Nationwide YourLife® Indexed UL

Nationwide YourLife® Indexed UL
. Why Nationwide’s Indexed UL? May, 2012 FLM-0802AO.4 For Insurance professional use only

Nationwide YourLife Indexed UL
Life Insurance issued by Nationwide Life Insurance Company and/or Nationwide Life and Annuity Insurance Company. Guarantees are subject to the claims paying ability of Nationwide. As your clients' personal situations change (i.e., 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 their long-term life insurance needs. They should weigh any associated costs before making a purchase. 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 their individual needs. Indexed universal life policies are not stock market investments and do not directly participate in any stock or equity investments. Past index performance of an index is no indication of future crediting rates because you are buying an indexed universal life insurance policy does not involve actually purchasing or owning securities or stock, so it’s not the same as investing directly in the stock market and therefore does not receive dividend or capital gains participation. Not a deposit Not FDIC or NCUSIF insured Not guaranteed by the institution Not insured by any federal government agency May lose value © 2012 Nationwide Financial Services, Inc. All rights reserved FLM-0802AO.4 For Insurance professional use only

FLM-0802AO.4 For Insurance professional use only
Nationwide YourLife® Indexed UL S & P 500® is a trademark of Standard & Poor's and has been licensed for use by [Nationwide / Nationwide Life Insurance Company / Nationwide Life and Annuity Insurance Company]. The [Policy / Nationwide YourLife ® Indexed UL / Nationwide MarathonSM Indexed UL] is not sponsored, endorsed, sold or promoted by Standard & Poor's and Standard & Poor's makes no representation regarding the advisability of investing in the Product. NASDAQ®, OMX®, NASDAQ OMX®, NASDAQ-100®, and NASDAQ-100 Index® are registered trademarks of The NASDAQ OMX Group, Inc. (which with its affiliates is referred to as the "Corporations") and are licensed for use by [Nationwide / Nationwide Life Insurance Company / Nationwide Life and Annuity Insurance Company]. The Product has not been passed on by the Corporations as to their legality or suitability. The Product is not issued, endorsed, sold, or promoted by the Corporations. The Corporations make no warranties and bear no liability with respect to the product. The "Dow Jones Industrial AverageSM" is a product of Dow Jones Indexes, the marketing name and a licensed trademark of CME Group Index Services LLC ("CME"), and has been licensed for use. "Dow Jones®", "Dow Jones Industrial AverageSM" and "Dow Jones Indexes" are service marks of Dow Jones Trademark Holdings, LLC ("Dow Jones") and have been licensed for use for certain purposes by Nationwide / Nationwide Life Insurance Company / Nationwide Life and Annuity Insurance Company. Nationwide's Nationwide YourLife® Indexed UL based on the Dow Jones Industrial AverageSM is not sponsored, endorsed, sold or promoted by CME Indexes, Dow Jones or their respective affiliates, and CME Indexes, Dow Jones and their respective affiliates make no representation regarding the advisability of trading in such product(s) FLM-0802AO.4 For Insurance professional use only 3

Agenda Indexed Universal Life Sales Trends Why is IUL so attractive? Nationwide’s IUL profile How Nationwide’s IUL can fit your clients’ insurance needs? Nationwide Pricing Insights: Income solves, Protection solves (endow), Extended Death Benefit Guarantee (EDBG) Summary and Questions Indexed Universal Life Sales Trends Why is IUL so attractive? Nationwide’s IUL profile How Nationwide’s IUL can fit your clients’ insurance needs? Nationwide Pricing Insights: Income solves, Protection solves (endow), Extended Death Benefit Guarantee (EDBG) Summary and Questions FLM-0802AO.4 For Insurance professional use only

For Insurance professional use only
IUL Sales Trends Indexed UL products represented just over 5 percent of UL sales 5 years ago and now represent about 25 percent of these sales today 8 of the top 10 UL Market Share leaders now offer an IUL product Nationwide YourLife IUL launched Nov. 2011 These IUL Sales trends clearly demonstrate the gravitation towards Indexed UL products. Indexed UL products represented just over 5 percent of UL sales 5 years ago and now represent about 25 percent of these sales today 7 of the top 10 UL Market Share leaders now offer an IUL going into 2012 Nationwide YourLife IUL launched Nov. 2011 IUL Sales trends 2008 total IUL sales were 750 million total IUL sales were 1 billion 2010 total IUL sales were over 1.6 billion 2011 total IUL sales were $2.3B * Source: LIMRA's U.S. Individual Sales (2008 to 4th Q 2011). Sales numbers represent LIMRA's total premium (sum of planned recurring, single and excess premium.) For Insurance professional use only

