Allied Life: Announces Regulatory Approval

        


              ALLIED LIFE ANNOUNCES IOWA REGULATORY APPROVAL
                  Contact Donna Smith  515-280-4891



DES MOINES, IOWA, SEPTEMBER 14, 1998 -- ALLIED Life Financial Corporation
(NASDAQ:ALFC) announced today that on September 11, 1998, Nationwide Mutual
Insurance Company received regulatory approval from the Iowa Insurance
Commissioner approving Nationwide's acquisition of control of ALLIED Life
Insurance Company.  In addition, on August 26, 1998, the ALLIED Mutual
Insurance Company policyholders approved the merger between ALLIED Mutual
Insurance Company and Nationwide.

"We are extremely pleased that all the regulatory hurdles have been cleared
and look forward to completing the transaction with Nationwide" said Samuel J.
Wells, President.  Nationwide announced on August 28, 1998 that it has extended
until September 30, 1998, its cash tender offer to buy all outstanding shares
of common stock of ALLIED Life Financial Corporation.

ALLIED Life Financial Corporation is a holding company that, through its
principal subsidiary, ALLIED Life Insurance Company, underwrites, markets, and
distributes life insurance and annuity products in rurual and suburban areas
of the United States. 


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