XML 83 R54.htm IDEA: XBRL DOCUMENT v3.24.0.1
Information Provided in Connection with Investments in Deferred Annuity Contracts and SignatureNotes Issued or Assumed by John Hancock Life Insurance Company (U.S.A.) (Tables)
 12 Months Ended
Dec. 31, 2023
Text block [abstract]  
Condensed Consolidated Statement of Financial Position
Condensed Consolidated Statement of Financial Position
 
As at December 31, 2023
   MFC
(Guarantor)		     JHUSA
(Issuer)		     Other
subsidiaries		     Consolidation
adjustments		     Consolidated
MFC		  
Assets
                                        
Invested assets
  
$
86
 
  
$
109,433
 
  
$
307,930
 
  
$
(239
)
  
$
417,210
 
Investments in unconsolidated subsidiaries
  
 
58,694
 
  
 
8,674
 
  
 
17,916
 
  
 
(85,284
)
  
 
–
 
Insurance contract assets
  
 
–
 
  
 
–
 
  
 
217
 
  
 
(72
)
  
 
145
 
Reinsurance contract held assets
  
 
–
 
  
 
42,418
 
  
 
10,380
 
  
 
(10,147
)
  
 
42,651
 
Other assets
  
 
329
 
  
 
8,731
 
  
 
32,700
 
  
 
(3,736
)
  
 
38,024
 
Segregated funds net assets
  
 
–
 
  
 
188,067
 
  
 
191,241
 
  
 
(1,764
)
  
 
377,544
 
Total assets
  
$
59,109
 
  
$
357,323
 
  
$
560,384
 
  
$
(101,242
)
  
$
875,574
 
Liabilities and equity
                                        
Insurance contract liabilities, excluding those for account of segregated fund holders
  
$
–
 
  
$
145,589
 
  
$
232,972
 
  
$
(10,565
)
  
$
367,996
 
Reinsurance contract held liabilities
  
 
–
 
  
 
–
 
  
 
2,831
 
  
 
–
 
  
 
2,831
 
Investment contract liabilities
  
 
–
 
  
 
3,487
 
  
 
8,928
 
  
 
(599
)
  
 
11,816
 
Other liabilities
  
 
573
 
  
 
5,869
 
  
 
51,266
 
  
 
(3,786
)
  
 
53,922
 
Long-term debt
  
 
6,071
 
  
 
–
 
  
 
–
 
  
 
–
 
  
 
6,071
 
Capital instruments
  
 
5,426
 
  
 
594
 
  
 
647
 
  
 
–
 
  
 
6,667
 
Insurance contract liabilities for account of segregated fund holders
  
 
–
 
  
 
51,719
 
  
 
62,424
 
  
 
–
 
  
 
114,143
 
Investment contract liabilities for account of segregated fund holders
  
 
–
 
  
 
136,348
 
  
 
128,817
 
  
 
(1,764
)
  
 
263,401
 
Shareholders’ and other equity
  
 
47,039
 
  
 
13,773
 
  
 
70,755
 
  
 
(84,528
)
  
 
47,039
 
Participating policyholders’ equity
  
 
–
 
  
 
(56
)
  
 
313
 
  
 
–
 
  
 
257
 
Non-controlling interests
  
 
–
 
  
 
–
 
  
 
1,431
 
  
 
–
 
  
 
1,431
 
Total liabilities and equity
  
$
  59,109
 
  
$
  357,323
 
  
$
  560,384
 
  
$
  (101,242
)
  
$
  875,574
 
Condensed Consolidated Statement of Financial Position
 
    Restated (note 2)  
As at December 31, 2022   MFC
(Guarantor)		     JHUSA
(Issuer)		     Other
subsidiaries		     Consolidation
adjustments		     Consolidated
MFC		  
Assets
                                        
Invested assets
   $ 63     $ 109,332     $ 291,266     $ (519 )    $ 400,142  
Investments in unconsolidated subsidiaries
     58,024       8,584       18,018       (84,626 )      –  
Insurance contract assets
     –       –       739       (66 )      673  
Reinsurance contract held assets
     –       44,849       11,215       (10,193 )      45,871  
Other assets
     333       8,899       33,082       (3,873 )      38,441  
Segregated funds net assets
     –       173,417       177,361       (2,216 )      348,562  
Total assets
   $ 58,420     $ 345,081     $ 531,681     $ (101,493 )    $ 833,689  
Liabilities and equity
                                        
