Live Life DifferentlyTM

2015 Annual Report


Your company is focused on helping you understand the specifics of financial security and what it really takes to attain it.

John Schlifske
Chairman and CEO

A Different Approach

As I reflect on our 2015 results and think about how we will serve you in 2016 and beyond, one primary goal comes to mind: to help you live life differently.

You might wonder what I mean by differently. I mean that your company is focused on helping you understand the specifics of financial security and what it really takes to attain it so that you can live the life you envision. You can see real-life examples below of how we are helping people live life confidently, happily, more successfully and more securely.

Bringing It All Together

What should drive your strategy for success? We are committed to a more complete approach to financial security planning. Instead of focusing only on insurance or investments, we’ll help you look at your whole financial picture and work with you to build an integrated plan that’s designed to protect and grow your wealth. You’re probably familiar with our world-class insurance products, but did you know that we are also a top-10 independent broker-dealer? 1

We are also making it easier for you to do business with us through new online tools. In May 2015, we acquired LearnVest™, a leader in online financial planning. This partnership will bring together the best of both companies – Northwestern Mutual’s financial planning expertise and LearnVest’s breakthrough technology – to provide a distinctive planning experience.

Delivering Exceptional Value

As always, we are also committed to providing you with exceptional value and financial strength – and 2015 was no exception. We are proud to pay policyowners an expected total dividend of $5.6 billion in 2016, including industry-leading dividends in life and disability insurance. 2 We also reached record-level revenue, total assets and operating gain before dividends and taxes – all while maintaining the highest financial strength ratings awarded to any U.S. life insurer. 3

Do you have a plan that shows your whole financial picture? Our financial representatives will help you put one together so that you can live life differently.

John E. Schlifske
Chairman and Chief Executive Officer
Results In Brief (in millions) 2015 2014 Change
Policyowner dividends $5,609 $5,511 +2%
Policyowner benefits paid $9,043 $8,396 +8%
Individual life insurance in force $1,601,000 $1,533,000 +4%
Investment products & services client assets $88,979 $87,473 +2%
Total revenue $27,880 $26,707 +4%
Total assets $238,472 $229,933 +4%
Surplus & asset valuation reserve $23,220 $22,598 +3%
(consolidated statutory basis)
  • 1 As measured by total revenues of Northwestern Mutual Investment Services LLC by leading investment publications: Financial Advisor magazine, April 2015; Financial Planning magazine, June 2015; and Investment Advisor magazine, June 2015.
  • 2 Northwestern Mutual analysis of ordinary life insurance and individual disability insurance dividends based on historical SNL data.
  • 3 A.M. Best Company A++ (highest), 5/2015; Fitch Ratings AAA (highest), 9/2015; Moody’s Investors Service Aaa (highest), 1/2016; and Standard & Poor’s AA (second highest), 5/2015. Third-party ratings are subject to change. Ratings are for The Northwestern Mutual Life Insurance Co. and Northwestern Long Term Care Insurance Co.
Live Stronger

The planning that I’ve done with Mark has been really eye-opening. We created a budget and figured out exactly what I need to pay my bills. The rest of the money is distributed in a way that will set my children and me up for the future we want.

Jana Brown
Webster, Texas

Live Confidently

Mother rises above tragedy, takes steps to secure her family’s future

Just over four years: That was how short a time Jana Brown was married before her husband, Tremayne, unexpectedly passed away.

Not surprisingly, the loss changed her view of financial security. I think more long term now, says the mother of two, who is a personal trainer. That includes saving for college and making wise decisions with our money. It also includes planning for the unexpected. Because I know all too well what kinds of tragic events can occur, I am determined that Elyza and Michael will be okay financially should anything happen to me.

The Brown family works with Financial Representative Mark Haywood in Houston
The Brown family works with Financial Representative Mark Haywood in Houston.

This goal became even more real as Jana became a single mother. Tremayne worked hard so that I could stay home with our children. I treasure the fact that we had that time together, but with only one income, we weren’t able to save as much as we would have liked. The life insurance proceeds left me in a position in which I could create a secure financial future for our children and myself.

Jana recognized that the proceeds of Tremayne’s life insurance would lead to a more secure future – but only if she made wise financial decisions. To achieve that goal, she turned to Financial Representative Mark Haywood, who helped her create a plan, including a budget, to address short- and long-term needs.

