Here's an interesting article: Stretching Benefits - Articles - Financial Planning
Ideally the plan would allow the beneficiary to transfer to an inherited IRA so that
the IRA could be "stretched" over his/her life expectancy so that it would not all be taxable at once. However as pointed out by CC, the plan may or may not allow such
a transfer. Note also that the article points out that a rollover is not allowed---only
a direct transfer is allowed for the stretch to work.