Insurance contract liabilities, excluding those for account of segregated fund holders
   $ –     $ 147,440     $ 217,942     $ (10,533 )    $ 354,849  
Reinsurance contract held liabilities
     –       –       2,391       –       2,391  
Investment contract liabilities
     –       2,585       8,207       (713 )      10,079  
Other liabilities
     450       7,206       53,186       (3,616 )      57,226  
Long-term debt
     6,234       –       –       –       6,234  
Capital instruments
     4,860       614       648       –       6,122  
Insurance contract liabilities for account of segregated fund holders
     –       49,947       60,269       –       110,216  
Investment contract liabilities for account of segregated fund holders
     –       123,470       117,092       (2,216 )      238,346  
Shareholders’ and other equity
     46,876       13,865       70,550       (84,415 )      46,876  
Participating policyholders’ equity
     –       (46 )      (31 )      –       (77 ) 
Non-controlling interests
     –       –       1,427       –       1,427  
Total liabilities and equity
   $   58,420     $   345,081     $   531,681     $   (101,493 )    $   833,689  
Condensed Consolidated Statement of Income
Condensed Consolidated Statement of Income
 
For the year ended December 31, 2023
 
MFC
(Guarantor)
 
 
JHUSA
(Issuer)
 
 
Other
subsidiaries
 
 
Consolidation
adjustments
 
 
Consolidated
MFC
 
Insurance service result
 
 
 
 
 
Insurance revenue
  
$
–
 
  
$
  9,858
 
  
$
  15,754
 
  
$
(1,640
)
  
$
 23,972
 
Insurance service expenses
  
 
–
 
  
 
(8,928
)
  
 
(12,195
)
  
 
   1,741
 
  
 
(19,382
)
Net expenses from reinsurance contracts held
  
 
–
 
  
 
(315
)
  
 
(175
)
  
 
(123
)
  
 
(613
)
Total insurance service result
  
 
–
 
  
 
615
 
  
 
3,384
 
  
 
(22
)
  
 
3,977
 
Investment result
                                        
Net investment income (loss)
  
 
638
 
  
 
4,232
 
  
 
14,179
 
  
 
(1,028
)
  
 
18,021
 
Insurance / reinsurance finance income (expenses)
  
 
–
 
  
 
(4,723
)
  
 
(9,993
)
  
 
88
 
  
 
(14,628
)
Other investment result
  
 
–
 
  
 
100
 
  
 
(432
)
  
 
(103
)
  
 
(435
)
Total investment result
  
 
638
 
  
 
(391
)
  
 
3,754
 
  
 
(1,043
)
  
 
2,958
 
Other revenue
  
 
14
 
  
 
790
 
  
 
6,384
 
  
 
(442
)
  
 
6,746
 
Other expenses
  
 
(55
)
  
 
(1,112
)
  
 
(4,776
)
  
 
268
 
  
 
(5,675
)
Interest expenses
  
 
(433
)
  
 
(79
)
  
 
(2,281
)
  
 
1,239
 
  
 
(1,554
)
Net income (loss) before income taxes
  
 
164
 
  
 
(177
)
  
 
6,465
 
  
 
–
 
  
 
6,452
 
Income tax (expenses) recoveries
  
 
7
 
  
 
175
 
  
 
(1,027
)
  
 
–
 
  
 
(845
)
Net income (loss) after income taxes
  
 
171
 
  
 
(2
)
  
 
5,438
 
  
 
–
 
  
 
5,607
 
Equity in net income (loss) of unconsolidated subsidiaries
  
 
4,932
 
  
 
811
 
  
 
809
 
  
 
(6,552
)
  
 
–
 
Net income (loss)
  
$
5,103
 
  
$
809
 
  
$
6,247
 
  
$
(6,552
)
  
$
5,607
 
Net income (loss) attributed to:
                                        
Non-controlling interests
  
$
–
 
  
$
–
 
  
$
144
 
  
$
–
 
  
$
144
 
Participating policyholders
  
 
–
 
  
 
(74
)
  
 
360
 
  
 
74
 
  
 
360
 
Shareholders and other equity holders
  
 
5,103
 
  
 
883
 
  
 
5,743
 
  
 
(6,626
)
  
 
5,103
 
 
  
$
 5,103
 
  
$
809
 
  
$
6,247
 
  
$
(6,552
)
  
$
       5,607
 
Condensed Consolidated Statement of
Income
 
 
 
Restated (note 2)
 
For the year ended December 31, 2022
 
MFC
(Guarantor)
 
 
JHUSA
(Issuer)
 