Because of my work with Mark, Jana concludes, I feel confident about my family’s future.

Live Happier

If we hadn’t done some of the planning we did with Tracy 15 years ago or continually updated our plan, we wouldn’t have been able to make this change and enjoy the things in life that we now can.

Bill and Lisa Brown
Emerald Isle, N.C.

Live Happily

Couple ready to live the 'retirement' lifestyle they envisioned

After 25 years of marriage, enjoying successful careers and raising three children, Bill and Lisa Brown found themselves at a crossroads.

After working in an intense corporate environment for many years, Bill began to question whether he was working for career advancement and financial rewards or for personal satisfaction. A workaholic, Bill had neglected his health, family time and desire to do something more meaningful. Now was the time to pursue dreams.

To determine if they were ready to semi-retire, the couple turned to Wealth Management Advisor Tracy VanDyke, who ran multiple scenarios taking into account expenses, life expectancy, health insurance needs, Social Security and more. It took a lot of soul searching, Bill says, but we decided we would make the change since we were ready financially.

The Brown family works with Wealth Management Advisor Tracy VanDyke in Leawood, Kan.

Thanks to the work they’d done with Tracy over the years, Bill and Lisa were indeed ready. A comprehensive planning approach had helped the couple navigate saving for their children’s college and their retirement, as well as prepare them for unpredictable expenses, such as long-term care.

Life insurance and long-term care are not fun topics, but they are important issues, Lisa explains. In addition to ensuring we protected each other and our children, Tracy kept us on track to achieve our long-term goals. As professional accountants, we understand finances, but we were busy with careers, grad school, raising children and more. It would have been easy to let things slide, but Tracy wouldn’t let that happen.

As a result, today Bill is teaching at East Carolina University, and he and Lisa have the freedom to spend more time with friends and family and pursue new interests and hobbies from their retirement dream home on the beach. As Bill puts it, We made the leap from success to significance.

Wealth management advisors offer investment advisory services through Northwestern Mutual Wealth Management Co., a limited purpose federal savings bank.

Live More Successful

The planning I’ve done with Jeff focuses on more than just business planning. It is ‘Ray Benoit planning,’ which includes planning for my business, my life and my family.

Ray Benoit
Pittsfield, N.H.

Live More Successfully

Business owner grows his company, builds his family legacy

I believe it’s not just the length of the day that matters; it’s the width, says Ray Benoit. In other words, I want to live life as fully as I can – every minute that I can. But I also recognize the importance of planning for the future.

Ray wasn’t always so focused on the future. When he met Wealth Management Advisor Jeff Photiades, he had just started RTM Communications, an IT integrator, and was seeking insurance to protect his business from the loss of key employees.

The Benoit family works with Wealth Management Advisor Jeffrey Photiades in Manchester, N.H.
The Benoit family works with Wealth Management Advisor Jeffrey Photiades in Manchester, N.H.

While the reason for our meeting was a long-term goal, I initially resisted much of Jeff’s counsel relative to retirement, explains Ray, who was a newly divorced father of four at the time. Heck, seeing into next month was tough in some ways. How could I focus on something 20 years away? But Jeff’s patient approach taught me that I could plan for the future as well as make sure my family and the business were protected in the present.

Ray attributes much of his success to the personal and business planning he’s done with Jeff. His company continues to grow, and he recently purchased a retirement home he calls The Benoit Family Compound. He’s also been able to create a trust fund called The Pepere (grandfather in French) Fund, which will provide college tuition aid to his heirs throughout future generations.

Today, 13 years after their first meeting, Ray and Jeff are analyzing what it will take for Ray to live well for many years to come. I’m proud to say that due to the hard work we’ve put into my retirement funding, I’m ‘green’ into my 90s! Ray exclaims. I attribute this to having a good plan and working on it persistently.

Wealth management advisors offer investment advisory services through Northwestern Mutual Wealth Management Co., a limited purpose federal savings bank.

Live Better Prepared

We needed somebody to guide us. Javier gave us a path to success. Even with the uncertainties that the future holds, we know that ours will be bright.

Jose and Flavia Salcedo
Floral Park, N.Y.

Live More Securely

Family confident their dreams are within reach, including starting a business

Family means everything to Jose and Flavia Salcedo.

