A linked benefit long-term care plan with a competitive comparison your clients should know about

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1 Nationwide YourLIfe CareMatters SM Sales idea A linked benefit long-term care plan with a competitive comparison your clients should know about Not all long-term care (LTC) coverage is the same. In fact, some options can be so complex and restrictive that your clients end up with more hassle and less control than they expected. Nationwide YourLife CareMatters SM is a fixed premium universal life insurance policy that provides LTC coverage along with a death benefit. It s designed to provide your clients with the flexibility they need to plan for potential long-term care expenses according to their individualized care needs. What sets Nationwide YourLife CareMatters SM apart? Cash indemnity benefits CareMatters offers cash indemnity LTC benefits, which means: The full is paid directly to the policy owner every month Benefits can be used to cover whatever is needed for care, even if the insured s LTC expenses are less than the benefit amount Informal caregivers, including family and friends, can be paid to provide 100% of your care 1 Can be owned by an irrevocable life insurance trust (ILIT) By contrast, all other LTC linked benefit policies in the market currently offer reimbursement benefits. With this type of benefit, must be submitted to the insurance carrier for approval. The insurance company then reviews the claim and reimburses up to the amount of the that the insured qualifies for. 1 Licensed health care practitioner must state that informal care (which includes care provided by family or friends) is appropriate in the plan of care. Consult with tax professionals for advice since such arrangements may create reporting and withholding requirements for the payor and the payee. FOR INSURANCE PROFESSIONAL USE ONLY NOT FOR DISTRIBUTION TO THE PUBLIC

2 To learn more about the benefits Nationwide YourLife CareMatters has to offer your clients, please visit or call us at: Nationwide Sales and Service Center: Nationwide Financial Network: Brokerage General Agents:

3 What sets Nationwide YourLife CareMatters SM apart? (continued) Control over assets There is some concern in the market about rising premiums and the use it or lose it risk of traditional stand-alone long-term care policies. With CareMatters, premiums are guaranteed to never increase. And clients are offered a level of comfort knowing that they ll recover at least the cost of their premium in one of the following ways: LTC benefits A death benefit A combination of LTC benefits and death benefit Return of premiums 2 Choice of service Clients can use their CareMatters policy to pay for the long-term care services that fit their needs, based on the plan of care provided by their licensed health care practitioner. Your clients are eligible to receive the following services: Home health care Assisted living Nursing home care Hospice Adult day care Informal care they can pay a non-licensed family member or friend to care for them State certified, alternative-style long-term care services State-certified long-term care coverage options developed in the future Collect full benefits now, while saving some for later Some clients may receive more LTC benefits than they actually need each month to pay for their care needs. So, clients with a Nationwide YourLife CareMatters policy can save these excess funds for future long-term care costs or any other purpose including home safety and accessibility improvements, housekeeping, lawn care or prescriptions. And if your client wishes to do so, we ll deposit those funds in a designated Nationwide Bank secured Money Market account or an account of your choice for added convenience. 2 For Single Premium payments, the Return of Premium Value is available starting day one, subject to a vesting schedule. There is a full return of all premium starting in year six. Return of Premium is available on 5 and 10 year payment schedules only after the end of the Premium Payment Period and all Required Premium has been paid (minus any loans or withdrawals).

4 Competitor reality check * Nationwide YourLife CareMatters SM Lincoln MoneyGuard II Pacific Life PremierCare Advantage Genworth Total Living Coverage State Life (One America) Asset-Care Premium options Single, 5-pay or 10-pay (annual or monthly) Single, 3-, 5-, 7-, 10-pay (annual) Single only Single only Asset-Care I Single pay Asset-Care IV pay or pay to age 100 Indemnity design Yes No No No No Return of premium feature (details on next page) Yes Yes Yes Yes Asset Care I Yes Asset Care IV No Residual death benefit Yes Yes Yes Yes No Benefit banking (if full is not needed) Yes No No No No For more details, see Positioning points chart to the right. Unlicensed informal caregiver Yes No No Yes, but not a family member No Pay family member as caregiver 4 Yes Not an option Not an option Not an option Yes, but only if family member is an employee and being paid directly by a licensed facility or service Simplified Issue Streamlined App/UW Yes Yes Yes Yes; certain ages, premium or class may require full underwriting Yes; certain ages or premium may require full underwriting Elimination period 90 days 0 days 0 days (home) 90 days (facility) 0 days (home) 90 days (facility) 30 days (home) 60 days (facility) Inflation options Yes Yes Yes Yes Yes Couples pricing Yes Yes Yes Yes No International benefits Yes, all levels of care 4 Yes, nursing home or assisted living Yes, nursing home Yes, nursing home care No * All information presented is reliable as of June Nationwide has made every effort to make sure it is reliable. However, as information provided on competitors can change at any moment without notice, it is 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. 3 Licensed health care practitioner must state that informal care (which includes care provided by family or friends) is appropriate in the plan of care. Consult with tax professionals for advice since such arrangements may create reporting and withholding requirements for the payor and the payee. 4 International benefits have limitations not 100% and not available on the long-term care extension of benefits rider.