Why is IUL attractive? Consumer Guaranteed Death Benefit Protection Protected from the impact of market losses Potential for growth Producer Meet consumer need No Securities license and CE Compensation Insurance Company Low interest rate environment and volatile equity market Alternative to No Lapse Guarantee UL, Variable Universal Life, and Current Assumption UL Why are Indexed UL’s so attractive right now? Why are they the fastest growing product line? In part: Carriers intentionally shifting focus away from NLG UL In part: Producers don’t need a license to sell – or submit through their B/D (no “hair cut” on commissions) From Consumer Perspective Compared to Accum UL and Current Assumption UL: Expecting a higher return – in low interest rate environment Compared to VUL: Although not expecting as high of returns (because of caps); Have security of knowing minimum return is 0% (vs. potential for negative returns in VUL) FLM-0802AO.4 For Insurance professional use only 6 6

Nationwide’s IUL FLM-0802AO.4 For Insurance professional use only
Product Design Goals Potential for Growth with protection from market losses Introducing: Nationwide YourLife® Indexed UL Product Highlights Include: - 140% participation rate % cap rate (target current rate at launch) Weighted, blended average of 3 indices – S&P 500®, NASDAQ® - 100, and Dow Jones Industrial AverageSM Monthly averaging crediting method Variable Loans Rolling Target Premiums Indemnity style LTC rider Extended Death Benefit Guarantee Rider Guaranteed Issue/Simplified Issue for business clients (EXEC IUL) Current rates, subject to change as frequently as monthly. **Riders may not be available in every state, may be known by different names in certain states are available for an additional charge. FLM-0802AO.4 For Insurance professional use only

Nationwide’s IUL - continued
FLM-0802AO.4 For Insurance professional use only

Nationwide’s IUL -New York
New York Variations No Rolling Targets No Death Benefit Option 3 No Alternative Loans Rolling targets, death benefit option 3 and alternative loans are not available in NY. FLM-0802AO.4 For Insurance professional use only 9

Nationwide Indexed UL Rider Highlights
Long Term Care rider Indemnity style – tax-free payments made directly to the policy owner, and no bills or receipts need to be submitted Eligibility Requirements – unable to perform two or more of the activities of daily living for a period of 90 days (elimination period); or have a cognitive impairment Qualified LTC Services include – Nursing Home Care, Home Health Care and Hospice, Assisted Living, and Adult Day Care Monthly Benefit is the lesser of: - 2% of the long-term care specified amount or - Daily amount allowed by HIPAA ($310/day in 2012) x number of days in the month Extended Death Benefit Guarantee rider (EDBG) EDBG Duration – 21 years to Lifetime EDBG Percentage – 50% to 100% of the Specified Amount Cumulative premium requirement; Unlimited catch up (no interest) 100% allocation to Indexed Account only (if EDBG rider elected) Advanced Payment Premium – discounted premium requirement if paid within the first ten policy years Catch Up: Because of our Premium Design - Catch up price is Cumulative Missed premiums (unlike Shadow Account designs you see on NLG UL's, or for AVIVA and Minn Life's IUL) Keep in mind that as an acceleration of the death benefit, the LTC rider payout will reduce both the death benefit and cash surrender values. The Long Term Care rider may be known by different names in different states, may not be available in every state and has an additional charge associated with it. Nationwide’s YourLife Indexed UL offers many riders to meet the needs of your clients. Two riders to highlight are the Long Term care rider (LTC) and the Extended Death Benefit Guarantee rider (EDBG). Combined with a YourLife Indexed UL life insurance policy (for an additional cost), the LTC rider is designed to provide your clients with a safeguard against the financial burden of long-term care. Your clients select the long-term care specified amount when they purchase the contract; it can be as much as 100% of the policy’s total specified amount, as little as 10% of the total specified amount or anywhere in between (in NY, KY and Virgin Islands, the amount of the LTC specified amount must be equal to the specified death benefit at issue). Indemnity style – tax-free payments made directly to the policy owner, and no bills or receipts need to be submitted Eligibility Requirements – unable to perform two or more of the activities of daily living for a period of 90 days (elimination period); or have a cognitive impairment Qualified LTC Services include: Nursing Home Care, Home Health Care and Hospice, Assisted Living, and Adult Day Care Monthly Benefit is the lesser of: 2% of the long-term care specified amount or Daily amount allowed by HIPAA ($300/day in 2011) x number of days in the month Another optional rider to highlight is the Extended Death Benefit Guarantee rider. This rider must be added at issue and adds an additional charge to the policy. Select the EDBG Duration desired, anywhere from 21 years to Lifetime Select the EDBG Percentage desired, anywhere from 50% to 100% of the Specified Amount To maintain the rider there is a cumulative premium requirement; There is an unlimited catch up provision (with no interest penalty) if your client misses a premium or underfunds the EDBG premium requirement 100% allocation to Indexed Account only. Allocation to the Fixed Interest Strategy is not allowed if the EDBG rider is elected. Advanced Payment Premium – discounted premium requirement if paid within the first 10 policy years. Keep in mind, partial surrenders and/or policy indebtness may cause the EDBG cumulative premium requirement to become underfunded. Only exception to NW's Cum Miss Prem's catch up price is 10 yr Adv Prem pay where Catch up must be paid in 10 yrs FLM-0802AO.4 For Insurance professional use only 10 10