That’s why they turned to Financial Representative Javier Lora.

We are a great example of a couple knowing the right things to do and intending to do all of those things, but then allowing daily life and family obligations to interfere with long-term planning, says Jose. So we knew we needed help – to keep us focused, on track and accountable.

The Salcedo family works with Financial Representative Javier Lora in Melville, N.Y.
The Salcedo family works with Financial Representative Javier Lora in Melville, N.Y.

Jose and Flavia had always been careful with their finances, avoiding credit card debt and other financial pitfalls, but it wasn’t until they started a family that their perspective focused on security for many years in the future.

As they and Javier put together a complete plan tailored to the family’s needs, Jose and Flavia realized just how many of those needs required more attention. They were missing life insurance, education savings and a supplementary source of retirement income. Like so many people, they thought they could set up a 401(k) at work and forget about saving for retirement.

Now, thanks to our work with Javier, our children are protected, and our financial outlook for college and retirement is healthy, Jose states. We are confident in Northwestern Mutual and Javier’s guidance.

In addition, because of the planning they’ve done, Flavia feels more confident that she will be able to pursue her passion to start a business. I come from a family of entrepreneurs, she explains. My mom owned a restaurant in Argentina, and my uncle owns bakeries. As a calculated planner, however, I won’t take the leap until all of our finances are secure, and we don’t have to take out a loan. With Javier’s help, my dream is getting closer to reality every day.

2015 Financial Results

Northwestern Mutual’s principal financial goal remains the same in all economic environments: to pay a level of dividends that delivers the highest product value to policyowners without compromising the company’s superior financial strength and stability.

Mutuality and Policyowner Value

Northwestern Mutual is managed for the long-term benefit of our policyowners. This mutual philosophy leads us to pay participating policyowners the highest possible dividends deemed consistent with preserving the long-term strength and security of the company. Dividends, while not guaranteed, reflect our favorable claims experience, investment performance and expense management.

In total, dividends to policyowners are estimated to be $5.6 billion in 2016 and are expected to be the highest amount of dividends paid in company history. This includes approximately:

$4.9 Billion
in dividends on traditional permanent life insurance
$340 Million
in dividends on individual disability insurance
$155 Million
in dividends on term life insurance
$115 Million
in dividends on variable life insurance
$55 Million
in dividends on annuities

Our favorable claims experience and rigorous approach to expense management make up the majority of our dividend payout. For most of our policyowners, mortality improvements have contributed significant growth to actual cash values in the declining interest rate environment. The interest component of the dividend payout, which represents about one-third of the payout, continues to be affected by the low interest rate environment. The dividend scale interest rate on most unborrowed permanent life insurance funds will be 5.45 percent for 2016. 4

Life insurance policyowners used approximately 75 percent of dividends paid in 2015 to purchase additional insurance protection, contributing to a 4 percent increase in total life insurance in force, which was $1.6 trillion at year-end 2015.

Exceptional product value contributes to policyowner satisfaction and loyalty, demonstrated by our persistency rate for life insurance in force, which was greater than 96 percent again during 2015.

4 Dividend scale interest rate for unborrowed funds for most traditional permanent life insurance policies with direct recognition.

Summary of Operations (Consolidated statutory basis, in millions)

Years ended Dec. 31 2015 2014
Premiums $17,788 $17,001
Net investment income 9,467 9,104
Other income 625 602
Total revenue 27,880 26,707
Policyowner benefits paid 9,043 8,396
Increase in benefit reserves 9,502 9,411
Commissions and expenses 2,932 2,831
Total benefits and expenses 21,477 20,638
Gain before dividends and taxes 6,403 6,069
Policyowner dividends 5,609 5,511
Gain before taxes 794 558
Income tax expense (benefit) (53) 22
Net gain from operations 847 536
Net realized capital gains (losses) (32) 143
Net income $815 $679

Summary of Financial Position(Consolidated statutory basis, in millions)

