Life insurance can be an essential component of most financial plans. Without it, you can run the risk of leaving those you care about without the financial means they need to go on if the unexpected should occur.
When you go to purchase a life insurance policy, there are several important key factors to keep in mind. These should ideally include the type and the amount of life insurance coverage you are buying. However, there is also another essential criterion. This is ensuring the insurance company you purchase the policy through is strong and stable financially and it has a good reputation for paying out its policyholder claims.
This is because if or when the time ever comes your loved ones need to call on the insurer for a claim, you will want to be sure the company will be there for them and it will make good on its promise. One insurance carrier who has had a positive reputation for doing just that for nearly a century is Nationwide Life Insurance Company.
The History of Nationwide Life Insurance Company
Nationwide has been in the business of protecting policyholders since 1925. The company began as a small mutual auto insurer owned by its policyholders, and today it has essentially grown into one of the largest insurance and financial service companies in the world.
Some of the insurer’s early growth came from working together with Farm Bureaus who sponsored the company. Even today, there are nine Farm Bureaus who continue to do so for Nationwide.
The company began as The Ohio Farm Bureau Federation, with a goal of insuring motorists in metro areas. It later moved into writing property insurance policies. Within 18 years, the company was operating in 12 states. As the company continued to expand, it changed its name in 1955 to Nationwide Insurance.
In 1978, the company completed its international headquarters – which was deemed to be the largest office building in Central Ohio. As Nationwide continued to expand, it acquired Farmland Insurance in 1982. And, in 1997, Nationwide became a publicly traded company.
In 2007, Nationwide moved into the banking arena when it opened Nationwide Bank, and in 2009, Nationwide Corporation went private again. Today, Nationwide is still owned by its policyholders – and it offers a wide range of products and services to its customers, including insurance, investments, banking, mortgages, pensions, and specialty health.
Our Nationwide Life Insurance Company Review
Today, Nationwide holds more than $158 billion in statutory assets. The company is comprised of several different components. For example, the Property, and Casualty businesses serves clients via five operating brands, including:
- Nationwide Insurance
- Allied Insurance
- Scottsdale Insurance
- Titan Insurance
- Nationwide Agribusiness
The financial services are offered through three different operating brands, including:
- Nationwide Financial
- Nationwide Retirement Solutions
- Nationwide Bank
The company’s operating revenue for 2015 was approximately $26.0 billion, which was a slight increase over 2014. Total sales for 2015 were just under $43 billion – also an increase over the previous year.
Nationwide provides sponsorship funds for numerous entities. For example, the company’s associates contribute funds to help nearly 800 local chapters of the United Way. The company also provides support for local Feeding America food banks, which has so far raised more than 18 million meals for families in need. The company is also an official sponsor for the National Football League.
Nationwide Company Ratings and Grades
As of April 2016, Nationwide Life Insurance Company had very good ratings from the insurer ratings agencies. These are reflective of the company’s strong position and its positive reputation for paying out is policyholder claims. These ratings include the following:
- A+ from A.M. Best
- A+ from Standard & Poor’s
- A1 from Moody’s
Nationwide has been an accredited company with the Better Business Bureau ever since September 1, 1955. The company has been given a grade of A+ (on an overall grade scale of A+ through F).
Over the past three years, Nationwide has closed 470 total complaints – of which 145 were closed within the past year. Of the 470 complaints, 348 had to do with the company’s products and / or services, 99 were concerning the company’s billing and / or collection issues, 19 were in regard to the company’s advertising and / or sales, 3 had to do with delivery, and one was in regard to guarantee / warranty issues.
Life Insurance Products Offered by Nationwide
Nationwide offers a wide variety of different life insurance products to choose from. This can be extremely helpful so its clients can pick the best coverage for their specific needs. Customers can also revise their life insurance coverage over time as their protection requirements change.
The life insurance coverage is offered includes both term and permanent protection. With term life insurance, the insured gets pure death benefit coverage only, without any cash value or savings build up. Because of this, term life insurance can often be an affordable life insurance option, and is purchased by those who may require life insurance coverage, but who do not have a lot to spend on premiums.
Term life insurance is sold for a set amount of time – or “term” – such as for ten years, 15 years, 20 years, or even 30 years. In some cases, depending on the policy, a term life insurance policy may be converted over into a permanent life insurance policy.
With permanent life insurance coverage, there is both death benefit protection, as well as cash value build up. The death benefit is guaranteed, as well as the amount of the premium – regardless of the insured’s increasing age, or the onset of an adverse health condition.
