Is Nationwide a good annuity company?
Yes, for buyers who want a large, financially secure carrier with a broad shelf of products. AM Best puts Nationwide's claims-paying ability at A+, S&P agrees at A+, and Moody's lands one step away at A1, three independent checks pointing the same direction. Add in more than $300 billion in company assets, member ownership instead of Wall Street shareholders, and a regular spot near the top of fixed index and variable annuity sales charts, and you have a carrier built to last. Nationwide is a solid fit if you want one insurer to cover several parts of a retirement plan. Just read the market value adjustment language on its MYGAs before you commit.
Nationwide at a glance
| Legal name | Nationwide Life and Annuity Insurance Company |
|---|---|
| Parent company | Nationwide Mutual Insurance Company |
| Founded | 1926, originally Farm Bureau Mutual Automobile Insurance Company; renamed Nationwide in 1955 |
| Structure | Mutual company, owned by policyholders |
| Headquarters | Columbus, Ohio |
| AM Best rating | A+ (Superior) |
| What it sells | MYGAs, fixed index annuities, variable annuities and SPIAs |
| States available | All 50 states and D.C. |
| Typical minimum deposit | $10,000, varies by product |
Where Nationwide sits on the AM Best scale
A+ is grade 2 of 13. Most buyers look for A- or better for a long-term contract.
- A++
- A+Nationwide
- A
- A-
- B++
- B+
- B
- B-
- C++
- C+
- C
- C-
- D
Today's rates for Nationwide
Rates change often and vary by state, term and deposit size. Get today's numbers for your state, side by side with other top-rated carriers. Free, with no obligation.
Nationwide financial strength ratings
| Rating agency | Rating | What it means |
|---|---|---|
| AM Best | A+ | Superior |
| S&P Global | A+ | Strong |
| Moody's | A1 | Upper-medium to high grade |
| Fitch | Not rated |
An A+ from AM Best puts Nationwide in the Superior tier, one step below carriers that carry the top A++ grade. S&P and Moody's independently arrived at similarly strong marks, which is a useful cross-check: three separate agencies looking at Nationwide's books came to the same conclusion about its claims-paying strength.
A rating measures the company, not the product. It tells you how likely the insurer is to pay its obligations, not whether a particular annuity fits your goals.
Your state's guaranty association adds a second layer of protection up to a state-set limit if a carrier were ever to fail. See our guide to state guaranty associations for the limit where you live, and always confirm Nationwide's current rating directly with AM Best before you buy, since ratings can change.
What most reviews miss about Nationwide
Nationwide is a mutual company. That means it belongs to its policyholders, not to outside shareholders, which is easy to overlook because the Nationwide name is everywhere, from auto insurance to pet insurance to the NFL sideline. The annuity business is one piece of a much larger, diversified balance sheet rather than the whole company.
An Ohio outfit called the Farm Bureau Mutual Automobile Insurance Company opened its doors in 1926, selling cheaper car coverage to farmers. Almost thirty years later, in 1955, it adopted the Nationwide name as it branched into life insurance, annuities and other financial products, and the mutual ownership structure has carried through the whole way. Because there are no shareholders demanding quarterly returns, Nationwide can prioritize long-term reserve strength over short-term profit, which is part of why its ratings have stayed strong across nearly a century.
What types of annuities does Nationwide offer?
Nationwide's shelf covers most of the annuity categories a retirement plan might need:
- MYGAs: the Secure Growth series locks in a fixed rate for a set number of years, aimed at savers who want simple, guaranteed, tax-deferred growth.
- Fixed index annuities: the Peak and New Heights lines credit interest based on how a market index performs, with a guaranteed floor so a bad index year cannot reduce your account value. Optional income riders convert the balance into guaranteed lifetime withdrawals.
- Single premium immediate annuities: a lump sum converts into guaranteed income starting within about 30 days, available as single-life or joint-life payouts.
Nationwide's MYGA and fixed annuity products
Secure Growth is Nationwide's guaranteed-rate contract, sold in several term lengths. It credits one fixed rate for the whole term, includes an annual free withdrawal allowance so you can access part of the money without a surrender charge, and grows tax-deferred until you take a distribution. Because rates move with the market and change often, we do not publish live numbers here. Check the quote box on this page for Nationwide's current Secure Growth rates by term and state.
One detail worth knowing before you buy: Secure Growth carries a market value adjustment. It only comes into play if you surrender the contract early, and it can work for you or against you depending on which way interest rates have moved since you bought it. Holding the contract to maturity, or staying within the annual free withdrawal limit, sidesteps it completely.
Nationwide's fixed index annuity products
Nationwide's FIA lineup is one of the most widely sold in the industry. The main products are:
- Peak 10: a 10-year fixed index annuity offering several index crediting strategies, including an S&P 500 point-to-point option with a cap, plus a fixed-rate account choice. It is built for accumulation and, with an optional rider, income.
