Advisors Can Help Clients Achieve Greater Retirement Income Potential With Increased Payout for the Nationwide Lifetime Income Rider

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June 21, 2010 Monday 3:00 PM GMT

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Advisors Can Help Clients Achieve Greater Retirement Income Potential With Increased Payout for the Nationwide Lifetime Income Rider®; Enhanced Annuity Lineup From Nationwide Financial Includes New Nationwide DestinationSM B-share Annuity

COLUMBUS, Ohio

A recent survey by Nationwide Financial Services, Inc. found that 39 percent of Americans who have given thought to their financial retirement plan have no other sources of guaranteed income besides Social Security.1 To help investors close this retirement income gap, Nationwide is now providing enhancements to its variable annuity lineup including increased client payouts for the optional Nationwide Lifetime Income Rider (Nationwide L.inc) and a new B-share variable annuity, Nationwide DestinationSM B.

Enhancements to Nationwide L.inc

According to the Insured Retirement Institute (IRI), more than 81 percent of U.S. consumers in the variable annuity market want living benefit guarantees.2 At a time when many companies are scaling back their living benefit offerings, Nationwide continues to offer its industry-leading 10 percent annual roll-up and competitive payout rates for its guaranteed living benefit rider, Nationwide L.inc (available with certain Nationwide variable annuities for an additional cost). Nationwide recently announced that, due to recovering financial markets, it is increasing payout percentages for Nationwide L.inc for new contracts issued on or after May 1, 2010 with certain age restrictions.

The changes include:Increase from 5.0 to 5.25 percent for ages 65-80Increase from 6.0 to 6.25 percent for ages 81+

"Many consumers are worried about the rising cost of health care, inflation and the possibility of outliving their assets," said Eric Henderson, senior vice president of Individual Investments for Nationwide Financial. "Our recent enhancements to Nationwide L.inc provide an even higher level of guaranteed income to help advisors meet the needs of clients who are looking for a competitive living benefit that can provide a guaranteed stream of income in retirement."

A simplified annuity lineup

Nationwide Destination B is ideal for long-term investors who are focused on accumulating assets. This product offers:Choice - clients have the option to choose an investment portfolio or build their own custom portfolio.Certainty, not probability - investors have the opportunity to add Nationwide's guaranteed living benefit rider L.inc 10 for an additional cost.

Nationwide Destination B is part of the Nationwide Destination Series, a single share class lineup of annuities designed to streamline the company's annuity platform.

"We're always looking for new opportunities to simplify our products and processes to make it easier for advisors to do business with us," said Henderson. "Streamlining our annuity lineup into single share classes allows us to better align our variable annuities to help advisors determine which product is the best fit based on their client's needs. These changes also allow for simpler firm processing and systems programming to make it easier for advisors to write new business with us."

In addition to the new Nationwide Destination B annuity, the Nationwide Destination Series also includes additional B-share options Nationwide DestinationSM All American Gold (formerly known as the Best of America All American Gold Annuity) and The Best of America Achiever Annuity®. The series also includes L and C-share options to help round out its variable annuity platform.

Team-based sales support

Nationwide's commitment to simplicity is also evident in the sales support that it offers to advisors . This support includes a team-based approach that puts advisors in touch with a team of specialists in life insurance, annuities, retirement plans and mutual funds.

"In today's market environment, advisors have a complex set of financial problems to solve," said John Carter, President of Nationwide Financial Distributors, Inc. "Our team-based approach allows us to provide holistic support to advisors so that they can quickly find answers to their questions and deliver the right solutions to their clients."

About Nationwide

Nationwide, based in Columbus, Ohio, is one of the largest and strongest diversified insurance and financial services organizations in the U.S. and is rated A+ by A.M. Best3. The company provides a full range of personalized insurance and financial services, including auto insurance, motorcycle, boat, homeowners, life insurance , farm, commercial insurance, administrative services, annuities, mortgages, mutual funds, pensions, long-term savings plans and health and productivity services. For more information, visit www.nationwide.com .

1 401(k) public policy research, Nationwide Financial Services, April 2010

2 Annuity Sales Reveal Consumer Preferences, Insured Retirement Institute, June 2010

3 A.M. Best, affirmed 3/25/10

Variable products are sold by prospectus. Both the product prospectus and underlying fund prospectuses can be obtained from your investment professional or by writing to Nationwide Life Insurance Company, P.O. Box 182021, Columbus, OH 43218-2021. Before investing, carefully consider the fund's investment objectives, risks, charges and expenses. The product prospectus and underlying fund prospectus contain this and other important information. Read the prospectuses carefully before investing.

An annuity is a long-term, tax-deferred investment designed for retirement that will fluctuate in value. It allows you to create a fixed or variable stream of income through a process called annuitization and also provides a variable rate of return based on the performance of the underlying investments.

But, as with most things in life, an annuity does have limitations. If you decide to take your money out early, you may face fees called surrender charges. Plus, if you're not yet 59½, you may also have to pay an additional 10% tax penalty on top of ordinary income taxes. A death benefit is available with most variable annuities and naturally, if you do take an early withdrawal, your death benefit and the cash value of the annuity contract will be reduced.

You should also know that an annuity contains guarantees and protections that are subject to the issuing insurance company's ability to pay for them. But these guarantees don't apply to any variable accounts that are subject to investment risk, including possible loss of your principal.

An annuity is a contract between you and an insurance company and it's sold by prospectus. While it may take some time, you should read these documents. They describe risk factors, fees and charges that may apply to you. Variable annuities have fees and charges that include mortality and expense, administrative fees, contract fees, and the expense of the underlying investment options.

Living benefit riders are optional and may not be available on all Nationwide variable annuities or in all states. Any annuity purchase should be based on the annuity contract, and not optional riders or features.

All guarantees and protections, where available, are subject to the claims-paying ability of Nationwide Life Insurance Company.

Variable annuities are issued by Nationwide Life Insurance Company or Nationwide Life and Annuity Insurance Company, Columbus, Ohio. The general distributor is Nationwide Investment Services Corporation, member FINRA. In MI only: Nationwide Investment Svcs. Corporation.

Nationwide, the Nationwide framemark, Nationwide Destination and On Your Side are service marks of Nationwide Mutual Insurance Company. The Best of America, The Best of America Achiever Annuity, and The Best of America All American Gold Annuity are service marks of Nationwide Life Insurance Company.

John Carter is a registered representative of Nationwide Investment Services Corporation, member FINRA. In MI only: Nationwide Investment Svcs. Corporation. CONTACT: NationwideChad Green, 614-677-1679 [email protected] orJeff Whetzel, 614-249-6354 [email protected]

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June 22, 2010

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