Dec. 31 2015 2014
Bonds $133,449 $128,126
Mortgage loans 32,236 29,341
Policy loans 17,146 16,756
Common and preferred stocks 3,886 3,713
Real estate 1,999 1,610
Other investments 13,292 12,827
Cash and short-term investments 1,460 2,588
Total investments 203,468 194,961
Other assets 8,273 7,916
Separate account assets 26,731 27,056
Total assets $238,472 $229,933
Policy benefit reserves $176,928 $167,508
Policyowner dividends payable 5,610 5,510
Other liabilities 5,983 7,261
Separate account liabilities 26,731 27,056
Liabilities (excluding AVR) 215,252 207,335
Asset valuation reserve (AVR) 3,564 3,544
Surplus 19,656 19,054
Surplus and AVR 23,220 22,598
Total liabilities and surplus $238,472 $229,933

These summary financial statements are derived from the company’s audited consolidated financial statements, which are prepared on the statutory basis of accounting. Insurance regulators require financial statements prepared on a statutory basis of accounting, which differ materially from financial statements prepared in accordance with generally accepted accounting principles (GAAP). PricewaterhouseCoopers LLP is the company’s independent auditor. The company’s audited consolidated financial statements are available at or by written request to: Northwestern Mutual, Communications, Room N04, 720 E. Wisconsin Ave., Milwaukee, WI 53202.

Premium Revenue

Operating Results

Total premium revenue from the company’s insurance and annuity products reached a record $17.8 billion for 2015, an increase of 5 percent from 2014. Premium revenue from life insurance increased 6 percent during 2015 and included a 4 percent increase in renewal premiums from in-force policies. Premium revenue for disability and long-term care insurance increased 4 percent and 10 percent, respectively, from 2014, while annuity premium decreased 4 percent.

The company’s distinctive planning approach has resulted in substantial growth in its investment products and services in recent years, including brokerage, advisory, trust and private client services, as well as business retirement plans. Northwestern Mutual client assets grew to $89 billion, up 2 percent from 2014.

Benefits paid to policyowners or their beneficiaries totaled $9 billion during 2015, an 8 percent increase from 2014. Insurance claims experience remained favorable during 2015, in part a reflection of the company’s careful assessment of insurance risk. Reserves for future policy benefits increased by $9.5 billion during 2015 and totaled $176.9 billion at the end of the year.

Despite continued low market interest rates, net investment income increased 4 percent to $9.5 billion, partly due to an increase in our general account fixed-income investments. Growth in net investment income primarily reflected an increase in distributed earnings from private equity funds and subsidiaries.

Operating results for 2015 reflected strong product fundamentals and investment results along with our continued commitment to rigorous management of operating expenses. Net income was $815 million for 2015, including net realized capital losses of $32 million. Net realized capital losses reflected losses from the sale of energy sector investments.

The Power of Our Portfolio

General Account Managed InvestmentsAt year-end 2015 (excludes policy loans)

A well-balanced and diversified portfolio contributes to the company’s exemplary dividend record.3

Financial Strength

Total surplus (including asset valuation reserve) increased $622 million during 2015 to $23.2 billion. While reserves are established to pay future benefits, surplus represents additional funds set aside to protect the company and its policyowners from the unexpected. The asset valuation reserve supports our long-term investment strategy by absorbing credit losses and short-term market volatility.

At year-end 2015, surplus and asset valuation reserve represented 13.2 percent of general account insurance reserves. This level of capitalization remains very strong compared to the company’s historical surplus levels and the standards set by insurance regulators and the major rating agencies.

Surplus Ratio

(surplus and AVR as a percentage of general account insurance reserves)

Strong Performance

Our financial position remains strong with a surplus ratio of


assuring that we can keep our promises to policyowners.

5 The vast majority of the company’s managed assets back most of its life, disability income and portfolio income annuity liabilities. The investment strategies described in this report apply to the investment of those assets. A portion of managed assets back the remaining liabilities (primarily fixed deferred annuities, income plans and long-term care insurance), which have different investment exposures than described in the pages that follow. Long-term care insurance is issued by Northwestern Long Term Care Insurance Co., Milwaukee, Wis., a subsidiary of Northwestern Mutual.

Investment Results

The company’s general account investment portfolio is well diversified and is primarily allocated to high-quality bonds and commercial mortgage loans. 5 Our investment strategy aims to provide superior returns over the long term while limiting overall credit, market and interest rate risk. Our investment guidelines limit exposure to any single asset class or issuer.

Proven Investment Strategy

The company's

$133.4 billion

bond portfolio remains the cornerstone of our general account investment strategy.