- Platinum Edge: a flexible FIA offering a wider range of ways to credit interest, with an income rider you can add if you want a future paycheck rather than pure growth.
- New Heights 10: a 10-year accumulation-focused FIA. Losses in the index never touch your balance because of its 0% floor, the base contract carries no separate line-item fee, and you can pull out 10% of the value each year starting immediately. Add a lifetime income rider for an extra yearly charge, generally between 0.95% and 1.20%.
- New Heights 12: the same basic design stretched to a 12-year commitment. Locking in for the extra two years usually buys you better caps and participation than the shorter version offers, which fits buyers planning a deferred income strategy over a decade or longer.
Who is Nationwide best for?
Nationwide fits a wide range of buyers because its lineup is so broad:
- Fixed index annuity buyers who want a nationally recognized carrier with a deep, well-tested product menu.
- Retirees planning around income who want a lifetime withdrawal rider from an insurer with strong, independently confirmed ratings.
- Conservative savers who want a locked interest rate from a policyholder-owned company with a long track record.
- Buyers anywhere in the country, since Nationwide's state filings are wide enough to make it one of the easier carriers to access no matter where you live.
Contact Nationwide
| Contact method | Details |
|---|---|
| Website | www.nationwide.com |
| Customer service | 1-800-321-6064 |
| Mailing address | Nationwide Life and Annuity Insurance Company, One Nationwide Plaza, Columbus, OH 43215 |
| Hours | Monday through Friday, 8 a.m. to 8 p.m. ET |
We can quote Nationwide side by side with other top-rated carriers so you can see how its guarantees and product features compare before you decide.
Pros and cons
Pros
- AM Best rates it A+, matched by an A+ from S&P and an A1 grade from Moody's
- Mutual company structure, so there is no shareholder pressure on pricing
- Nearly a century of continuous operation and more than $300 billion in assets
- One of the broadest product shelves in the industry: MYGAs, FIAs, variable annuities and SPIAs
- Peak and New Heights fixed index annuities regularly rank among the most sold in the country
- Most contracts allow a 10% free withdrawal starting in year one
- Available in all 50 states and D.C.
Cons
- A+ sits one notch below the top A++ tier some mutual peers carry
- Secure Growth MYGAs carry a market value adjustment, which can reduce your payout if you surrender early while rates have risen
- Several products are not offered in California or New York
- Fixed index annuity caps are competitive but can trail smaller, rate-focused carriers
- Sold only through independent agents; there is no direct-to-consumer purchase path
Frequently asked questions
Is Nationwide a good annuity company?
Yes. Both AM Best and S&P put Nationwide at A+, and the company backs that up with more than $300 billion in assets on its books. Its long history as a mutual insurer places it among the more financially secure names writing annuities today, and Peak and New Heights routinely land near the top of fixed index annuity sales rankings.
What is the Nationwide Secure Growth annuity?
Secure Growth is Nationwide's multi-year guaranteed annuity. You deposit a lump sum, it locks in a fixed rate for a set term such as 3, 4, 5 or 7 years, and the growth is tax-deferred until you withdraw it. It behaves much like a CD, except the interest is not taxed each year the way CD interest usually is.
What does MVA mean on a Nationwide annuity?
MVA is short for market value adjustment, a formula tied to interest rate movement since your purchase date. Cash out a Secure Growth contract early and the carrier applies this formula to your payout: a rise in rates since you bought in typically works against you, a drop in rates typically works in your favor. Wait until maturity, keep withdrawals inside the free allowance, or qualify for an exception such as death or a covered nursing home stay, and the formula never touches your money.
Can I lose money in a Nationwide annuity?
Not from market performance. Peak 10 and New Heights, Nationwide's fixed index products, guarantee that a losing index year credits zero rather than a negative number, so your balance never falls because of the market. Secure Growth, the MYGA line, locks your rate and principal too, but pulling money out ahead of schedule during a period of rising rates can shrink your payout through the market value adjustment described above. Stay past the surrender window in either product and that exposure disappears.
Written and reviewed by
James Forren Warren
Licensed Retirement Income Strategist · License #20551202
James Forren Warren is a licensed Retirement Income Strategist with Tax Free Wealth Plan. For the past five years he has helped individuals and families turn their savings into retirement income they can count on. He writes and reviews the annuity research on this site and keeps it plain: what a product does, what it costs you, and who it actually fits.
Sources
Educational only, not investment, tax or legal advice. Tax Free Wealth Plan LLC is a licensed insurance agency, not a registered investment adviser or broker-dealer. Annuities are not bank deposits, are not FDIC insured and are not guaranteed by any government agency. Guarantees are backed solely by the claims-paying ability of the issuing insurance company. Features, rates and availability vary by state and change over time; the contract and disclosure documents govern.
