Nationwide Financial(R) Unveils New YourLife(SM) Accumulation Variable Universal Life Product

Business Editors

COLUMBUS, Ohio--(BUSINESS WIRE)--July 28, 2008--Planning for the future used to be simple, but in today’s new economic reality, things are more complex.

To help boost consumer confidence, Nationwide Financial Services, Inc. (NYSE: NFS) today launched Nationwide YourLife SM Accumulation VUL, the newest member of its YourLife SM suite of life insurance products.

Nationwide YourLife Accumulation VUL provides clients with death benefit protection, potential cash value growth plus living benefits as part of their long-term planning strategy, all in one convenient product.

“Consumers used to rely on Social Security and a company pension to take care of their retirement income needs,” said Peter Golato, senior vice president for Nationwide Financial. “A term life insurance policy would cover burial expenses and pay off the mortgage. Today, consumers want more from their life insurance.

“The primary market for this product is a person between 35 and 55 years old, affluent and with a higher market risk tolerance. These clients are typically contributing the maximum amount allowable to their qualified retirement plans and have a well-diversified portfolio. They need additional retirement income or other income-planning solutions and would like to use some of their disposable funds for tax-advantaged accumulation opportunities,” Golato said.

A secondary market for the product includes business partners who want to protect the business from disruption should something happen to either of them. The potential cash value growth can be used by one partner to buy out the other in the case of early retirement. Or, the death benefit could provide the capital needed for one partner to purchase the business back from the other partner’s estate.

Product benefits for both the financial professional and the client

Nationwide YourLife Accumulation VUL is a policy geared to affluent clients who seek additional tax advantages for any income planning goal, thanks to competitive long-term cash values and income streams. To help with accumulation potential, YourLife Accumulation VUL offers a maximum 0.25-percent loyalty credit and no mortality and expense charge on a current basis.(a)

(a) Loyalty credit is non-guaranteed in most states and may be discontinued at any time. A mortality and expense charge does apply in New York, Puerto Rico and the Virgin Islands.

The permanent protection, flexibility of coverage and special features offered by the policy helps the financial professional provide smart solutions to their client’s needs. Examples of these special features – available with Nationwide’s policy management program – include the Automated Income Monitor and the Overloan Lapse Protection rider, which makes the policies easier to maintain and requires less work for both the financial professional and the client.

Optional riders provide more choices

Nationwide offers several beneficial riders, which can be added to personalize the product. Most riders have an additional cost and may not be available in all states. One important rider helps manage long-term care costs.

“Nationwide’s indemnity-style long-term care rider allows clients in need of long-term care to accelerate the policy’s death benefit, making it easier for clients to plan for and use the long-term care benefit without burdening their loved ones with worries about collecting receipts,” Golato said. “Nationwide pays the benefit directly to the owner of the contract. With the addition of the Nationwide Care Guide Network, it’s even easier for clients to get the support they need when they need it most.”

The Nationwide Care Guide Network ® – available to clients receiving long-term care benefits – is designed to help answer questions and provide information on health care, nutrition, support services and more.

Legacy and estate planning

For clients who want to make the most of what they pass on to their family or a favorite charity, Nationwide’s YourLife Accumulation VUL policy has potential cash value growth that can help them leverage what they have into a larger legacy. The death benefit transfers to the beneficiaries income tax-free and can even be estate tax-free if set up properly.

Important Consumer Information

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. All riders may not be available in all states.

Neither Nationwide nor its representatives give legal or tax advice. Consumers should contact their legal or tax advisor for answers to their specific questions.

Variable products are sold by prospectus. Carefully consider the investment objectives, risks, charges and expenses that may apply before investing.The prospectus contains this and other important information about the investment company.To request a copy, contact your investment professional or write to Nationwide Life Insurance Company, P.O. Box 182150, Columbus, OH 43218-2150. Please read the product and underlying fund prospectuses carefully before investing.

About Nationwide

Nationwide, based in Columbus, Ohio, is one of the largest diversified insurance and financial services organizations in the world, with more than $161 billion in assets. Nationwide ranks #108 on the Fortune 500 list. The company provides a full range of insurance and financial services, including auto, motorcycle, boat, homeowners, life, 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.

Life insurance is 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 Services Corporation.

Nationwide, 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.

Not a deposit • Not FDIC or NCUSIF insured• Not guaranteed by the institution • Not insured by any federal government agency • May lose value