Why Nationwide? Monthly Averaging Potential to minimize market timing risk Smooth volatility by averaging returns over 12 points in time vs. 2 Multi-Index Blend S&P 500®, NASDAQ-100®, Dow Jones Industrial AverageSM Performance weighted: 50% (best), 30% (2nd best), 20% (3rd) Takes the guess work out of allocation 140% current Participation Rate* Consider current volatile market Expecting modest market performance – 140% may be ideal * Current rates are subject to change Nationwide may discontinue any index that becomes unavailable (i.e, is no longer published) or the calculation of which is substantially changed. Nationwide may substitute with a comparable index or may adjust the method of calculating Index Segment Interest. As you heard earlier, Nationwide has a multi index blending strategy. The key to help your clients understand the advantages of this blending is that this has simplified the decision making process. They do not have to choose from index a, b or c. They automatically get 50% of the best, 30% second best and 20% third. Monthly averaging protects them from a drop in annual point crediting (see next slide). And a high participation rate allows for greater growth opportunities in a market that is up, but is not “outstanding” and meeting or exceeding the IUL cap rates. Note: weighting is based on availability of the underlying indexes In 2011 the U.S. markets were open for 252 days, for those that track the Dow Jones Industrial Average SM, the market had 104 days with at least 100+ point swings from one day to another! FLM-0802AO.4 For Insurance professional use only 11 11 11

Coming Soon (June 2012) New Indexed Strategy S&P 500® Annual point-to-point * 100% Participation Rate (current & guaranteed) 12% Cap Rate (current) Conditional Return of Premium rider This rider benefit provides upon surrender the greater of net surrender value or a percentage of the cumulative premiums, including 1035 premiums, based on policy year: Policy Years 1-3: 100% Policy Year 4: 95% Policy Year 5: 90% Eligibility requirements and annual premium requirements must be met * Current rates are subject to change And briefly we would like to call attention to upcoming enhancements to Nationwide’s YourLife IUL. We will be launching a 2nd Indexed Strategy option S&P 500® Annual point-to-point & we will be introducing a new rider called the Conditional Return of Premium rider. New Indexed Strategy S&P 500® Annual point-to-point * 100% Participation Rate (current & guaranteed) 12% Cap Rate (current) Conditional Return of Premium rider -- If you have individual or business clients in need of early cash surrender values to meet their planning obligations, or clients with concerns about their return on investment when purchasing a life insurance product, than the Conditional Return of Premium rider may be a good fit for them. This rider benefit provides upon surrender the greater of net surrender value or a percentage of the cumulative premiums, including 1035 premiums, based on policy year: Policy Years 1-3: 100% Policy Year 4: 95% Policy Year 5: 90% Please keep in mind this rider is not for everyone. Eligibility requirements and annual premium requirements must be met. Rider only available at issue and will result in a modified commission schedule. FLM-0802AO.4 For Insurance professional use only 12 12 12

