Northwestern Mutual in elite company with highest-available financial strength ratings
August 31, 2022 by Northwestern Mutual
On heels of record year, Northwestern Mutual recognized as industry standout by major ratings agencies
MILWAUKEE, Aug. 30, 2022 /PRNewswire/ — Against the backdrop of surging inflation and low consumer sentiment across the country, Northwestern Mutual’s financial strength and consistency continue to set the company apart. This week the company announced it has once again maintained the highest available financial strength ratings that can be awarded within the industry.
Northwestern Mutual, whose unique approach to financial planning combines insurance to protect against risks and investments to build prosperity, is one of only six companies in the country to be recognized as having the top-available rating with a ‘Stable Outlook’ from Moody’s – a class that includes the likes of Apple and Microsoft.
“This outcome from the major ratings agencies demonstrates that we are a company that our policyowners can continually count on,” said Northwestern Mutual Chief Financial and Risk Officer Mike Carter. “Putting your trust in a company that can deliver in any economic environment is more important than ever. That’s why a record number of clients are turning to our financial advisors and the superior financial strength that continues to differentiate Northwestern Mutual in the marketplace.”
By the end of 2022, Northwestern Mutual will have awarded its policyowners $6.5 billion in dividends – the largest distribution in company history and three times the amount of its next highest competitor. At the same time, the company’s surplus grew to $37 billion by early 2022 – another record. This exceptional financial strength enables Northwestern Mutual to thrive during economic ups and downs, act opportunistically in the markets, continue evolving to ensure relevance in the marketplace and keep the promises it makes to the millions of clients it proudly serves – not just today, but for generations to come.
Here’s what the agencies have said about Northwestern Mutual in 2022:
“Strong and stable operating performance allows the company to distribute a meaningful amount of dividends to policyholders,” S&P wrote in its report on Northwestern Mutual.
A mid-July announcement from Fitch that reaffirmed Northwestern Mutual’s ‘AAA’ status (including a stable outlook) marked the last of the four major ratings agencies, along with Moody’s, S&P, and AM Best, to review and maintain the Milwaukee-based firm with top-in-class ratings in 2022.
“The ratings reflect NM’s exceptionally strong capitalization, leading competitive position in the U.S. individual life insurance market, and a conservative liability profile,” according to Fitch’s press release. Financial strength ratings are determined by myriad factors, including exhaustive analysis of companies’ business and financial profiles.
“Our credit view of Northwestern Mutual reflects the company’s exceptional business and financial profile, supported by its leading position and strong life insurance franchise in its core market with a significant focus on participating whole life insurance,” Moody’s wrote in a recent update.
And according to an AM Best report, “Northwestern Mutual has an exclusive, productive career agency force, which is a competitive advantage. Northwestern Mutual benefits from a strong recruitment program, which has contributed to a consistent flow of younger talent into the career agency system.”
Northwestern Mutual has been helping people and businesses achieve financial security for more than 165 years. Through a holistic planning approach, Northwestern Mutual combines the expertise of its financial professionals with a personalized digital experience and industry-leading products to help its clients plan for what’s most important. With more than $560 billion in combined company and client assets, $34 billion in revenues, and $2.1 trillion worth of life insurance protection in force, Northwestern Mutual delivers financial security to nearly five million people with life, disability income and long-term care insurance, annuities, and brokerage and advisory services. Northwestern Mutual ranked 97 on the 2022 FORTUNE 500 and was recognized by FORTUNE® as one of the “World’s Most Admired” life insurance companies in 2022.
Northwestern Mutual is the marketing name for The Northwestern Mutual Life Insurance Company (NM), Milwaukee, WI (life and disability insurance, annuities, and life insurance with long-term care benefits) and its subsidiaries. Subsidiaries include Northwestern Mutual Investment Services, LLC (NMIS) (investment brokerage services), broker-dealer, registered investment adviser, member FINRA and SIPC; the Northwestern Mutual Wealth Management Company® (NMWMC) (investment advisory and services), federal savings bank; and Northwestern Long Term Care Insurance Company (NLTC) (long-term care insurance). Not all Northwestern Mutual representatives are advisors. Only those representatives with “Advisor” in their title or who otherwise disclose their status as an advisor of NMWMC are credentialed as NMWMC representatives to provide investment advisory services.
SOURCE Northwestern Mutual