Nationwide Financial® Improves Pricing of Its Best-Selling YourLifeSM ULtimate Universal Life Policy

  
    
  
  
    
      No-lapse guaranteed universal life insurance has been one of the top 
      selling products in the industry, and Nationwide Financial’s 
      YourLifeSM ULtimate product has been a sales 
      success since its launch in June 2006. Now the company has repriced it, 
      making it even more competitive. Nationwide is one of the few insurance 
      carriers that is consistently near the top in both premium rates and 
      target premiums.
    
    
      Nationwide YourLifeSM ULtimate is a universal 
      life insurance policy designed to provide consumers with low-cost, 
      permanent life insurance with a guaranteed death benefit. YourLifeSM 
      ULtimate is designed for consumers who want lifetime protection, strong 
      living benefits and simplified policy maintenance. The product can also 
      be used for legacy planning and wealth transfer for clients who want to 
      preserve assets for loved ones in a tax-efficient manner, provide lost 
      income for survivors and create an estate for their heirs.
    
    
      “As consumer needs and demands evolve, we 
      continually strive to improve the value of our life insurance products 
      and services to our customers,” said Peter 
      Golato, senior vice president for Nationwide Financial Services, Inc. (NYSE: 
      NFS). “This reprice is an example of our 
      commitment to the fixed universal life business. We reduced the premium 
      pricing to improve the competitiveness of 10-pay and level-pay premiums 
      to complement our already competitive single-pay premiums.”
    
    
      Golato added that as consumers expect to live longer, they are concerned 
      about having enough funds throughout their lives, so protection at a 
      very competitive cost is important.
    
    
      “Uncertainty about the future of their 
      family, the financial markets and personal security is driving clients 
      to more conservative products with guarantees,” 
      he said. “ULtimate is most competitive for 
      consumers age 45 through age 70 who are looking for guaranteed death 
      benefit coverage at a very competitive price.”
    
    
      Optional riders provide more choices for consumers
    
    
      YourLifeSM ULtimate offers several beneficial 
      riders, which can be added to personalize the product. These include:
    
    
      
        Long-term Care Rider
      
      
        Accelerated Benefit Rider
      
      
        Accidental Death Benefit Rider
      
      
        Child Rider
      
      
        Spouse Rider
      
      
        Waiver of Monthly Deductions Rider
      
    
    
      Consumers should consult with their financial professional to discuss 
      costs, advantages and disadvantages of each rider in detail. All riders 
      are available for an additional cost, may not be available in all states 
      and may be known by different names in different states.
    
    
      Uninsured long-term care expenses can wreak havoc on consumers’ 
      finances
    
    
      “Consumers tell us that one of their biggest 
      fears is the inability to afford the long-term care they may need in 
      retirement,” Golato said. “ULtimate 
      is truly a living benefit for them and their families, as we’ve 
      seen the cost for a private room in a nursing home average nearly 
      $70,000 a year, and $18 an hour for a home health care aide.” 
      a.
    
    
      Nationwide’s indemnity-style rider can 
      provide the policyholder with an accelerated death benefit to use for 
      long-term care. If the person doesn’t use the 
      accelerated death benefit, they don’t lose 
      the value of the final death benefit.
    
    
      To keep things simple and easy, Nationwide doesn’t 
      require the policyholder to keep track of bills and receipts or worry 
      about creating an unintentional taxable event from payments from its 
      policies. After meeting the 90-day elimination period, Nationwide pays 
      the policy owner.
    
    
      The policyholder controls the payment amount and enjoys a high degree of 
      flexibility by choosing how much of the monthly benefit is received, up 
      to the benefit maximum or HIPAA limit, and any excess funds not needed 
      for LTC expenses may be used for any purpose. b.
    
    
      “Almost 28 percent of all ULtimate policies 
      written since we first launched the product two years ago have included 
      this important rider, so we know it is a key feature for consumers to 
      protect their assets and plan for their futures,” 
      said Golato.
    
    
      a. “Insurers Push for Long-term Care” 
      The Wall Street Journal, Dec. 27, 2005
    
    
      b. Nationwide sends a monthly check equal to the lesser of two 
      percent of the LTC specified amount or daily HIPAA amount ($270 in 2008) 
      times the number of days in the month.
    
    
      Automated Premium Monitor helps avoid policy lapse
    
    
      Nationwide YourLifeSM ULtimate proactively 
      addresses the problem of policy lapse. A patent-pending Automated 
      Premium Monitor (APM) program can help clients pay their premium at the 
      exact time needed, which ensures the death benefit guarantee stays in 
      force as originally illustrated. There is no extra cost to the 
      policyholder for this program.
    
    
      APM is a three-tiered safety net designed to:
    
    
      
        prevent the intended guarantee from going off course
      
      
        notify the client and producer if the planned guarantee is off track
      
      
        correct guarantees that strayed from the intended plan
      
    
    
      Important Consumer Information
    
    
      Neither Nationwide nor its representatives give legal or tax advice. 
      Consumers should contact their legal or tax advisor for answers to their 
      specific questions. As with all life insurance, guarantees are subject 
      to the claims-paying ability of the issuing life insurance company. As 
      consumers’ personal situations change (for 
      example, marriage, birth of a child or job promotion), so will their 
      life insurance needs. Care should be taken to ensure this product is 
      suitable for long-term life insurance needs. Any associated costs should 
      be evaluated before making a purchase. Investing involves market risk, 
      including the possible loss of principal.
    
    
      Life insurance has fees and charges associated with it that include 
      costs of insurance that vary with such characteristics of the insured as 
      gender, health and age, and has additional charges for riders that 
      customize a policy to fit individual needs.
    
    
      About Nationwide Financial
    
    
      Nationwide Financial Services, Inc. (NYSE: NFS), a publicly 
      traded company based in Columbus, Ohio, provides a variety of financial 
      services that help consumers invest and protect their long-term assets, 
      and offers retirement plans and services through both public- and 
      private-sector employers.
    
    
      It’s part of the Nationwide group of 
      companies, which offers diversified insurance and financial services. 
      The group is led by Nationwide Mutual Insurance Company, which is ranked 
      No. 108 on the Fortune 500 based on 2007 revenue.1 
      For more information, visit www.nationwide.com.
    
    
      Life insurance is issued by Nationwide Life Insurance Company or 
      Nationwide Life and Annuity Insurance Company, Columbus, Ohio.
    
    
      Nationwide, Nationwide Financial, the Nationwide framemark and On 
      Your Side are federally registered service marks of Nationwide Mutual 
      Insurance Company. Nationwide YourLife is a service mark of Nationwide 
      Mutual Insurance Company.
    
    
      1 Fortune Magazine, April 2007