Which strategy is right for your clients?
Annual point-to-point This strategy is a good fit for clients who anticipate steady market growth in the near future With Nationwide you will have two indexed credit strategies to allocate to. You can choose to allocate 100% or allocate a certain percentage to each (e.g. 50% in one, 50% in the other). Which one is right for your clients? The examples here are simply intended to educate… Annual point-to-point This strategy is a good fit for clients who anticipate steady market growth in the near future. Annual point-to-point simply compares the initial and ending values of the S&P 500® Index over a one-year period to determine the percentage of change in the index. Becauseit’s not an average, the point-to-point method can potentially result in higher interest credited when markets are stable and experiencing steady growth. However, it relies on only two points of time. Monthly average This strategy may work better for clients who are wary of market volatility and believe it will continue in the near future. The monthly averaging interest crediting strategy tracks the performance of three indexes — the S&P 500®, NASDAQ-100® and Dow Jones Industrial AverageSM — each month for one year and averages numbers to determine the percentage of change within each index. It then weights and blends these averages to determine the final rate your clients receive. Using more points of measure can help provide a more representative interest credited to their policy, which can be especially helpful during volatile markets. However, the result may or may not be favorable, depending on market volatility. Monthly Average This strategy may work better for clients who are wary of market volatility and believe it will continue in the near future FLM-0802AO.4 For Insurance professional use only 13 13 13

One Year Monthly Averaging Strategy Determining the performance of the underlying Indexes The hypothetical illustration used above are actual/hypothetical figures for the dates indicated, however they may not represent actual results. Past performance is no guarantee of future performance or of values of indexed life insurance. Cap rates are illustrative in nature, are not guaranteed, are subject to change. Cap rates and participation rates may vary. Different time scenarios will produce varying results which could be less favorable or more favorable for depending on the performance of each entity. Indexed universal life policies are not stock market investments and do not directly participate in any stock or equity investments Initial values At the end of the segment period, the 12 values are averaged for each index, and compared to the initial values to determine growth. Index A Example: 11, (average) – 10, (initial value) = / 10, = 5.20% growth This slide shows how performance of the indices is tracked and how the growth is determined during a segment period. The initial values of the indices is captured on the sweep date (see initial values line of the Index Performance chart). The values of the indices is then captured on the 15th of the month for the next 12 months. Those twelve values are then averaged. The initial value is then subtracted from the average value and then divided by the initial value to determine the percent growth during the segment period. See the last box on the right which give an example of how the percent growth of index A is determined….. FLM-0802AO.4 For Insurance professional use only

Calculating Interest Credited – The power of the weighted Blend and 140% participation rate . -This slide shows how the percent growth of all three indices roll into the multi-index blend, with higher percentages of the better performing indices in the total result – in this example 5.79% -The percent change of each index determines which one performed best for that segment period, in this example, Index B at 3.44%. -The Index growth (or percent change) is then multiplied by the appropriate percentage according to performance, which added together is the “total result” (in the top chart – is 5.79%) -Then, the participation rate is applied – in this example 5.79% is multiplied by our expected current participation rate of 140% which results in 8.10% interest The cap or floor is then applied, if the total interest credited rate is greater than the cap or less than the floor. In this example, the total interest credited is less than a hypothetical cap of 12% and more than the guaranteed floor of 0%, so 8.10% interest is credited to the accumulated value in the Index Segment. This calculation is done at every segment maturity date to determine how much interest is credited to each segment. Each Index segment will have its own participation rate, cap rate and floor rate. Participation Rate: Percentage of index performance used to calculate Interest Credited (before caps or floors are applied) Floor: The Floor rate is the minimum Index segment interest rate applicable to an Index Segment Interest Period. Cap: Declared maximum percent (cap) that will be used in calculating the segments index credit. It provides the upper limit to the interest credited * Reference Index Performance Rate FLM-0802AO.4 For Insurance professional use only

Applying Participation Rate, Cap, Floor
. This slide shows the impact of the participation rate, the cap and the floor. The top line represents a hypothetical cap of 12% and the bottom line represents a floor of 0%. The green line reflects the hypothetical index The gray line reflects a product offering a 100% participation rate – compared to the blue line which our product which offers a 140% participation rate. -Example 1, 2, & 5 reflect the benefit of a participation rate greater than 100%. Note the gray line in example 1, - if the percent growth during a segment period is 10%, a company with a 100% par rate would credit 10%. With NW and a par rate of 140%, a 12% rate would be credited. In example 2 a company with a 100% par rate would credit 6%, while a company with 140% would credit 8.4%. In example 5, a company with a 140% par rate credits 11.2% compared to 8% from a company with a 100% par rate Example 3 – reflects the benefit of a guaranteed floor in the event of a year when index performance is poor, and Example 4 – reflects how the cap rate is applied - Keep in mind even though the account was not credited at 0% return that the policy charges will reduce the cash value in the account 12% cap, 0% floor and 140% participation rate are all current rates and subject to change FLM-0802AO.4 For Insurance professional use only 16