 
Other
subsidiaries
 
 
Consolidation
adjustments
 
 
Consolidated
MFC
 
Insurance service result
 
 
 
 
 
Insurance revenue
   $ –     $ 9,946     $ 14,760     $   (1,588 )    $    23,118  
Insurance service expenses
     –         (10,652
) 
       (12,417 )      3,734         (19,335 ) 
Net expenses from reinsurance contracts held
     –       (570
) 
     281       (334 )      (623 ) 
Total insurance service result
     –       (1,276
) 
     2,624       1,812       3,160  
Investment result
                                        
Net investment income (loss)
     554       (53
) 
     781       (945 )      337  
Insurance / reinsurance finance income (expenses)
     –       (325
) 
     (4,376 )      (1,606 )      (6,307 ) 
Other investment result
     –       36       (426 )      (9 )      (399 ) 
Total investment result
     554       (342
) 
     (4,021 )      (2,560 )      (6,369 ) 
Other revenue
     (36 )      505       6,181       (464 )      6,186  
Other expenses
     (42 )      (841
) 
     (4,455 )      274       (5,064 ) 
Interest expenses
     (439 )      (54
) 
     (1,496 )      938       (1,051 ) 
Net income (loss) before income taxes
     37       (2,008
) 
     (1,167 )      –       (3,138 ) 
Income tax (expenses) recoveries
     32       624       503       –       1,159  
Net income (loss) after income taxes
     69       (1,384
) 
     (664 )      –       (1,979 ) 
Equity in net income (loss) of unconsolidated subsidiaries
     (2,002 )      638       (746 )      2,110       –  
Net income (loss)
   $ (1,933 )    $ (746
) 
   $ (1,410 )    $ 2,110     $ (1,979 ) 
Net income (loss) attributed to:
                                        
Non-controlling interests
   $ –     $ –     $ 121     $ –     $ 121  
Participating policyholders
     –       (530
) 
     288       75       (167 ) 
Shareholde
rs a
nd other equity holders
     (1,933 )      (216
) 
     (1,819 )      2,035       (1,933 ) 
 
   $   (1,933 )    $ (746
) 
   $ (1,410 )    $   2,110     $ (1,979 ) 
Consolidated Statement of Cash Flows
Consolidated Statement of Cash Flows
 
For the year ended December 31, 2023
 
MFC
(Guarantor)
 
 
JHUSA
(Issuer)
 
 
Other
subsidiaries
 
 
Consolidation
adjustments
 
 
Consolidated
MFC
 
Operating activities
                                        
Net income (loss)
  
$
  5,103
 
  
$
  809
 
  
$
  6,247
 
  
$
  (6,552
)
  
$
  5,607
 
Adjustments:
                                        
Equity in net income of unconsolidated subsidiaries
  
 
(4,932
)
  
 
(811
)
  
 
(809
)
  
 
6,552
 
  
 
–
 
Increase (decrease) in net insurance contract liabilities
  
 
–
 
  
 
455
 
  
 
10,242
 
  
 
–
 
  
 
10,697
 
Increase (decrease) in investment contract liabilities
  
 
–
 
  
 
(112
)
  
 
547
 
  
 
–
 
  
 
435
 
(Increase) decrease in reinsurance contract
assets, excluding 
reinsurance transactions
  
 
–
 
  
 
28
 
  
 
946
 
  
 
–
 
  
 
974
 
Amortization of (premium) discount on invested assets
  
 
–
 
  
 
30
 
  
 
(171
)
  
 
–
 
  
 
(141
)
Contractual service margin (“CSM”) amortization
  
 
–
 
  
 
(455
)
  
 
(1,543
)
  
 
–
 
  
 
(1,998
)
Other amortization
  
 
10
 
  
 
147
 
  
 
424
 
  
 
–
 
  
 
581
 
Net realized and unrealized (gains) losses and impairment on assets
  
 
3
 
  
 
471
 
  
 
(3,319
)
  
 
–
 
  
 
(2,845
)
Deferred income tax expenses (recoveries)
  
 
(11
)
  
 
(141
)
  
 
622
 
  
 
–
 
  
 
470
 
Stock option expense
  
 
–
 
  
 
(3
)
  
 
5
 
  
 
–
 
  
 
2
 
Cash provided by (used in) operating activities before undernoted items
  
 
173
 
  
 
418
 
  
 
13,191
 
  
 
–
 
  
 
13,782
 
Dividends from
unconsolidated subsidiaries
  
 
5,600
 
  
 
386
 
  
 
(679
)
  
 
(5,307
)
  