The $133.4 billion bond portfolio includes both publicly traded and privately issued bonds, with 90 percent of the portfolio rated as investment grade at year-end 2015. The company’s $32.2 billion commercial mortgage loan portfolio is originated and underwritten by our own real estate professionals. With an overall loan-to-value ratio of 53 percent at year-end 2015, the portfolio reflects our disciplined approach to mortgage lending.

Equity investments include publicly traded common stocks and private equity investments, real estate and other holdings. The market value of these investments can be volatile, but they have enhanced total portfolio returns over the long term. In 2015, the company continued to follow this diversified investment strategy and maintained a consistent level of exposure to equity investments.

Total Assets

In total, net realized and unrealized capital losses, after taxes and required deferrals of interest rate-related losses, reduced total surplus (including asset valuation reserve) by $280 million during 2015. The decrease primarily reflected unrealized capital losses from equity market declines in the public common stock portfolio and realized capital losses related to the sale of energy sector investments.

Northwestern Mutual maintains a very strong liquidity position. At year-end 2015, the company held $1.5 billion in cash and short-term investments. The company enjoys substantial positive operating cash flows, primarily from the large and stable block of participating life insurance business.

2015 Policyowners' Examining Committee Report

Since 1907, a group of policyowners has been given unrestricted access to the company to independently evaluate its operations, management and strategic plans. Each year, the committee’s findings are published in the Annual Report. The 2015 committee’s complete report is provided here.

Northwestern Mutual 2015 Policyowners' Examining Committee

John Schlifske (third from left), chairman and CEO of Northwestern Mutual, visits with the 2015 Policyowners’ Examining Committee (POEC).

Policyowner Perspectives

It has truly been an honor and a privilege to serve as this year’s Policyowners’ Examining Committee. This opportunity came at a unique and exciting time as Northwestern Mutual is poised to launch its strategy to realize the long-term vision to be at the center of clients’ financial lives. Today’s clients – and future generations of clients – want, need and deserve to work with a trusted financial professional who can help simplify and bring structure to their complex financial lives. With nearly 160 years of strength and success, Northwestern Mutual can help clients protect their families and grow their wealth through a comprehensive planning experience that brings together a trusted financial professional, engaging technology, and exceptional insurance and investment products.

Building on its core value of doing what’s right and its industry-leading financial strength and product value, Northwestern Mutual is uniquely positioned to become the center of clients’ financial lives. We believe that the success of this strategy depends on Northwestern Mutual’s continued focus on three key areas: deepening client relationships through dynamic planning, accelerating the growth and development of financial representatives and responsibly managing change.

Deepening Client Relationships through Dynamic Planning

Being at the center of clients’ financial lives means different things to different people at different times in their lives. But,in general, being at the center means that when clients need to make a major financial decision or face a significant life event, the first person they turn to for guidance is their most-trusted financial professional – their Northwestern Mutual financial representative. Financial representatives must have a deep understanding of their clients’ current and future financial needs and provide clients with the ongoing, dynamic planning experience that helps them reach their financial goals at all stages of their lives.

Dynamic planning depends on the development and deployment of new digital tools, which will provide a seamless digital experience, improve clients’ interactions with their financial representatives and with Northwestern Mutual, and enable clients to take more ownership of their financial lives. Integrating these digital capabilities is critical to obtaining and maintaining relevance with today’s – and tomorrow’s – clients. In addition, to better understand and serve both clients and their financial representatives, Northwestern Mutual must leverage these tools to gather insights about what matters most to clients. This will strengthen the bond between the clients, financial representatives and the company. Northwestern Mutual must reinforce those relationships with a concise and compelling brand message.

Accelerating the Growth and Development of Financial Representatives

Financial representatives are critical to the success of this strategy; they must believe in and commit to delivering on the vision of being at the center of their clients’ financial lives. To become the most-trusted financial professional, they must enhance their client relationships by consistently engaging in the comprehensive, lifetime-planning process and proactively using the new digital tools and capabilities to acquire deeper client insights.

As financial representatives strive to offer a distinctive experience and integrated financial security solutions, Northwestern Mutual must provide superior products and services and top-notch training to help financial representatives develop the business acumen needed to grow their businesses. Northwestern Mutual also must continue its efforts to develop a robust pipeline of game-changing and forward-thinking digital tools that will improve interactions with the company for both clients and financial representatives. We believe that better digital tools will support the growth of integrated financial practices as well as enhance recruiting and retention efforts. A strong relationship and alignment between the company and its financial representatives is critical to the company’s strategy.