Premium Allocated to Indexed Strategy
Example Assumes Annual Premium This illustrates how accumulated value is swept into index segments. -Assumptions: An annual premium (results in 1 segment). Monthly premium will result in 12 and interested credited once a year when that segment matures. There can be up to 12 segments at a time, per interest strategy. -Funds in excess of the minimum fixed interest strategy allocation are “swept” monthly into the indexed strategy into segments, on the 15th of the month. -A policy owner will not see interest credited to the indexed interest strategy until the anniversary of the first segment. For annual premium mode, interest will be credited to the Indexed Interest Strategy once a year. -Note that the cap/par/floor rates are locked in at sweep start date. The rates in effect at the sweep date are the rates applied at maturity when the interest credited rate is determined. [MDs= admin fee, per thousand charges, COIs] Premium Allocation chart represents one segment created (annual pay or lump sum). Monthly modal premiums will result in twelve segments active at the same time, per interest strategy. Note: Amounts deducted from the Indexed Interest Strategy prior to a segment(s) maturity will not receive interest credited. This includes amounts deducted to pay for policy charges, full or partial surrenders, and/or declared loans FLM-0802AO.4 For Insurance professional use only

Incorporate IUL into your Existing Product Solutions
Accumulation and Income: Alternative to VUL Alternative to Accumulation UL’s IUL can be used for Protection sales: Alternative to Current Assumption UL Solve to Endow or Solve to Carry ($1) IUL can be used for Death Benefit Protection sales: Alternative to No-Lapse Guaratee UL Alternative to VUL (w/ NLG riders) Accumulation and Income: Alternative to VUL Alternative to Accumulation UL’s IUL can be used for Protection sales: Alternative to Current Assumption UL Solve to Endow or Solve to Carry ($1) IUL can be used for Death Benefit Protection sales: Alternative to No-Lapse Guaratee UL Alternative to VUL (w/ NLG riders) Our Research found that the majority of IUL sales are for Accumulation/Income, similar to the sales traditionally used with an Accumulation VUL sale. In addition IUL has its place with being sold as an alternative to a current assumption product solution. Traditional CAUL products are presently only crediting around 4-5%, so IUL offers a bit more potential for growth that CAUL offers….assuming the underlying indexes being tracked credit a better interest rate. However we do recognize IUL can be sold purely as a death benefit protection sale -- An alternative to NLG-UL products (if the product has an extended guarantee). Recall Nationwide offers the option of adding our Extended Death Benefit Guarantee rider (we refer to as EDBG). It can be dialed anywhere from 21 yrs to Lifetime and/or 50%-100% of the DB. FLM-0802AO.4 For Insurance professional use only

Pricing Insights Accumulation and Income Protection solves (low premium to endow) Extended Death Benefit Guarantee As we review the pricing slides we will focus on 3 types of benchmarking scenarios FLM-0802AO.4 For Insurance professional use only 19 19

Disclosure IMPORTANT BENCHMARKING INFORMATION: All competitive information is believed to be current as of April Information was compiled from the latest company software. Aviva v , ING v , Lincoln v14.5, Pacific Life v11.04, John Hancock v8.0, Axa v7.1, Penn Mutual 11.1, Nationwide v2.4 and Minnesota Life’s web based software. All information presented is deemed reliable and Nationwide has made every effort to make sure it is accurate; however, it’s possible that there are differences between the products compared which are not reflected and/or of which we are unaware. For this reason, its completeness and accuracy cannot be guaranteed. IMPORTANT BENCHMARKING INFORMATION: All competitive information is believed to be current as of January Information was compiled from the latest company software. Aviva v , ING v , Lincoln v14.5, Pacific Life v11.04, John Hancock v8.0, Axa v7.1, Penn Mutual 11.1, Nationwide v2.3 and Minnesota Life’s web based software. All information presented is deemed reliable and Nationwide has made every effort to make sure it is accurate; however, it’s possible that there are differences between the products compared which are not reflected and/or of which we are unaware. For this reason, its completeness and accuracy cannot be guaranteed. FLM-0802AO.4 For Insurance professional use only

