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Exhibit A Market Value Adjustment Assumptions & Formula Nationwide's market value adjustment formula assumes that the net cash flow received each calendar quarter had been invested in a 10 -year semi-annual coupon bond purchased at par. The rate on that bond is assumed to be the actual rate earned on investments acquired in that calendar quarter with an average quality of Baa. Therefore, the result is a set of hypothetical assets that reasonably represent the actual portfolio. The current market rate, against which each hypothetical asset is compared, assumes that any asset that might be sold would have a rating of Baa. The current market rate is assumed to be the Barclays Capital Baa component of the U.S. Credit index rate. To calculate the market value adjustment: 1. The book value of each hypothetical asset is determined by allocating the Contract Value over all quarters since purchase payments began per the following process. The book value is the: • Contract Value increase (or zero if the Contract Value decreased), plus • the amount reinvested during the quarter from a prior quarter's maturing hypothetical asset, less • any hypothetical asset sales resulting from Contract Value decreases (i.e. net cash outflow) in later quarters. In other words, if a calendar quarter's Contract Value decreases more than rollovers from prior quarter's maturing hypothetical assets, the hypothetical assets from prior quarters are liquidated pro -rata until Contract Value decrease is satisfied. The sum of the book values for all calendar quarters will equal Contract Value on the cash out date. 2. The market value is calculated for each hypothetical asset. This is the present value of the hypothetical asset discounted at the current market rate (i.e. Barclays Capital Baa). If the present value were calculated at the hypothetical bond's original rate, the present value would equal the book or par value. However, since discounting is done at the current market rate, the current market value results. 3. The total market value is the sum of the market values for each hypothetical asset. The market value adjustment is the amount by which the total book value differs from the total market value. NRC-O110FL 13 (Florida) (4/2011)