Responsibly Managing Change

As Northwestern Mutual and its financial representatives evolve to move toward the center of clients’ financial lives, the company must prioritize competing strategic initiatives and drive a holistic change management process. We believe the company must establish a clear timeline and milestones for the strategy; create structural change as necessary; manage strategic spending; and communicate the company’s purpose, vision and strategy to drive alignment between the home office and the field. The company must continue to develop and implement a strategic governance process that takes a big-picture view and enables leadership to push in places where speed is essential or rein in areas where timing is less critical. We urge the company to be bold and nimble in support of its vision and to create, clearly communicate and align short-, medium- and long-term goals.

We recognize that Northwestern Mutual is focused on creating a more diverse and inclusive environment across the enterprise. We believe that this work must remain a priority, as it is essential to staying relevant to current and future clients, financial representatives, employees and business partners.

Moving the Strategy Forward

In closing, we congratulate Northwestern Mutual on its progress toward crystallizing and communicating its strategy. We note that last year’s Policyowners’ Examining Committee focused on some of the same issues, and we are pleased to see the evolution of the vision and commitment of the company to move the strategy forward – including a significant investment in digital tools and technology that we believe are critical to the success of this strategy.

– Report submitted Jan. 26, 2016

2015 POEC Chair Anne Paradis is CEO of MicroTek Inc., Chicopee, Mass.
2015 POEC Chair Anne Paradis is CEO of MicroTek Inc., Chicopee, Mass.
POEC Member Kevin Warren is chief operating officer of Minnesota Vikings Football LLC, Minneapolis.
POEC Member Kevin Warren is chief operating officer of Minnesota Vikings Football LLC, Minneapolis.
POEC Member Jaime Montemayor is senior vice president and chief information officer of PepsiCo Inc., Dallas.
POEC Member Jaime Montemayor is senior vice president and chief information officer of PepsiCo Inc., Dallas.
POEC Member Deborah Fine is former CEO of Direct Brands, West Windsor, N.J.
POEC Member Deborah Fine is former CEO of Direct Brands, West Windsor, N.J.
POEC Member Glynis Bryan is chief financial officer of Insight Enterprises Inc., Tempe, Ariz.
POEC Member Glynis Bryan is chief financial officer of Insight Enterprises Inc., Tempe, Ariz.

Board of Trustees As of Feb 5, 2016

  • John Balboni John Balboni 2, 5A Retired Senior Vice President and Chief Information Officer International Paper Co. Memphis, Tenn.
  • Davide Drury David Drury 2, 3, 4A Founding Partner WING Capital Group Milwaukee
  • Connie Duckworth Connie Duckworth 2, 3, 5 Founder and CEO ARZU Inc. Chicago
  • James Hackett James Hackett 2, 4 Interim Athletic Director University of Michigan Ann Arbor, Mich.
  • P. Russell Hardin P. Russell Hardin 1 President Robert W. Woodruff Foundation Atlanta
  • Hans Helmerich Hans Helmerich 4 Chairman Helmerich & Payne Inc. Tulsa, Okla.
  • Dale Jones Dale Jones 5 CEO and President Diversified Search LLC Washington
  • Margery Kraus Margery Kraus 4 Founder and Executive Chairman APCO Worldwide Washington
  • David Lubar David Lubar 3, 5 President and CEO Lubar & Co. Milwaukee
  • Ulice Payne Jr. Ulice Payne Jr. 1, 3 President and CEO Addison-Clifton LLC Brookfield, Wis.
  • John Schlifske John Schlifske 2A, 3A Chairman and CEO The Northwestern Mutual Life Insurance Co. Milwaukee
  • Mary Ellen Stanek Mary Ellen Stanek 1, 3 Managing Director and Director of Asset Management Robert W. Baird & Co. Milwaukee
  • S. Scott Voynich S. Scott Voynich 1A, 2 Managing Partner Robinson Grimes & Company P.C. Columbus, Ga.
  • Ralph Weber Ralph Weber 4 Founding Member Gass Weber Mullins LLC Milwaukee
  • Benjamin Wilson Benjamin Wilson 1 Managing Principal Beveridge & Diamond P.C. Washington
  • Edward Zore Edward Zore 3, 5 Retired Chairman and CEO The Northwestern Mutual Life Insurance Co. Milwaukee

