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Nationwide Provident /
Allied Mutual Life - Missing Policy Owner Search
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Allied Mutual - Nationwide - Provident Mutual Life Unclaimed Policies and Demutualization Compensation Claims |
Provident Mutual Life - Nationwide ProvidentIn 1998, Nationwide Mutual Insurance Company merged with Allied Mutual. On October 1, 2002, Provident Mutual Life Insurance Company demutualized and concurrently merged with Nationwide Financial Services, Inc. to become Nationwide-Provident, in a transaction worth $1.56 billion. Demutualization is the process of converting a mutual life insurance company, owned by its policyholders, to a publicly traded stock company owned by shareholders, pursuant to a plan of conversion approved by government regulators. The amount paid to each policyholder is based on a number of factors, including length of time the policy has been in force, face value of the policy, and total premiums paid. For many policyholders, the windfall arising from demutualization can be substantial, but millions of missing policyholders and heirs aren't aware they are entitled to receive compensation. Eligible policyholders became entitled to receive compensation consisting of a fixed component of 26 Nationwide Financial Services common shares, as well as a variable component based on policy value. Lost policyholders were entitled to receive $28 cash per share entitlement. The current value of a Nationwide Financial share is approximately $39.00.
Between one-quarter and one-half of all life insurance policies go unclaimed, because it is generally up to family members to notify the insurance company when a policyholder dies, and virtually no effort is made to find lost beneficiaries. In addition hundreds of thousands of missing policyholders aren't aware they are entitled to receive this demutualization compensation. Contact efforts were unsuccessful, due to name changes after marriage or divorce, unreported changes of address, expired postal forwarding orders and non-current beneficiary information. By law, unclaimed policy benefits, including demutualization compensation, are remitted to the custody of a government trust account until claimants come forward. Last year government custodians collected $22.8 billion, of which less than $1 billion was claimed. It is highly recommended that current and former policyholders and heirs - the majority of whom are unaware they're entitled to unclaimed policy benefits, stock & cash - initiate an Unclaimed Life Insurance Policy Search |
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