Manulife US Unit Swings to Profit on AI Underwriting

Manulife's US business returned to a third-quarter profit as its Quick Quote automation tool handled a growing share of preliminary assessments.

Updated on Nov. 5, 2026 in Insurance

Manulife US Unit Swings to Profit on AI Underwriting

Manulife's US business swung to a third-quarter profit, with net income attributed to shareholders of US$137 million compared with a US$54 million loss a year earlier. The results came as the company's Quick Quote tool now automates more than 70% of preliminary assessments in the US.

Why it matters

The shift shows automated underwriting taking on more of the workload in US life insurance, helping lift results. A change in product mix, however, cut new business value, showing that growth and profitability do not always move together.

US core earnings rose 5% to US$254 million, while US APE sales were flat at US$147 million. Changes in product mix cut new business CSM by 20% and new business value by 13%.

The players

Manulife

Manulife is a Canadian financial services company whose US business operates under the John Hancock brand.

The details

Manulife said US core earnings were helped by favorable life insurance claims experience, business growth and tax items, partly offset by higher expected credit loss provisions and unfavorable lapse experience. The company also added Prenuvo's heart health scan and ŌURA's latest smart ring to its John Hancock Vitality wellness offering.

Q1 2026: Quick Quote automation covered nearly 50% of assessments.
Q3 2026: US business swung to profit as AI underwriting scaled.

Market Dynamics

The quarter's results extend Manulife's Quick Quote rollout, with automation share rising from nearly 50% in the first quarter to more than 70%. Automated underwriting has become a central lever for US life insurers seeking to cut processing costs.

Automated underwriting may shorten approval times for some life insurance applicants in the US. Product changes that cut new business value can also shift which policies insurers push to customers.

The takeaway

Insurers are using automation to speed underwriting and lift earnings, but product mix still determines how much of that growth reaches the bottom line. Readers comparing policies should ask how quickly their application will be assessed and which product features are being emphasized.