 
–
 
Changes in policy related and operating receivables and payables
  
 
(4
)
  
 
(649
)
  
 
7,294
 
  
 
–
 
  
 
6,641
 
Cash provided by (used in) operating activities
  
 
5,769
 
  
 
155
 
  
 
19,806
 
  
 
(5,307
)
  
 
20,423
 
Investing activities
                                        
Purchases and mortgage advances
  
 
–
 
  
 
(15,165
)
  
 
(68,856
)
  
 
–
 
  
 
(84,021
)
Disposals and repayments
  
 
–
 
  
 
16,159
 
  
 
54,122
 
  
 
–
 
  
 
70,281
 
Changes in investment broker net receivables and payables
  
 
–
 
  
 
12
 
  
 
9
 
  
 
–
 
  
 
21
 
Net cash increase (decrease) from sale
(purchase) of subsidiaries
  
 
–
 
  
 
–
 
  
 
(1
)
  
 
–
 
  
 
(1
)
Investment in common shares of subsidiaries
  
 
(1,843
)
  
 
–
 
  
 
–
 
  
 
1,843
 
  
 
–
 
Capital contribution to unconsolidated subsidiaries
 
 
 
–
 
 
 
 
(1
)
 
 
 
 
–
 
 
 
 
1
 
 
 
 
–
 
Return of capital from unconsolidated subsidiaries
 
 
 
–
 
 
 
 
5
 
 
 
 
–
 
 
 
(5
)
 
 
 
 
–
 
Notes receivable from parent
  
 
–
 
  
 
–
 
  
 
(4
)
  
 
4
 
  
 
–
 
Notes receivable from subsidiaries
  
 
(25
)
  
 
–
 
  
 
–
 
  
 
25
 
  
 
–
 
Cash provided by (used in) investing activities
  
 
(1,868
)
  
 
1,010
 
  
 
(14,730
)
  
 
1,868
 
  
 
(13,720
)
Financing activities
                                        
Change in repurchase agreements and securities sold but not yet purchased
  
 
–
 
  
 
–
 
  
 
(693
)
  
 
–
 
  
 
(693
)
Issue of capital instruments, net
  
 
1,194
 
  
 
–
 
  
 
–
 
  
 
–
 
  
 
1,194
 
Redemption of capital instruments
  
 
(600
)
  
 
–
 
  
 
–
 
  
 
–
 
  
 
(600
)
Secured borrowing from securitization transactions
  
 
–
 
  
 
–
 
  
 
537
 
  
 
–
 
  
 
537
 
Changes in deposits from Bank clients, net
  
 
–
 
  
 
–
 
  
 
(895
)
  
 
–
 
  
 
(895
)
Lease payments
  
 
–
 
  
 
(3
)
  
 
(95
)
  
 
–
 
  
 
(98
)
Shareholders’ dividends and other equity distributions
  
 
(2,972
)
  
 
–
 
  
 
–
 
  
 
–
 
  
 
(2,972
)
Common shares repurchased
  
 
(1,595
)
  
 
–
 
  
 
–
 
  
 
–
 
  
 
(1,595
)
Common shares issued, net
  
 
94
 
  
 
–
 
  
 
1,843
 
  
 
(1,843
)
  
 
94
 
Contributions from (distributions to) non-controlling interests, net
  
 
–
 
  
 
–
 
  
 
(14
)
  
 
–
 
  
 
(14
)
Dividends paid to parent
  
 
–
 
  
 
679
 
  
 
(5,986
)
  
 
5,307
 
  
 
–
 
Capital contributions by parent
 
 
 
–
 
 
 
 
–
 
 
 
 
1
 
 
 
(1
)
 
 
 
 
–
 
Return of capital to parent
 
 
 
–
 
 
 
 
–
 
 
 
(5
)
 
 
 
 
5
 
 
 
 
–
 
Notes payable to parent
  
 
–
 
  
 
–
 
  
 
25
 
  
 
(25
)
  
 
–
 
Notes payable to subsidiaries
  
 
4
 
  
 
–
 
  
 
–
 
  
 
(4
)
  
 
–
 
Cash provided by (used in) financing activities
  
 
(3,875
)
  
 
676
 
  
 
(5,282
)
  
 
3,439
 
  
 
(5,042
)
Cash and short-term securities
                                        
Increase (decrease) during the year
  
 
26
 
  
 
1,841
 
  
 
(206
)
  
 
–
 
  
 
1,661
 
Effect of foreign exchange rate changes on cash and short-term securities
  
 
(3
)
  
