Manulife Financial Corporation reported substantial growth in its Asia business during the first quarter of 2025 (Q1 2025).
It noted significant gains in core insurance metrics including annualised premium equivalent (APE) sales, new business contractual service margin (CSM), and new business value (NBV).
The insurer attributed these increases to robust activity in Hong Kong, Japan, and other key regional markets.
APE sales for the Asia segment rose to US$1.41 billion, marking a 50% increase from the same quarter in 2024. New business CSM reached US$498 million, up 38% year-over-year, while NBV rose 43% to US$457 million. The segment also reported a 7% increase in core earnings, totalling US$492 million.
Manulife said this performance was driven by growing insurance volumes, a favourable claims environment, and stronger contributions from new business.
However, the quarter also included a higher provision for expected credit losses (ECL), reversing a release in the prior-year quarter.
During the quarter, Manulife extended its exclusive bancassurance partnership in the Philippines with China Banking Corporation for another 15 years. The partnership, initially established in 2007, supports the distribution of insurance and wealth management products to families in the local market.
Manulife also expanded its use of generative AI technologies across the region. In Singapore, the company deployed an AI-based assistant to support agents in servicing clients more efficiently. A similar tool was launched in Japan to streamline broker support, enabling quicker access to policy information and reducing administrative tasks.
The company launched a new proposition targeting high-net-worth clients through its international business. The product combines life insurance with health-related services such as comprehensive MRI screening, access to second medical opinions, and critical illness benefits.
In Hong Kong, Manulife extended its health offering by partnering with three hospitals to offer cancer diagnosis second opinions and introduced a cross-border cancer drug support initiative with a hospital in the Greater Bay Area of China.
Phil Witherington (pictured), who will step down as Manulife Asia’s president and CEO on May 9, said the business had a productive start to the year.
“Building on last year’s momentum, the Asia segment achieved record levels across all value metrics in the first quarter, including annualised premium equivalent, new business value, and new business contractual service margin,” he said.
As leadership transitions to Steve Finch, Manulife Asia said it remains committed to providing integrated financial and health solutions across the region.
“With a strong foundation in place, I look forward to seeing our Asia business continue to grow under the leadership of Steve Finch, who will officially assume the role of president and CEO of Manulife Asia on May 9, 2025,” Witherington said. “As we look to the future, our focus remains on delivering high-quality sustainable growth by becoming the number one choice for our customers. Across our diverse footprint in Asia, we are dedicated to offering innovative health initiatives and high-net-worth solutions through our differentiated distribution networks and advanced digital capabilities.”