The cash value component of a permanent life insurance policy is allowed to grow tax-deferred. This means there are no taxes due on the growth of the funds in the cash value unless or until these funds are withdrawn. Funds may be withdrawn from the policy for any reason, including the payoff of debt, the supplementing of retirement income, for even for taking a nice vacation.
Term Life Insurance Products Offered by Nationwide
The term life insurance products offered by Nationwide include the Nationwide YourLife Guaranteed Level Term. This guaranteed level premium product offers protection for either 10, 15, 20, or 30 years.
There are also some optional riders which may be added to this policy to “customize” the plan to better fit an insured’s own needs. These include the following:
- Child Rider – With the child rider, a benefit will be paid out upon the death of the children or child or the insured.
- Spouse Rider – The spouse rider provides level term life insurance on the spouse of the insured individual. This may be converted over to its own whole life insurance policy at various times and within certain age limits. The rider will terminate when the base life insurance policy ends or when the spouse reaches a certain age.
- Premium Waiver Rider – With the premium waiver rider, if the insured were to become disabled, the premium due on the insurance policy will be waived during the disability – once a 6-month elimination period has been met. The rider may terminate when the primary policy expires, or when the insured has reached a certain age.
Permanent Life Insurance Products Offered by Nationwide
There are a number of different permanent life insurance products offered by Nationwide Insurance Company. These include whole life, universal life, and variable universal life insurance coverage.
Whole life insurance is considered to be the most basic of all permanent life insurance policies. With this type of coverage, the death benefit is guaranteed, and the cash value is also guaranteed to grow at a certain amount of interest set by the insurance company. The amount of the premium cannot be increased – regardless of the insured’s increasing age over time, or whether he or she contracts an adverse health condition in the future.
This type of life insurance is designed to last for a person’s entire lifetime – or the “whole” of someone’s life. Because the policy earns a fixed interest rate, it can be easier to predict the growth of the cash value over time.
Nationwide offers the YourLife WL whole life insurance policy. There are two different options for this life insurance product. With the WL 100 option, the premiums will remain the same, and they will stop when the insured reaches the age of 100. With the 20-Pay WL plan, the premiums will remain the same until the policy is paid up after 20 years.
Universal life is considered to be more flexible than whole life. This is because the policyholder can choose how much of his or her premium dollars to put towards the death benefit, and how much to put towards the cash value portion of the policy.
There are several different forms of universal life insurance, including fixed premium flexible premium. With fixed premium, the policy provisions cannot be changed once the policy has been issued. With flexible premium, the protection level can be changed, within certain guidelines. Also, the amount of frequency of the premium payments may also be controlled by the policyholder.
Nationwide offers some different universal life insurance policies, including the:
- YourLife Indexed UL Accumulator
- YourLife Indexed UL Protector
- YourLife Indexed UL
- YourLife SUL ll
- YourLife Single Premium UL
- YourLife Current Assumption UL
- YourLife No-Lapse Guarantee UL
Variable universal life insurance includes investment features in the cash value portion of the policy. Because of this, the funds within the cash value component have the opportunity to grow substantially. They also, however, can be at a greater amount of risk due to their market exposure.
These types of policies are often used for supplemental retirement planning, and / or for business planning solutions, education funding, or long-term care funding needs. The variable universal life insurance policies are offered by Nationwide include:
- Nationwide YourLife Protection VUL
- Nationwide YourLife Accumulation VUL
- Nationwide YourLife Survivorship VUL
Other Products Offered
In addition to life insurance, Nationwide also offers other insurance coverage, as well as retirement products. These include the following:
- Auto Insurance
- Property Insurance
- Mutual Funds
- Retirement Plans
Is Nationwide right for you?
When seeking the best life insurance premium quotes, it is typically beneficial to work with an agency or a company who has access to more than just one single life insurer. This is so you can more directly compare policies, benefits, and premium prices – and from there, you can then determine which will be the best plan for you and your specific needs.
If you are ready to move forward with life insurance policy comparisons, we can help. We work with many of the top life insurance carriers in the marketplace, and we can assist you in obtaining all of the details you require. To do so, all you need to do is just simply fill out the form on this page.
We understand the purchase of life insurance can be somewhat overwhelming. There are many variables to keep in mind – and it is important to ensure you choose the right life insurance company for your specific needs and one who will be there if or when you need them to pay out and make good on their promises. The good news is we can walk you through the process step-by-step and can help to ensure you obtain the plan which is best for you. So, contact us today – we’re here to help.