Income solve with Withdrawals/Declared Loan
Expect Nationwide’s competitiveness to vary when traditional income solves are used Here is an accumulation and income example. Nationwide’s competitiveness to vary when compared against many others. There are just so many different case designs which can be used (what rate, what DBO, what funding level, what type of loan?, etc). Example assumes a typical supplemental retirement case design (max funded, minimum non-mec). This is a m45, funding $25k/yr to a65, then pulling income for 20 yrs using withdrawals, then declared loans (fixed). When our default illustrative rate of 7.6% is used in a sales scenario we will generally be middle of the pack against those showing rates 8%+ rates, but you have the option of illustrating up to a max of 8.3%. Colored in blue is where our position jumps to when the max rate of 8.3% is used. The next slide will show we compare better when the case design assumes everyone is ran at the same interest credit rate… * 8.30% represents the maximum illustrated rate for Nationwide’s Multi-Index strategy. All other rates represent the carriers default credit rate upon illustration start up FLM-0802AO.4 For Insurance professional use only 21 21 21

Income solve with Withdrawals/Declared Loan
Same scenario as previous except for 7.00% credit rate is used for all Same scenario as previous slide. Rather than use everyone’s various illustrative default rates, we are using a flat 7% for everyone to level the playing field. Nationwide’s competitiveness is better here. Went from middle of the pack to 2nd here. FLM-0802AO.4 For Insurance professional use only 22 22 22

IUL Premium Solves (Endow)
Nationwide YourLife Indexed UL will compete well in protection oriented premium solves Nationwide YourLife Indexed UL will compete well in protection oriented premium solves. This example assumes a Male 45, $1 million DB, solving for level pay premium (all years). We will look good vs. competitors, and should be lowest premium solve product Nationwide offers. This is due in part to Nationwide’s low internal policy cost structure, especially in the early years of the contract. We will touch on this in a moment. Yes, this is just one scenario (male 45, $1M DB). Nationwide will not be #1 in every scenario. We do expect to be a top 1/3 player for low premium protection sales across the board (low bands, high bands, and various ages). Keep in mind, when carrier default credit rates are assumed (rather than 7% flat), Nationwide may fall behind those with higher illustrative rates (8.5% to 10%). Notice Nationwide target premiums are decent (with 2 yr rolling). All but Axa and John Hancock offer rolling targets in this grid. Nationwide will have a nice target advantage over Minn Life and Lincoln (the closest competitors here). Minn Life and Lincoln has two IUL’s, products. Portrayed here is their Protection versions, which was designed with low targets. FLM-0802AO.4 For Insurance professional use only 23 23

IUL Policy Charges vs. Top IUL competitors
Nationwide YourLife Indexed UL generally has lower internal policy charges, especially in early years (thru yr. 20) This slide is a deep dive into the premium and policy charges for this protection sales scenario (m45, $1M DB, solving for premium all years, based on 7.00% flat rate for everyone). We grabbed a handful of carriers from the previous solve to endow example. Looking left to right you can see Nationwide’s charges are generally lower against these top IUL competitors, especially in the early years of the policy (thru year 20). Fyi – these charges were pulled from everyone’s annual cost summary reports in the software FLM-0802AO.4 For Insurance professional use only 24 24

IUL Premium Solves (Endow)
Older age example Same case, with $100k 1035/Dump In Here we are taking a glance at how Nationwide looks for an older age case. Note the previous two slides focused on a healthy 45 yr old. Case here is a male 60, standard NT. Example on left is $1M DB, solving for premium all years (7% assumed). Example on the right assumes there may be a $100k 1035 or dump in, then solving for premium to carry the policy at 7%. You can see Nationwide’s competitiveness holds in both examples. FLM-0802AO.4 For Insurance professional use only 25 25

IUL EDBG Rider (NLG rider)
Age 55+ for Level Pays & 10 Pays Must Allocate 100% to Indexed Strategy High target premiums for Nationwide IUL w/EDBG vs. competitors Cumulative premium catch up (no interest) Extended Death Benefit Guarantee Example Age 55+ for Level Pays & 10 Pays Must Allocate 100% to Indexed Strategy High target premiums for Nationwide IUL w/EDBG vs. competitors Cumulative premium catch up (no interest) We recognize Aviva’s Advantage Builder IUL is very popular for NLG sales. Here is an example of where Nationwide’s level pays and 10 pays may be competitive. As a heads up, case with Single pays or cases with dump ins will not be as close. Has to do with Shadow Account design vs. NW’s cumulative premium design. It will be rare when Nationwide is #1 in price vs. Aviva for NLG case, but there will be cases where the premium is very close. When this happens --Notice High target premiums (red box) and Notice the CV potential vs. Aviva, especially Yr. 20 & 30. If EDBG rider is added, all premiums must be allocated to the Index account. Aviva’s product requires majority of premium to stay in their fixed interest strategy, so won’t accumulate much CV on level pays and 10 pays. FLM-0802AO.4 For Insurance professional use only 26 26 26