Committee affiliation key

1 Audit; 2 Executive; 3 Finance; 4 Human Resources, Nominating and Corporate Governance; 5 Operations, Technology and Marketing; A Chair

Company Leaders As of Feb 5, 2016

Executive Leadership Team

  • John Schlifske Chairman and CEO
  • Gregory Oberland President
  • Michael Carter Executive Vice President and Chief Financial Officer
  • Joann Eisenhart Senior Vice President People Function
  • John Grogan Senior Vice President Insurance and Investment Products
  • Ronald Joelson Executive Vice President and Chief Investment Officer
  • Raymond Manista Senior Vice President General Counsel and Secretary
  • Timothy Schaefer Executive Vice President Client and Digital Experience

Executive Officers

  • Leslie Barbi Senior Vice President Public Investments
  • Rebekah Barsch Vice President Planning and Sales
  • Blaise Beaulier Vice President Enterprise Projects and Support
  • Sandra Botcher Vice President Facility Operations
  • Eric Christophersen Vice President Strategic Philanthropy and Community Relations
  • Sheldon Cuffie Vice President and Chief Information Security Officer
  • Christina Fiasca Vice President
  • Timothy Gerend Senior Vice President Distribution Growth and Development
  • Kimberley Goode Vice President Communications and Corporate Affairs
  • Karl Gouverneur Vice President and Chief Technology Officer
  • Thomas Guay Vice President Risk Selection Strategy
  • Gary Hewitt Vice President Investment Risk Management
  • Meg Jansky Vice President Field Integration
  • Todd Jones Vice President and Controller
  • John Kordsmeier Vice President
  • Jeffrey Lueken Senior Vice President Private Securities
  • Stephanie Lyons Vice President Enterprise Risk Assurance
  • John McTigue Chief Distribution Advisor
  • Christian Mitchell Vice President Wealth Management
  • Rebecca Porter Vice President Corporate Strategy
  • Steven Radke Vice President Government Relations
  • David Remstad Senior Vice President and Chief Actuary
  • Bethany Rodenhuis Senior Vice President Distribution Strategy and Finance
  • Tammy Roou Vice President and Chief Risk Officer
  • Calvin Schmidt Senior Vice President Integrated Customer Operations
  • Sarah Schneider Vice President New Business
  • Sarah Schott Vice President Enterprise Compliance
  • David Simbro Senior Vice President Life and Annuity Products
  • Steve Sperka Vice President Field Rewards
  • David Stoeffel Vice President Wealth Platform and Partners
  • Steven Stribling Vice President Disability Income
  • Alexa von Tobel Vice President Client Experience CEO, LearnVest
  • Kamilah Williams-Kemp Vice President Long-Term Care
  • Conrad York Vice President Marketing
  • Thomas Zale Vice President Real Estate
  • Todd Zinkgraf Vice President Enterprise Solutions

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Customer Service

If you have questions, please call one of our service representatives Monday – Friday between 7 a.m. and 6 p.m. Central Time at 866-950-4644, or contact your financial representative.

* A complete list of policy-related eDeliverable documents is available on the client website. The following documents are not eligible for eDelivery at this time: business-related contract/policy documents, billing statements and tax documents.

Bigger Dreams, Brighter Futures

Our program to fight childhood cancer has given thousands of children hope for a brighter future, including Peyton Richardson of Sugar Land, Texas.

Peyton was diagnosed with acute lymphocytic leukemia in January 2015 at the age of 12. An aspiring ballerina, she dreams of seeing performances of the great ballet companies of the world and studying with their principal dancers.

As presenting sponsor of the Rose Bowl Game®, Northwestern Mutual celebrated Peyton’s inspirational story during the 2016 Rose Parade®. The theme of the parade was Find Your Adventure, and Northwestern Mutual’s float – created by Fiesta Parade Floats – brought Peyton’s dream to life in flowers.

Northwestern Mutual is committed to raising awareness, accelerating the search for cures to childhood cancer and providing support to families battling the disease. To learn more, visit and search: Childhood Cancer Program.

