Nebraska State Treasurer Don Stenberg today announced that First National Bank of Omaha, the program manager for The State Farm College Savings Plan, will expand its responsibilities to become distributor and servicing agent for the State Farm Plan. Stenberg is Trustee of the Nebraska Educational Savings Trust (NEST).

The changes will take effect August 6, 2018. Authorized State Farm registered representative agents will be able to offer and service Plan accounts on that date.

After the transition, customers will see reduced expenses, as well as new investment options and underlying funds. Account owners will be notified in advance of these changes. Until the transition occurs, account owners can continue to contribute to their accounts and update their account information, and new accounts can be opened. Account owners do not need to do anything to transition to the newly designed Plan.

“Having successfully provided comprehensive program management and distribution responsibilities for the three other programs in the Nebraska Educational Savings Trust, First National Bank of Omaha is poised for continued success as it assumes a more robust role,” Treasurer Stenberg said. “Together, we intend to continue to provide plans with quality investment options for our account owners. Our mission is reflected in our planned changes.”

The transition will occur automatically. The changes will not affect the tax status of the Plan. The changes do not count towards the account owner’s twice a year limit to change investment options.

These changes will not affect the other three plans in the Nebraska Educational Savings Trust – the NEST Direct College Savings Plan, the NEST Advisor College Savings Plan and the TD Ameritrade 529 College Savings Plan.

“We are delighted to be working with State Farm, its agents and customers as they prepare for their loved ones’ futures,” said Deborah Goodkin, Managing Director, Savings Plans, First National Bank of Omaha. “We are eager to begin implementing improvements to the Plan to help even more families plan and save for the costs of higher education.”

“We’re excited about the opportunity to help families across America with their education savings needs,” said Lisa Stewart, Vice President – Life, Health & Investment Planning Services, State Farm. “With the partnership of FNBO and the State of Nebraska, State Farm agents can help customers make those dreams a reality,”

Before the effective change date, account owners will receive a series of communications informing them of the transition plan and its timing. For more information on how the Plan change will affect current State Farm College Savings Plan account owners, customers may call 833-471-2687.

About State Farm®
The mission of State Farm is to help people manage the risks of everyday life, recover from the unexpected, and realize their dreams. State Farm and its affiliates are the largest providers of auto and home insurance in the United States. Its nearly 19,000 agents and nearly 65,000 employees serve more than 84 million policies and accounts – more than 81 million auto, fire, life, health and commercial policies and more than 2 million bank accounts. Commercial auto insurance, along with coverage for renters, business owners, boats and motorcycles, is available. State Farm Mutual Automobile Insurance Company is the parent of the State Farm family of companies. State Farm is ranked No. 33 on the 2017 Fortune 500 list of largest companies. For more information, please visit http://www.statefarm.com.

About First National Bank of Omaha
First National Bank is a subsidiary of First National of Nebraska. First National of Nebraska is the largest privately owned banking company in the United States. First National and its affiliates have more than $21 billion in assets and 5,000 employee associates. Primary banking offices are located in Nebraska, Colorado, Illinois, Iowa, Kansas, South Dakota and Texas.

State Farm Bank®, Bloomington, Illinois, is a Member FDIC and an Equal Housing Lender. Insurance, annuities and securities products offered by affiliate companies of State Farm Bank are not FDIC insured, are not guaranteed by State Farm Bank, and are subject to investment risk, including possible loss of principal. 

Before investing, consider the funds’ investment objectives, risks, fees and expenses associated with The State Farm College Savings Plan. Contact State Farm VP Management Corp (1-800-447-4930) for an Enrollment Handbook and Participation Agreement. Read it carefully. AP2018/04/0602

An investor should consider, before investing, whether the investor’s or designated beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in such state’s qualified tuition program. 

State Farm VP Management Corp. is a separate entity from those State Farm entities that provide banking and insurance products. Neither State Farm nor its agents provide tax or legal advice.