Quick Summary of Nationwide’s IUL
One product to meet many consumer needs: Death Benefit Protection (low premium solves) Accumulation potential Guaranteed Coverage (optional EDBG rider) Long Term Care coverage (optional LTC rider) These riders may be known by different names in different states, may not be in every state and have an additional charge associated with them. Look to Nationwide’s IUL for all the varying needs your clients may have. One product to meet many consumer needs. Nationwide’s IUL can be used as an efficient solution for: Death Benefit Protection – use protection oriented sales with low premium solves Accumulation potential – use for supplemental retirement planning Guaranteed Coverage – add the optional EDBG rider (21 yrs to Lifetime) if your client desires a guarantee beyond what the base policy can provide. Long Term Care coverage – add the optional LTC rider to potentially accelerate all or a portion of the death benefit for future long term care needs FLM-0802AO.4 For Insurance professional use only

Quick Summary of Nationwide’s IUL Sweet Spots
Low Premium Solves to Endow Especially when illustrative rates are same or comparable Wide range of competitiveness (Age 45 – 65) Income Solves Option 1 DBO (level) more competitive than Option 2 Alternative loans available EDBG rider flexibility and targets Cumulative premium catch up (no interest) 21 yrs to Lifetime NLG and ability to specify 50% to 100% for NLG Higher target premiums All premium must be allocated to Index Strategy with the EDBG rider Competitive Target Premiums (2-yr rolling) This slide is simply a quick wrap up of the detail explained in the previous pricing slides…. Low Premium Solves to Endow Especially when illustrative rates are same or comparable Wide range of competitiveness (Age 45 – 65) Income Solves Option 1 DBO (level) more competitive than Option 2 Alternative loans available EDBG rider flexibility and targets Cumulative premium catch up (no interest) 21 yrs to Lifetime NLG and ability to specify 50% to 100% for NLG Higher target premiums All premium must be allocated to Index Strategy with the EDBG rider Competitive Target Premiums (2-yr rolling) FLM-0802AO.4 For Insurance professional use only

QUESTIONS? Nothing will be printed on this slide – it is to trigger for questions from the group. FLM-0802AO.4 For Insurance professional use only 29

Nationwide vs. AVIVA What AVIVA Offers: 2 IUL products (Protection focused with NLG and Accumulation) Offers 5 Strategies: 1 yr Mon Cap, 1 yr Mon Ave weighted Multi blend, 1 yr Monthly Av no blend, 2 yr Point-to-point, and 1 yr Point-to-point 2% true up upon surrender How Nationwide competes with AVIVA: Aviva’s Segment Maturities (not crediting frequency): -1 yr strategies are 5 yr maturities; and 2 yr strategy is 6 yr maturity Higher Current Participation vs. all AVIVA strategies AVIVA has limited 5 yr “catch up” (Restoration period) for EDBG Nationwide has Long Term Care rider, AVIVA does not Aviva’s Segment Maturities (not crediting frequency): -1 yr strategies are 5 yr maturities; and 2 yr strategy is 6 yr maturity Higher Current Participation vs. all AVIVA strategies AVIVA has limited 5 yr “catch up” (Restoration period) for EDBG Nationwide has Long Term Care rider, AVIVA does not FLM-0802AO.4 For Insurance professional use only 30

Nationwide vs. Minnesota Life
What Minnesota Life Offers: 2 IUL’s (Protection & Accumulation focused) 3 types indexed strategies all Annual Point to Point 1 international Dow Jones World Ex-US, and remaining two S/P 500’s, 1 of S/P’s 500 options has a 140% participation Offer a 3% true up upon surrender (confused as Guaranteed Floor) How Nationwide competes vs. Minnesota Life: Minnesota has a Guaranteed Cap of 0% (Nationwide is 3%) Nationwide has higher current Cap combined with 140% Par rate - Minnesota has 140% current Participation rate with 7.5% current cap on Protection version, 9% current cap on Accum version Minnesota Life utilizes End Point Crediting but does not offer MRFISA (This means any distributions that are deducted from Indexed Strategy account for charges do not receive the index credit at segment maturity) Minnesota has a Guaranteed Cap of 0% (Nationwide is 3%) Nationwide has higher current Cap combined with 140% Par rate - Minnesota has 140% current Participation rate with 7.5% current cap on Protection version, 9% current cap on Accum version Minnesota Life utilizes End Point Crediting but does not offer MRFISA (This means any distributions that are deducted from Indexed Strategy account for charges do not receive the index credit at segment maturity) FLM-0802AO.4 For Insurance professional use only 31 31

