I spoke to an owner of a shop today that does warranty work on Yamaha's. I asked him about this very problem, I was told basically what we've been reading here about the wires coming off of the ignition switches on the earlier 06's are too short. He also said to check the wires out you need to watch the wire loom as you turn the handlebars completely to the left, and then completely to the right. You are looking for this group of ignition wires to become tight while the handlebars are turned, if you see this happening snip the wire tie holding the bundle too tightly to the frame of the motorcycle. JC is also correct when he said there is a small tie close to the group of wires going into the bottom of the switch. The only thing this small tie does is it keeps all of the ignition wires together, do not cut this wire tie, leave it alone.
I was also told basically there have not been enough failures for a re-call "YET". I did let him know of the growing number of failures I've seen on this forum. He told me he is aware of this and a few other problems, but basically he's not Yamaha and can't make any of those decisions.
When I first got my bike I added a new Tour Performance HR Triple Clamp so the handlebars are closer to me by another 1-1/2". This new tree was also designed where it has more relief cut into so it provides additional clearance for cables, hydraulic lines and wire looms. Since adding it to the bike I have quite a lot of slack on all of the wires coming up to the front feeding various switches. I guess if mine fails in the near future, this isn't the fix I thought it was.