Last updated on October 28th, 2021 at 01:38 pm
Milwaukee-based Northwestern Mutual Life Insurance Co. announced today that its policyowners will receive an estimated $6.5 billion in dividends next year.
The 2022 payout will mark both a new record for Northwestern Mutual and 150 consecutive years of it awarding a dividend, the company said.
Those who receive dividends – the owners of the company’s whole life insurance, term insurance, disability insurance, and many of its annuities – can apply the funds in a variety of ways. Policyowners can use their annual dividends to increase the accumulated value of their life policy, in some cases increase the death benefit, reduce the out-of-pocket cost of their premiums, or receive their dividends as distributions in cash.
“Some may find it extraordinary that we’re paying policyowners the largest-ever, industry-leading dividend even in the face of the challenges of the past 18 months and the continued economic uncertainty ahead. It’s a reflection of the strength of Northwestern Mutual and a key reason why our policyowners choose to stay with us year after year,” said John Schlifske, chairman, president, and chief executive officer at Northwestern Mutual. “We have always been and will continue to remain unwavering in our commitment to financial strength and mutual values. We are thrilled to be sharing our success with our policyowners and providing them with value, options and flexibility to help them achieve greater financial security.”
Northwestern Mutual said it had more than $1 billion in new life insurance sales this year, meaning the company now provides more than $2.1 trillion of protection for more than 4 million people.
“Economic ups and downs are inevitable, so we plan for them. Since the (COVID-19) pandemic started, our third-party rating reviews have shown that we continue to be not only the strongest company in our industry, but one of the strongest companies across all industries,” said Schlifske. “It is this financial strength that ensures we stand ready to serve clients both today and tomorrow. And ultimately, this means helping them build financial security for generations to come while living the life they want today.”
Ranked #90 on the 2021 Fortune 500 list, Northwestern Mutual has $308.8 billion in total assets, $31.1 billion in revenues, and $2 trillion worth of life insurance protection in force. The company also manages more than $200 billion of investments owned by its clients and held or managed through its wealth management and investment services businesses.
Read the latest issue of STUFF, a BizTimes Media publication highlighting Wisconsin careers in manufacturing, construction and the trades. Click here to learn more about STUFF.