BREAKING NEWS: Northwestern Mutual Announces 2016 Dividend

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The Northwestern Mutual Life Insurance Company has announced its intentions to pay $5.6 billion in dividends to policyholders in 2016. This represents an increase over 2015 of $120 million.

Breakdown of Dividends Paid to Policyholders

The breakdown reported by Northwestern was per product line was:

  • $4.9 billion to whole life policyholders
  • $340 million to disability insurance policyholders
  • $155 million to term life insurance policyholders
  • $115 million to variable life insurance policyholders
  • $55 million to annuity policyholders

Northwestern did not mention a dividend payment for long term care insurance policyholders.

New Whole Life Dividend Interest Rate

The press release says, “In 2016, the company's dividend scale interest rate on unborrowed funds for most traditional permanent life insurance will be 5.45 percent.”

We'll note that the $120 million increase over last year is substantially smaller than the $300 million increase year over year from last year.

You can read the press release from Northwestern here.

About the Author Brandon Roberts

Brandon launched the Insurance Pro Blog in July of 2011 as a project to de-mystify the life insurance industry. Brandon was born in Northern New England, and he currently calls VT home. He attended Syracuse University and graduated with a triple major in Economics, Public Administration, and Political Science.

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