Manulife Closes Long-Term Care Reinsurance Transaction with Munich Re

The completed reinsurance covers an 80% quota share of a long-term care policy block with C$3.2 billion of reserves.

Rhea-AI Summary

Manulife (MFC) has closed its previously announced transaction to reinsure long-term care biometric risk with Munich American Reassurance Company.

The transaction covers a policy block with C$3.2 billion of reserves at an 80% quota share, meaning the stated reinsurance share is 80%. The counterparty, known as Munich Re Life US, is a subsidiary of Munich Re Group. The reinsurance is effective July 1, 2026. The reserve figure is based on the June 30, 2026 position under IFRS 17 accounting and includes estimated future cash flows, a risk adjustment and contractual service margin.

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• Moderate pointCompleted reinsurance places long-term care biometric risk with Munich Re Life US, effective July 1, 2026.

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TORONTO, Oct. 1, 2026 /PRNewswire/ -- Manulife Financial Corporation ("Manulife" or the "Company") announced today that it has closed¹ the previously announced transaction to reinsure biometric risk on a block of long-term care policies with $3.2 billion of reserves² to Munich American Reassurance Company ("Munich Re Life US"), a subsidiary of Munich Re Group.

For more information on the transaction, please see the news release from our August 5^th, 2026, announcement.

About Manulife

Manulife Financial Corporation is a leading international financial services provider, headquartered in Toronto, Canada. Anchored in our ambition to be the number one choice for customers, we operate as Manulife across Canada and Asia, and primarily as John Hancock in the United States, providing financial advice, insurance and health solutions for individuals, groups and businesses. Through Manulife Wealth & Asset Management, we offer global investment solutions, financial advice, and retirement plan services to individuals, institutions, and retirement plan members worldwide. At the end of 2025, we had more than 37,000 employees, over 106,000 agents, and thousands of distribution partners, serving over 37 million customers with operations across 25 markets globally. We trade as 'MFC' on the Toronto, New York, and Philippine stock exchanges, and under '945' on the Hong Kong stock exchange.

About Munich Re Life US

Munich Re Life US, a subsidiary of Munich Re Group, is a leading US reinsurer with a significant market presence and extensive technical depth in all areas of life and disability reinsurance. Beyond vast reinsurance capacity and unrivaled risk expertise, the company is recognized as an innovator in digital transformation and aims to guide carriers through the changing industry landscape with dynamic solutions insightfully designed to grow and support their business. Munich Re Life US also offers tailored financial reinsurance solutions to help life and disability insurance carriers manage organic growth and capital efficiency as well as M&A support to help achieve transaction success.

Media Inquiries

Fiona McLean
(437) 441-7491
fiona_mclean@manulife.com

Investor Relations

Derek Theobalds
(416) 254-1774
derek_theobalds@manulife.com

____________________________
Note: All figures and estimates are based on June 30, 2026, position, unless otherwise noted, and are expressed in Canadian dollar, based on exchange rate of US$1:00 to C$1.41875.
1	The effective date of the reinsurance is July 1, 2026.
2	IFRS reserve figure of C$3.2B at 80% quota share, reflecting IFRS 17 current estimate of present value of future cash flows + risk adjustment + contractual service margin.

View original content to download multimedia:https://www.prnewswire.com/news-releases/manulife-closes-long-term-care-reinsurance-transaction-with-munich-re-302896781.html

SOURCE Manulife Financial Corporation

FAQ

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What long-term care reinsurance transaction has Manulife (MFC) closed?

Manulife has closed a transaction with Munich American Reassurance Company to reinsure biometric risk on a long-term care policy block with C$3.2 billion of reserves at an 80% quota share. The counterparty operates as Munich Re Life US and is a subsidiary of Munich Re Group.

When is Manulife's long-term care reinsurance with Munich Re effective?

The reinsurance is effective July 1, 2026. Manulife has completed the previously announced transaction.