Manuvie conclut un accord de réassurance d'une valeur de 5,4 milliards $

On peut voir des panneaux sur la tour de bureaux de la Société Financière Manuvie à Toronto, le mardi 11 février 2020. La Société Financière Manuvie a annoncé avoir conclu un autre accord pour se débarrasser d'actifs à faible rendement par le biais d'un accord de réassurance de 5,4 milliards $. LA PRESSE CANADIENNE/Cole Burston

 GAC

TORONTO - Manulife Financial Corp. says it has struck another deal to off-load lower-return assets through a $5.4-billion reinsurance deal.

The insurer says the agreement with Reinsurance Group of America includes $2.4 billion of long-term care reserves, which can be more challenging to transfer because they're seen as higher risk.

Reinsurers take on the risk of insurance policies, and a chunk of their premiums, helping insurers like Manulife free up capital. 

The latest deal follows two other big reinsurance deals for Manulife in the past year, including a $13-billion agreement last December that also included long-term care, and a $5.8-billion deal in March.

Chief executive Roy Gori says in a statement that the company is unlocking shareholder value with a second long-term care deal to help it shift its portfolio towards higher return and lower risk.

Manulife says the deal should release $800 million in capital that it plans to return to shareholders through share buybacks.

This report by ºÚÁϳԹÏÍø was first published Nov. 20, 2024.

Companies in this story: (TSX:MFC)

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