Manulife’s U.S. division, John Hancock Financial, has successfully completed its reinsurance transaction through which New York Life has assumed, on a reinsurance basis, a net 60% interest in John Hancock’s in-force participating life insurance closed block, which was written prior to John Hancock’s demutualization in 2000.
Terms of the transaction were not disclosed.
John Hancock will continue to service the policies and there will be no change in contract terms or policyholder benefits as a result of the reinsurance.
Read: Manulife expands U.S. retirement plan services business
The reinsurance transaction was announced last December, along with an agreement under which John Hancock would acquire New York Life’s retirement plan services business. The acquisition of the retirement plans services business closed in April.
“Our acquisition of these whole life policy assets underscores our strategic focus on, and commitment to, growing our life insurance business, the fundamental business of New York Life for the past 170 years,” says New York Life chairman and CEO Ted Mathas.
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