Ohio National Announces Record Sales and Capital Growth in 2009

CINCINNATI, OH--(Marketwire - February 12, 2010) - 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

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.

                    Affiliated companies:
             Ohio National Financial Services, Inc.
           The Ohio National Life Insurance Company
           Ohio National Life Assurance Corporation
            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.

Tracing its corporate origins to 1909, Ohio National today markets a variety of insurance and financial products through more than 50,000 representatives in 47 states (all except Alaska, Hawaii and New York), the District of Columbia, Puerto Rico and through subsidiary operations in Santiago, Chile. Products are issued by The Ohio National Life Insurance Company and Ohio National Life Assurance Corporation. Voted Cincinnati's "Best Place to Work" (large category) by the Business Courier (November 2003) 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 850 corporate headquarters associates. Visit www.ohionational.com for more information.

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.

Contact Information: Adrienne Gutbier, APR 513.794.6254 office 513.520.1612 cellular