Since our Childhood Cancer Program began in 2012, we've:

  • Donated more than $10 million
  • Funded more than 98,000 hours of research
  • Supported 5,000 children and families
  • Engaged 77 hospitals
  • Northwestern Mutual

    Headquartered in Milwaukee, Northwestern Mutual has been helping families and businesses achieve financial security for nearly 160 years. Our financial representatives build relationships with clients through a distinctive planning approach that integrates risk management with wealth accumulation, preservation and distribution. The company, together with its subsidiaries, has more than 4 million clients and offers a comprehensive approach to financial security solutions, including life insurance, long-term care insurance, disability insurance, annuities, life insurance with longterm care benefits, investment products, and advisory products and services.

  • Subsidiaries

    QuietCare® long-term care insurance is offered through Northwestern Long Term Care Insurance Co., Milwaukee, Wis. Securities are offered through Northwestern Mutual Investment Services LLC (NMIS). NMIS, a registered investment adviser, broker-dealer and member of FINRA and SIPC, is a wholly owned company of Northwestern Mutual. Northwestern Mutual Wealth Management Co., a wholly owned company of Northwestern Mutual, is a limited purpose federal savings bank authorized to offer a range of financial planning, trust, fiduciary, investment advisory and investment management products and services.

  • More About Dividends

    Northwestern Mutual expects to continue as the leading U.S. company in total life insurance dividends paid to policyowners. Decisions with respect to the determination and allocation of divisible surplus are left to the discretion and sound business judgment of the company’s Board of Trustees. There is no guaranteed specific method or formula for the determination and allocation of divisible surplus. Accordingly, the company’s approach is subject to change. Neither the existence nor the amount of a dividend is guaranteed on any policy in any given policy year. Some policies may not receive any dividends in a particular year or years even while other policies receive dividends. In its 2016 dividend scale resolution, the Board of Trustees has exercised its discretion to guarantee a minimum amount of dividends to be paid in 2016 to policyholders as a group. If this guaranteed amount exceeds the aggregate amount of dividends actually paid to individual policyholders in 2016, that excess will be paid in 2017 in accordance with the 2016 dividend scale resolution. The presence of a guaranteed minimum amount in the 2016 dividend scale resolution does not obligate Northwestern Mutual to declare a dividend in future years or to guarantee any portion of dividends that may be declared in future years.

  • Enterprise Risk Management

    Northwestern Mutual has a strong risk management culture prevalent at all levels of the organization that promotes vigilance in identifying and managing risks – whether strategic, investment, product or operational – that could impact the strength, security or future vitality of your company. We apply risk models, experience and judgment as part of a well-coordinated structure to identify, evaluate, address and monitor current and emerging risks. This structure assures accountability for scrutinizing risks, defining tolerance thresholds and managing risks within those thresholds. Cross-functional committees oversee the management of significant risks related to our business. They are central to our internal system of checks and balances. These committees leverage well-informed employees and work in partnership with the chief risk officer, who facilitates consistent direction and communication among various risk management functions in the company. The company’s Board of Trustees is responsible for overseeing all risk management efforts. As a financial security company, we believe that managing risks lies at the heart of our business and is deeply rooted in the nearly 160-yearold culture that guides our employees and financial representatives.

  • Reporting Fraud

    Every year, insurance fraud costs companies and consumers billions of dollars. What can clients do to help the company’s antifraud efforts? The company’s website has information on this topic. To report fraud, email or call toll-free 1-877-607-2485.

  • Client-Representative Relationships

    This report contains profiles of certain Northwestern Mutual clients, their personal financial needs and how Northwestern Mutual met their needs. The personal financial needs and results of the clients shown in this report may not represent the experience of other clients. Please discuss your personal financial situation with your Northwestern Mutual financial representative before purchasing any product or service. Keep in mind that working with a Northwestern Mutual financial representative or any other financial services provider does not guarantee future investment success.

  • Annual Meeting of Policyowners

    8 a.m., May 25, 2016

    The Annual Meeting of Policyowners of The Northwestern Mutual Life Insurance Co. will be held at 8 a.m., Wednesday, May 25, 2016, at the company’s downtown campus, 720 E. Wisconsin Ave., Milwaukee, Wis.

  • Have a Question?

    For policy inquiries or general information, go to For billing and payment inquiries, call 1-800-388-8123. The company’s general phone number is 414-271-1444.

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