---

Nationwide Insurance Cutting Ohio Auto Rates

4 August 1998

Nationwide Insurance Cutting Ohio Auto Rates

    COLUMBUS, Ohio, Aug. 3 -- Nationwide Insurance, Ohio's
second-largest auto insurer, is reducing its auto insurance rates in the
Buckeye State by a statewide average of 5.7%.  The decrease involves reducing
the base rates by an average of 4.2%, improving the company's long-term
policyholder discount and adding a new discount to attract new customers.
    The rate reduction, effective July 15, has been filed with the Ohio
Department of Insurance.
    Individual rates will vary according to drivers' age, residence, accident
and violation records, types and amounts of coverages, and other factors, such
as discounts.
    Nationwide is increasing to 10% the company's long-term policyholder
discount, which now is being offered to auto policyholders who have been
insured by Nationwide for three consecutive years.  The discount previously
was 7% and customers needed to be insured with the company for five years.
    The company is introducing a 10% household discount.  The new discount is
being offered to new auto policyholders if every insured driver in their
household has a five-year driving record that is accident- and traffic
violation-free.
    "We are very pleased to make this reduction for our policyholders," said
Jack W. Wood, vice president in charge of Nationwide's Ohio operations.  He
noted that the rate decrease was the result of substantial claims and
operation efficiencies -- accomplished without affecting customer service --
and a reduction in the number of bodily injury and auto repair claims.
    He attributed the claims reduction to the use of seat belts, more vehicles
being equipped with air bags, a decrease in drunken driving, and a driving
population that is getting older and becoming more cautious on the highways.
    Nationwide, based in Columbus, is the country's fourth-largest auto
insurer and insures 824,000 vehicles in Ohio.