Nationwide vs. Pacific Life
What Pac Life Offers: 1 IUL with 4 indexed strategies - 1 yr S/P 500, 2 yr S/P 500, a 5 yr S/P 500 uncapped, and 1 yr International blend Pac Life promotes: Premium Financing & Sec 79 Sales applications How Nationwide competes vs. Pacific Life: Pacific Life not eligible for Overloan unless withdraw to basis Nationwide has higher Current Participation vs. all Pacific Life strategies Nationwide Monthly Averaging vs. Pac’s 1yr & 5 year Point-to-Point (with last yr averaged) Nationwide offers optional Long Term Care Rider Nationwide offers optional lifetime EDBG duration Pacific Life not eligible for Overloan unless withdraw to basis Nationwide has higher Current Participation vs. all Pacific Life strategies Nationwide Monthly Averaging vs. Pac’s 1yr & 5 year Point-to-Point (with last yr averaged) Nationwide offers optional Long Term Care Rider Nationwide offers optional lifetime EDBG duration FLM-0802AO.4 For Insurance professional use only 32 32

Nationwide vs. John Hancock
What John Hancock offers: Offers two 1 yr annual point-to-point strategies: 1 capped, 1 uncapped and both strategies are S/P 500 Spread: Uncapped option has a 5.5% current spread and 20% guaranteed spread (subtract from indexed return) Offer Non guaranteed Persistency bonus 0.65% yrs 11+ Offer a 2% “true up” upon surrender How Nationwide competes vs. John Hancock: Nationwide offers weighted multi-index blend vs. their S/P only Nationwide offers higher current participation than John Hancock strategies John Hancock not eligible for Overloan unless withdrawn to basis Nationwide offers Monthly Averaging vs. their Annual Point to Points JH’s EDBG maximum duration is to age 75 with a 5 year base Nationwide offers weighted multi-index blend vs. their S/P only Nationwide offers higher current participation than John Hancock strategies John Hancock not eligible for Overloan unless withdrawn to basis Nationwide offers Monthly Averaging vs. their Annual Point to Points JH’s EDBG maximum duration is to age 75 with a 5 year base FLM-0802AO.4 For Insurance professional use only 33

Nationwide vs. Transamerica
What Transamerica Offers (also Western Reserve Life): Two products: 1 Global, 1 Domestic Both Annual Point-to-point Domestic: S&P 500 only Global: Blended (S/P 500, Euro Stoxx 500, Hang Seng) Note: never more than 20% Hang Seng How Nationwide competes vs. Transamerica: Transamerica does not offer LTC rider Nationwide offers higher current participation than Transamerica Transamerica only offers Annual Point-to-point strategies Transamerica does not offer LTC rider Nationwide offers higher current participation than Transamerica Transamerica only offers Annual Point-to-point strategies FLM-0802AO.4 For Insurance professional use only 34

Nationwide vs. AXA What AXA Offers: 1 product, 4 strategies Offer two 1 yr Domestic, and one 1 yr International One 3 yr Point-to-Point, Domestic Start and Stop premiums solve capabilities for illustrations In 2011 added 2% true up upon surrender How Nationwide competes vs. AXA: AXA does not offer Alternative Loans AXA does not offer LTC rider on IUL AXA only offers a 5-10 year base NLG Nationwide offers Higher Current Participation vs. AXA’s strategies AXA only offers 1 and 3 yr segment maturities with Annual Point-to-Points or Term End Point vs. our Monthly Averaging AXA does not offer Rolling Target Premiums AXA does not offer Alternative Loans AXA does not offer LTC rider on IUL AXA only offers a 5-10 year base NLG Nationwide offers Higher Current Participation vs. AXA’s strategies AXA only offers 1 and 3 yr segment maturities with Annual Point-to-Points or Term End Point vs. our Monthly Averaging AXA does not offer Rolling Target Premiums FLM-0802AO.4 For Insurance professional use only 35 35

Nationwide YourLife® Indexed UL

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Nationwide YourLife® Indexed UL

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