In order to bring you the best possible user experience, this site uses Javascript. If you are seeing this message, it is likely that the Javascript option in your browser is disabled. For optimal viewing of this site, please ensure that Javascript is enabled for your browser.
 
Home  |  Career Opportunities  |  Contact Us  |  Login
  Advanced Search  
 
 Products & Solutions   Education Center   Service Center   About Ohio National 
About Ohio National
100th Anniversary
Victorian Holiday Village
Organization
Financials & Ratings
Vision Statement
News
Current News Releases
2014
2013
2012
2011
2010
Older News Releases
Ohio National in the News
Awards & Achievements
Media Contacts
The Ohio National Foundation
Join Us
Company Policies
Comments or Suggestions
 
 2010
Printer Friendly Version Printer Friendly Version

February 12, 2010
Ohio National Announces Record Sales and Capital Growth in 2009

Cincinnati -- Ohio National Financial Services today announced record asset and capital growth and record sales in its core business areas, including an unequalled industry record in individual life insurance sales performance during its 100th anniversary year.

“In the face of unprecedented economic conditions, Ohio National had a very strong year in 2009,” reported David B. O’Maley, chairman, president and chief executive officer, at today’s board of directors meeting. “Our organizational discipline and focus remain consistent – to deliver long-term policyholder value by providing the highest quality products with the benefits and protection our customers need.

“During periods of economic stress, the real character of an organization emerges,” O’Maley added. “We take great pride in our company’s financial and operational strength and note that Ohio National is one of the few financial companies to have all of its excellent ratings reaffirmed by independent analysts in 2009.”

The company highlighted the following from its 2009 results:

  • For the 20th consecutive year, Ohio National has grown its individual life insurance sales. This is a record that is unmatched in the industry. In total, a record-breaking $94.6 million of new annual premium was reported for individual life insurance, up from $93.5 million in 2008. Industry-wide, individual life insurance sales were down 20.4 percent through the third quarter of the year (according to LIMRA International). In its traditional agency distribution channel, new annual premium increased 7.3 percent during 2009.
  • Variable annuity sales increased 33.9 percent during 2009, with a record-breaking $2.4 billion of new premium. This compares to $1.8 billion in 2008. Industry-wide, variable annuity sales were down 22.9 percent at the end of the third quarter (according to Morningstar Annuity Research Center). In its institutional sales distribution channel, the primary channel for annuity sales at Ohio National, sales were up 38.5 percent.
  • Total assets under management grew 22.8 percent, reaching $26.5 billion. Assets under management have grown at a 10-year compound annual growth rate of 11.6 percent.
  • The company maintains a strong capital position. Equity capital (including SFAS 115) grew 19.7 percent to $1.5 billion from $1.3 billion in 2008. Equity capital (excluding SFAS 115) was unchanged at $1.5 billion.
  • The company continues to employ a conservative, diversified investment strategy and strong liquidity position. The company has virtually no exposure to equities or troubled asset classes. At year-end, more than 92 percent of the company’s bond portfolio was rated at investment-grade. At year-end, less than one-half of 1 percent of the company’s bond portfolio was in or near default, and only four-tenths of one percent of the mortgage portfolio was delinquent.
  • For the 86th consecutive year, Ohio National paid dividends to all participating whole life policies. A total of $38.3 million was paid to participating policyholders.
  • New financial representatives were recruited in record numbers. Nearly 2,000 new representatives in the traditional agency sales channel became affiliated with Ohio National, a 16.6 percent increase from 2008.

2009 Rating Highlights

Ohio National was one of the few financial companies to have its excellent ratings reaffirmed by independent analysts during 2009. In addition, the company’s ratings have not changed since 1991. Independent industry analysts in the past year reaffirmed the affiliated companies’ very strong financial security ratings. These included:

  • Standard & Poor’s: “AA” (Very Strong), its third-highest ranking on a 21-part scale, for financial strength. The report noted that the rating reflected the “very strong capitalization … consistently favorable operating performance, solid competitive position … risk management culture characterized by conservatism regarding most significant risks and efficient execution of operating fundamentals.” Rating reaffirmed in February 2009.
  • A. M. Best: “A+ (Superior),” its second-highest rating of 16 categories, based on the company’s balance sheet strength, operating performance and business profile. A.M. Best noted that the rating reflected “consistently favorable operating performance, solid competitive position built on diverse distribution channels, very strong capitalization, and strong life insurance underwriting discipline.” Rating reaffirmed in June 2009.
  • Moody’s: “A1,” its fifth-highest financial strength rating on a 21-part scale, based on the ability to pay policyholder benefits and repay debt obligations. Moody’s cited “prudent risk management measures … low unit costs and efficient operations … strong product development capability … and solid asset/liability management.” Rating reaffirmed in July 2009.

100th Anniversary Year

Ohio National was founded in September 1909 in downtown Cincinnati. In recognition of its centennial, the company made a $780,000 gift in 2009 to Cincinnati Habitat for Humanity, the largest one-time gift in the local group’s history. The funds are designated for the construction of 10 homes over five years in several Cincinnati neighborhoods – each to represent one decade of Ohio National’s first century. The first two homes were built in 2009 and dedicated in January 2010.

OHIO NATIONAL MUTUAL HOLDINGS, INC.
Affiliated companies:
Ohio National Financial Services, Inc.
The Ohio National Life Insurance Company
Ohio National Life Assurance Corporation
(Consolidated)
Summary Results: Through December 2009

  12/09 12/08 % change
Total Equity (billions)
(including FAS 115)
$1.5 $1.3 19.7%
Total Equity (billions)
(excluding FAS 115)
$1.5 $1.5 0%
Total Assets Under Management (billions) $26.5 $21.6 22.8%
Total Statutory Revenue (billions) $4.2 $3.8 10.1%
Total Statutory Surplus (millions) $825.7 $757.2 9.0%

The financial data presented above is on the basis of Generally Accepted Accounting Principles (GAAP), except for dividends revenue and surplus. In addition, all financial information in this news release is consistent with financial results reviewed with our outside auditors and is considered unaudited because the final audit process is not yet complete.

Ohio National has received high marks for financial strength and claims paying ability from major rating agencies; however, such ratings do not refer to the performance of our variable accounts nor imply approval of our variable contracts or their portfolios. All ratings information is according to reports published on: www.standardandpoors.com, www.ambest.com/ratings and www.moodys.com/insurance

Dividend scales are subject to change at the discretion of the Board of Directors.

Tracing its corporate origins to 1909, Ohio National today markets a variety of insurance and financial products through more than 40,000 representatives in 47 states (all except Alaska, Hawaii and New York), the District of Columbia, Puerto Rico and through subsidiary operations in Santiago, Chile. As of December 31, 2009, its affiliated companies have $26.5 billion total assets under management. Products are issued by The Ohio National Life Insurance Company and Ohio National Life Assurance Corporation. Named Cincinnati's "#1 Top Workplace" (large category) by the Enquirer Media (June 2010) and "25 Best Medium-Sized Companies to Work for in America" by the Great Place to Work Institute (June 2004), Ohio National has more than 830 corporate headquarters associates. Visit www.ohionational.com for more information.

Resources
Contacts
Adrienne Gutbier, APR
513.794.6254 (office) or 513.508.9436 (mobile)


 
Internet Access Agreement
Privacy Policies and Practices
State Certificates of Authority

©2014 Ohio National Financial Services, Inc.
Product Issuers: The Ohio National Life Insurance Company
and Ohio National Life Assurance Corporation
Registered Products Distributed by: Ohio National Equities, Inc.
Member FINRA
One Financial Way | Cincinnati, Ohio 45242
513.794.6100