Manulife Philippines bets on diversified investments to sustain profits

MANUFACTURERS Life Insurance Co. (Phils.), Inc. (Manulife Philippines) is leaning on investment diversification to support profitability this year after a decline in premium income last year, as global market volatility intensifies amid the Middle East war.

Premiums fell 9.27% to P14.39 billion in 2025 from 2024, according to Insurance Commission data. Net income also slipped 10.32% to P1.97 billion.

“Before the recent crisis, we were trending quite well,” Manulife Philippines President and Chief Executive Officer Rahul Hora told a forum on Monday, citing a resilient Philippine economy.

He said the insurer is prioritizing profitability after restructuring its portfolio last year, exiting unprofitable products and shifting focus from group life to individual life insurance.

“We are dropping out of those lines of business because of profitability issues and there are other lines of business where we are focusing more on,” Mr. Hora said.

The insurer is also adjusting its investment strategy to mitigate risks from surging global oil prices and potential inflationary pressures that could dampen demand for life insurance.

“If there is an increase in prices, there is a possibility that it will impact [demand for life insurance],” Mr. Hora said. “Our responsibility is to make people understand how to prioritize their financial spending.”

The company plans to launch policies and funds emphasizing long-term savings and diversified investments.

Mr. Hora stressed the importance of avoiding concentration in any single geography or asset class, given the unpredictability of economic conditions.

“We are in an environment where surprises are always around the corner,” he said. Predicting which region or asset class will deliver strong returns is increasingly becoming difficult, he added.

Diversification helps ensure customers are not overly exposed to any single risk, Mr. Hora said. — AMCS