5 Positioning points Nationwide YourLife CareMatters SM Lincoln MoneyGuard II Pacific Life PremierCare Advantage Genworth Total Living Coverage State Life (One America) Asset-Care I & IV Benefit style Cash indemnity pays policyowners the full monthly LTC benefits, without regard to expenses, allowing excess benefits to be used for other needs Family members and spouses can be paid to provide care Return of premium details (ROP) 5 Yes, subject to the vesting schedule below: Months 1 12: 85% Months 13 24: 88% Months 25 36: 91% Months 37 48: 94% Months 49 60: 97% Months 61+: 100% 1. Basic: 80% return of premium in all years 2. Vested: 80% return of premium in year 1 grading to 100% by year 6 Yes, 100% return of premium all years 100% return of premium available starting day one of policy year 4 Asset-Care I Yes, 100% return of premium all years (unless Inflation rider is elected) Asset-Care IV Not available Residual death benefit 20% of original specified amount The lesser of 5% of original specified amount and $10,000 The lesser of $5,000 or 5% of specified amount 10% of original specified amount Not available Benefit banking (if full monthly benefit is not needed) The policyowner may bank unused LTC benefits for later LTC expenses or other needs Not an option Not an option Not an option Not an option 5 For Single Premium payments, the Return of Premium Value is available starting day one, subject to a vesting schedule. There is a full return of all premium starting in year six. Return of Premium is available on 5 and 10 year payment schedules only after the end of the Premium Payment Period and all Required Premium has been paid (minus any loans or withdrawals).

6 When choosing a product, make sure that life insurance and LTC insurance needs are met. Nationwide YourLife CareMatters is not intended to be a primary source of life insurance protection, so make sure life insurance needs have been covered by appropriate products. Because personal situations may changes (i.e., marriage, birth of a child or job promotion), so can life insurance and LTC insurance needs. Care should be taken to ensure these strategies and products are suitable. Associated costs, as well as personal and financial objectives, time horizons, and risk tolerance should all be weighed before purchasing Nationwide YourLife CareMatters. Life insurance, and LTC coverage linked to life insurance, has fees and charges associated with it that include: costs of insurance which varies based on characteristics of the insured such as gender, tobacco use, health and age; and additional charges for riders that customize a policy to fit individual needs. Keep in mind that as an acceleration of the death benefit, the payment of LTC rider benefits will reduce both the death benefit and cash surrender values of the policy. Additionally, loans and withdrawals will also reduce both the cash values and the death benefit. Care should be taken to make sure that life insurance needs continue to be met even if the rider pays out in full, or after money is taken from the policy. There is no guarantee that the rider will cover the entire cost for all of the insured s LTC, as this may vary with the needs of each insured. Nationwide pays the LTC benefit to the policy owner; there is no guarantee the policy owner will use the benefit for LTC expenses if the policy is owned by someone other than the insured. The extent to which an LTC benefit payment is received tax-free is limited, on an annual basis, to the greater of the actual qualifying LTC expenses incurred or the HIPAA per diem amount or its equivalent. Nationwide YourLife CareMatters is a cash indemnity policy that pays benefits upon showing that the insured has been certified as a having the triggers required to qualify a claim. Submission and review of supporting actual LTC expenses incurred is not required for payment of benefits nor is the benefit limited to the daily HIPAA per diem. Therefore, the company cannot guarantee that LTC benefit payments will be treated as a tax-free given the taxpayer s specific circumstances, especially when benefits are used to pay for care provided by family members or collected from more than one policy. Taxpayers should seek the advice of their own tax and legal advisors regarding any tax and legal issues applicable to their specific circumstances upon qualifying for LTC s. Federal tax laws are complex and subject to change. Neither the company nor its representatives give legal or tax advice. For contracts that meet the MEC definitions of IRC Section 7702A, most distributions are taxed on a first-in/first-out basis, however LTC benefit payments can be received tax-free under IRC Section 7702B. Partial surrenders and loans from a MEC will generally be taxable. Benefit Banking is an optional service and is available through the Excess Benefit Account feature, a separately established secure money market account with Nationwide Bank. Inflation protection is available to help the keep up with increases in the cost of care. International benefits are available if care is provided outside of the US. However, with these and other product features, there are limitations and exclusions. Refer to your policy and attached riders for details on product features, including benefits, exclusions, limitations, terms and definitions (which may vary by state). Approval for coverage under the policy and attached LTC riders is subject to underwriting and may require a medical exam. Nationwide YourLife CareMatters may not be available in every state. Please contact Nationwide to determine product availability in your state. Guarantees are subject to the claims-paying ability of the issuing company. Life insurance products are issued by Nationwide Life Insurance Company or Nationwide Life and Annuity Insurance Company, Columbus, Ohio. Nationwide, the Nationwide N and Eagle, Nationwide is on your side and Nationwide YourLife CareMatters are service marks of Nationwide Mutual Insurance Company Nationwide FOR INSURANCE PROFESSIONAL USE ONLY NOT FOR DISTRIBUTION TO THE PUBLIC LAM-2027AO.1 (06/15)