. This way, you can pick the payment option that best fits your budget.

IRC Section 7702 Testing — To qualify for favorable tax treatment, a life insurance policy must pass one of two tests as defined in IRC Section 7702, the Guideline Premium Test (GLP), or the Cash Value Accumulation Test (CVAT).

Life Insurance Benefit Options — Three life insurance benefit options give you the opportunity to customize a policy according to your personal needs and goals:

• Option 1 —Provides a level death benefit equal to the face amount of the policy
• Option 2 —Provides a variable death benefit equal to the face amount of the policy, plus the cash value
• Option 3 —Provides a variable death benefit equal to the face amount, plus the adjusted total premium (the total premiums paid less any partial surrenders)

Note: NYLIAC Accumulator® universal life does not mature. The death benefit is set equal to the cash value on the policy anniversary when the insured is age 100.

Partial Surrenders¹⁰ — Minimum $500
You must maintain at least $500 of cash surrender value or an amount equal to two monthly deduction charges in your policy. A $25 service charge will be applied to all partial surrenders.

• Under Option 1, the face amount of the policy will be reduced by the amount of the partial surrender.
• Under Option 2, the face amount remains the same but the total death benefit will be reduced by the partial surrender amount.
• Under Option 3, the adjusted total premium paid will be reduced by the amount of the partial surrender. If the adjusted total premium paid is zero, then the face amount will be reduced by any additional surrender amount.

Charges
Premium Expense Charges
Premium expense charges are deducted from planned and unplanned premium payments.

Monthly Administration Fee
The monthly administrative fee is deducted from the policy's cash value.

Surrender Charges
The surrender charges for NYLIAC Accumulator® are calculated as the lesser of: (a) 50% of the cumulative premiums paid less the cumulative monthly administrative charges taken and less any cumulative No Lapse Guarantee Rider charges taken or (b) a percentage of two times the surrender charge premium. The percentage varies by policy year and is highest in years 1 through 4. It decreases in years 5 through 19, reaching 0 in year 20.

Surrender charge percentages are different for policies with issue ages of 81 and older. They will run only for 10 years, reaching 0 in year 11.

Optional Riders Available¹⁴
You can customize your policy by choosing from a variety of policy options and riders that are designed to help meet your individual needs. Your agent can give you more details about these riders, including any additional costs that may be incurred.

Accidental Death Benefit (ADB)
Provides an additional death benefit if the insured dies as a direct result of an accident. Issue ages 0-65.

Children's Insurance (CI)
Provides level term insurance coverage on the children of the insured. Such coverage may also help to ensure the future insurability of the children. Issue ages 16-50 (insured).

Guaranteed Insurability Rider (GIR)
Allows you to increase the face amount of the policy or purchase a new policy for a specific amount on designated option dates, without evidence of insurability. Issue ages 0-43.

Insurance Exchange (IE)
Provides for the transfer of the values of your current universal life policy to a newly underwritten policy on the life of a different insured. Issue ages 0-90.

Life Extension Rider (LER)
Extends the life insurance benefit beyond the policy anniversary on which the insured is age 100. The policy's life insurance benefit is based on the life insurance benefit option in effect at that time. Without the LER, at age 100, the life insurance benefit will equal the cash value. LER is only available at issue. Issue ages 0-90.

Living Benefits Rider (LBR)
Gives the policyholder access to a portion of the policy's eligible death benefit if the insured is diagnosed with a terminal illness and has a life expectancy of 12 months or less. Issue ages 0-90.

Monthly Deduction Waiver (MDW)
Waives monthly deduction charges if the primary insured becomes totally disabled, as defined in the rider. Issue ages 0-59.

