Northwestern Mutual


The Northwestern Mutual is an American financial services mutual organization based in Milwaukee. The financial security company provides consultation on wealth and asset income protection, education planning, retirement planning, investment advisory services, financial planning trust and private client services, estate planning and business planning. Its products include life insurance, permanent life insurance, disability income, and long-term care insurance; annuities; investments; and investment advisory products and services. Northwestern Mutual ranked No. 111 in the 2019 Fortune 500 list of the largest United States corporations by total revenue and is currently ranked No. 102 by total revenue and is in the top 50 by assets held. The firm distributes a portion of its earnings to eligible policyholders as annual dividends.

History

Northwestern Mutual was founded as the Mutual Life Insurance Company of the State of Wisconsin on March 2, 1857. Originally located in Janesville, Wisconsin, the fledgeling company relocated to Milwaukee in 1859. Shortly after, the company experienced its first two death claims, when an excursion train traveling from Janesville to Fond du Lac, Wisconsin derailed, killing 14 people, two of whom were policy owners. With losses amounting to $3,500 and having funds of only $2,000, company President Samuel Daggett and Treasurer Charles Nash personally borrowed the needed funds to pay the claims immediately.
In 1864, the company paid its first dividends to policy owners.  It again paid dividends in 1867 and 1870, and has done so annually since 1872.
By 1865, it was operating throughout the Midwest and had entered the East coast, and the board of trustees changed the company’s name to The Northwestern Mutual Life Insurance Company.
For the first half of the 1900s, Northwestern Mutual focused on life insurance. In 1969, the company began offering disability insurance, and by the late 1970s a series of retirement annuities were available. In the 1990s, the company introduced long-term care insurance, and in 2000, the company changed its name to Northwestern Mutual.
In 2015, Northwestern Mutual began construction of Northwestern Mutual Tower and Commons, which opened in 2017.
Following the accident, the company saw a rapid increase in its sales and an expansion into new markets. By 1865, it was operating throughout the Midwest and had entered the market along the East coast. To reflect this increased presence, the board of trustees changed the company's name to The Northwestern Mutual Life Insurance Company. In 1864, the company paid its first dividends to policy owners. It again paid dividends in 1867 and 1870, and has done so annually since 1872.
Throughout the early years of the 20th century, Northwestern Mutual focused on life insurance. At the same time, the company worked to increase its accountability. In 1907, company leaders invited policy owners who were not trustees to probe into finances for accountability. This unique tradition has continued to the present day; members of the Policy owners’ Examining Committee have unrestricted access to evaluate Northwestern Mutual's operations, management and strategic plans independently.
In 1969, the company began offering disability insurance. Less than a decade later, a series of retirement annuities were introduced for the employee benefits market. In the 1990s, the company saw further growth with the introduction of its long-term care insurance. In 2000, the company changed its name to reflect this broadening of its product offerings to just Northwestern Mutual.
In 2001 the company continued to expand its product and service offerings by launching a wholly owned subsidiary known today as Northwestern Mutual Wealth Management Company, a federal savings bank. Through NMWMC, the company offers a range of financial planning products and services including investment management, fee-based financial planning, business retirement plans, and trust and private client services.
In 2015 Northwestern Mutual began construction of Northwestern Mutual Tower and Commons; it opened in 2017.
On March 25, 2015, Northwestern Mutual bought financial planning company LearnVest for over $250 million.
In 2018, Northwestern Mutual reduced underwriting time and introduced an online digital platform for clients.
As of 2020, the company had $290.3 billion in assets, $29.9 billion in revenues, and $1.9 trillion worth of active life insurance protection and the company worked with more than 4.6 million clients. They managed $161 billion of investments owned by its clients and held or managed through its wealth management and investment services businesses. In June 2020, Northwestern Mutual also reported a $1.6 million pledge to All-In Milwaukee to finance the latest Talent of the Future initiative over the next four years, through its Foundation and in collaboration with the Diversity and Inclusion department.

Subsidiaries

The company’s services and products are offered through several subsidiaries:
Northwestern Mutual has the highest financial strength ratings currently awarded to U.S. life insurers by all of the major rating agencies.

Technology

Since launching in 2017, Northwestern Mutual Future Ventures, Northwestern Mutual’s venture capital arm, has invested more than $50 million in 18 tech startups.  
In 2019, the company partnered with Accenture, Advocate Aurora Health, Johnson Controls, Kohl's and Rockwell Automation to form the MKE Tech Hub Coalition, an effort focused on attracting and retaining tech talent in the Milwaukee region.

Research

Northwestern Mutual regularly publishes research examining U.S. adults’ attitudes and behaviors toward money, financial decision-making and caregiving.

Marketing

Northwestern Mutual serves as the presenting sponsor of the Rose Bowl Game, an NCAA Division I college football bowl game played annually on New Year's Day.
Northwestern Mutual has registered the .northwesternmutual top-level domain, which is currently the longest TLD.

Awards and honors

Northwestern Mutual was ranked #367 among America's Best Employers 2019 by Forbes.