Northwestern Mutual surplus exceeds $30 billion, new high for company

Northwestern Mutual Tower & Commons

Last updated on February 26th, 2020 at 12:35 pm

Milwaukee-based life insurance and financial services firm Northwestern Mutual Life Insurance Co. today reported new records for its revenue, total investments and surplus in 2019.

The company also said that it paid out $11.5 billion in policyowner benefits in 2019, up from $11.4 billion in 2018. It paid out $6 billion in policyowner dividends, up from $5.6 billion the prior year.

Northwestern Mutual’s surplus grew $3.7 billion, from $26.7 billion in 2018 to $30.4 billion in 2019, a new record for the company.

Northwestern Mutual’s revenue was $29.9 billion in 2019, up from $28.5 billion in 2018, as premiums and net investment income both increased by approximately $1 billion and $360 million respectively.

The general account investment portfolio ended 2019 at $248 billion, up $13 billion since year-end 2018 and a new company high. The company now has $161 billion in client assets under management for investment products and services, up 26% over 2018.

Northwestern Mutual also saw its net income increase nearly 62% in 2019 to $1.2 billion, up from $783 million in 2018. Its net realized capital gains totaled $702 million in 2019, compared with net realized capital losses of $24 million in 2018.

The company considers operating gain a more important metric for its performance than net income. Its 2019 operating gain of $6.37 million was up 2.1% from $6.23 million in 2018.

The company’s assets total $290.3 billion, up from $274.1 billion at the end of 2018.

“Through our unwavering commitment to our clients, we have once again achieved exceptional financial results,” said John Schlifske, chairman, president, and chief executive officer. “From this position of strength, our trusted advisors are delivering personalized financial planning and industry-leading products to help our clients turn dreaming into living and make the most of every day.”

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Brandon Anderegg
Brandon covers startups, technology, banking and finance. He previously worked as a general assignment and court reporter for The Freeman in Waukesha. Brandon graduated from UW-Milwaukee’s journalism, advertising and media studies program with an emphasis in journalism. He enjoys live music, playing guitar and loves to hacky sack.