No Lapse Guarantee Rider (NLGR)^15,16
Guarantees that if the specified premium requirement is met, the policy will not lapse even if the policy cash surrender value is insufficient to cover the monthly deduction charges due. NLGR, which can only be purchased at issue, is available for 20 years, to age 85, and to age 100. Issue ages 0-90.¹⁷

Other Covered Insured (OCI)
Provides level term insurance coverage on the insured, insured's spouse, children, or, if we agree, others who are unrelated to the insured but can prove an insurable interest (e.g., a business partner). Coverage is convertible to permanent insurance until the earlier of the policy anniversary when the other covered insured is age 70, the policy anniversary on which the primary insured is age 100, or the primary insured's death. Issue ages 0-90.¹⁸

Spouse's Paid-up Insurance Purchase Option (SPPO)
Gives the spouse beneficiary the right to purchase a new paid-up life policy on his/her life at the death of the primary insured, without evidence of insurability. Issue ages 0-90.

Upromise Rider
Provides for the onetime deposit of the Upromise Contribution Amount of $25 for each NYLIAC Accumulator® policy into the Upromise College Savings Account19 that you designate.

Service
To help you keep your records up to date, all NYLIAC Accumulator® policyholders receive the following:
Annual Statement
You will receive an easy to understand annual statement showing the following information for the prior policy year:

• Premium payment activity
• Current cash value of the policy
• Monthly interest crediting history
• Projected lapse dates
• Monthly breakdown of policy costs and administrative fees
• Loans or partial surrenders

Confirmation Notices
You will receive a confirmation notice for each of the following transactions:

• Unplanned premium payments
• Face amount changes
• Partial surrenders
• Loans
• Loan repayment

¹ Issued by New York Life Insurance and Annuity Corporation (A Delaware Corporation).

² Increases are subject to underwriting.

³ The policy will terminate if at any time the cash surrender value is insufficient to pay the monthly deductions. This can happen due to insufficient premium payments, if loans or partial surrenders are made, or if current interest rates or charges fluctuate.

⁴ Loans and/or partial surrenders will reduce the death benefit and may carry a tax penalty if the policy is a modified endowment and the policyholder is not yet age 591/2.

⁵ A minimum premium payment is required.

⁶ Not available in all jurisdictions.

⁷ Issue ages 0-87 in Indiana.

⁸ Band 2 and 3 policies will be upgraded one band if the policy's cash value is equal to or greater than $100,000 in the first seven years. If the policy's cash value drops below $100,000 subsequent to the end of the seventh policy year, the band upgrade will be lost.

⁹ Increases in the interest credited on borrowed cash value cannot be illustrated in New York or Texas and are not applicable to New York or Texas policies.

¹⁰ Partial surrenders are subject to surrender charges in the first 19 policy years and may be taxable.

¹¹ The Target Premium is the breakpoint amount that is used for determining premium charges.

¹² Decreases in the premium expense charge cannot be illustrated in New York or Texas and are not applicable to New York or Texas policies.

¹³ Decreases in the monthly administration fee cannot be illustrated in New York or Texas and are not applicable to New York or Texas policies.

¹⁴ Not all riders are available in all jurisdictions, and not all riders are available on all policy types; some variations may exist.

¹⁵ Referred to as the Coverage Protection Benefit Rider in Illinois.

¹⁶ Failure to satisfy the Cumulative Required NLGR Monthly Premium Test will cause the rider and the guarantee to become inactive, and increase the potential that the policy may lapse for insufficient cash surrender value. At the end of the guarantee period, if only the required premium has been paid, the policy may lapse for insufficient cash surrender value. See the rider form for more details.

¹⁷ The availability of certain NLGR durations are restricted by issue age.

¹⁸ Age 75 in New York and Maryland.

¹⁹ All contributions will be held in a brokerage account with Upromise Investments Inc., member NASD/SIPC and a wholly owned subsidiary of Upromise Inc., neither of which is affiliated with New York Life or its subsidiaries.

New York Life Insurance Company
New York Life Insurance and Annuity Corporation (A Delaware Corporation)
51 Madison Avenue New York, NY 10010
The Company You Keep®
13981(01/05)
SMRU 00296024CV(11/04)

Consult an Agent
At no charge to you, a New York Life agent — professionally trained and experienced — can help you analyze your needs and recommend appropriate solutions through insurance and financial products and concepts. Click here to request a no obligation review with a New York Life agent.

New York Life Insurance and Annuity Corporation does not provide tax, legal or accounting advice. Please consult your own tax, legal or accounting professional before making any decisions.

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