 
(52
)
  
 
(357
)
  
 
–
 
  
 
(412
)
Balance, beginning of year
  
 
63
 
  
 
2,215
 
  
 
16,357
 
  
 
–
 
  
 
18,635
 
Balance, end of year
  
 
86
 
  
 
4,004
 
  
 
15,794
 
  
 
–
 
  
 
19,884
 
Cash and short-term securities
                                        
Beginning of year
                                        
Gross cash and short-term securities
  
 
63
 
  
 
2,614
 
  
 
16,476
 
  
 
–
 
  
 
19,153
 
Net payments in transit, included in other liabilities
  
 
–
 
  
 
(399
)
  
 
(119
)
  
 
–
 
  
 
(518
)
Net cash and short-term securities, beginning of year
  
 
63
 
  
 
2,215
 
  
 
16,357
 
  
 
–
 
  
 
18,635
 
End of year
                                        
Gross cash and short-term securities
  
 
86
 
  
 
4,329
 
  
 
15,923
 
  
 
–
 
  
 
20,338
 
Net payments in transit, included in other liabilities
  
 
–
 
  
 
(325
)
  
 
(129
)
  
 
–
 
  
 
(454
)
Net cash and short-term securities, end of year
  
$
86
 
  
$
4,004
 
  
$
15,794
 
  
$
–
 
  
$
19,884
 
Supplemental disclosures on cash flow information:
                                        
Interest received
  
$
650
 
  
$
3,369
 
  
$
10,166
 
  
$
(1,417
)
  
$
12,768
 
Interest paid
  
 
418
 
  
 
115
 
  
 
2,432
 
  
 
(1,417
)
  
 
1,548
 
Income taxes paid (refund)
  
 
2
 
  
 
(1
)
  
 
435
 
  
 
–
 
  
 
436
 
Consolidated Statement of Cash Flows
 
 
Restated (note 2)
 
For the year ended December 31, 2022
 
MFC
(Guarantor)
 
 
JHUSA
(Issuer)
 
 
Other
subsidiaries
 
 
Consolidation
adjustments
 
 
Consolidated
MFC
 
Operating activities
 
 
 
 
 
Net income (loss)
   $   (1,933 )   $   (746 )   $   (1,410 )   $ 2,110     $   (1,979 ) 
Adjustments:
                                        
Equity in net income of unconsolidated subsidiaries
     2,002       (638 )      746       (2,110 )      –  
Increase (decrease) in net insurance contract liabilities
     –       2,051       2,965       –       5,016  
Increase (decrease) in investment contract liabilities
     –       (111 )      510       –       399  
(Increase) decrease in reinsurance contract
assets, excluding 
reinsurance transactions
     –       2       708       –       710  
Amortization of (premium) discount on invested assets
     –       33       (164 )      –       (131 ) 
Contractual service margin (“CSM”) amortization
     –       (578 )      (1,415 )      –       (1,993 ) 
Other amortization
     9       156       354       –       519  
Net realized and unrealized (gains) losses and impairment on assets
     (36 )      4,854       8,842       –       13,660  
Gain on U.S. variable annuity reinsurance transaction (pre-tax)
     –       (1,026 )      (44 )      –       (1,070 ) 
Gain on derecognition of Joint Venture interest during Manulife TEDA acquisition (pre-tax)
     –       –       (95 )      –       (95 ) 
Deferred income tax expenses (recoveries)
     (33 )      (354 )      (1,607 )      –       (1,994 ) 
Stock option expense
     –       (3 )      8       –       5  
Cash provided by (used in) operating activities before undernoted items
     9       3,640       9,398       –       13,047  
Dividends from unconsolidated subsidiaries
     6,200       399       734       (7,333 )      –  
Changes in policy related and operating receivables and payables
     44       1,644       3,270       –       4,958  
Cash decrease due to U.S. variable annuity reinsurance transaction
    –       (1,263 )      (114 )      –       (1,377 ) 
Cash provided by (used in) operating activities
     6,253       4,420       13,288       (7,333 )      16,628  
Investing activities
                                        
Purchases and mortgage advances
     –       (28,685 )      (82,873 )      –       (111,558 )
Disposals and repayments
     1       23,429       69,977       –       93,407  
Changes in investment broker net receivables and payables
     –       (11 )      (56 )      –       (67 )
Net cash increase (decrease) from sale (purchase) of subsidiaries
     –       –       (182 )      –       (182 )
Investment in common shares of subsidiaries
     (2,479 )      –       –       2,479       –  
Capital contribution to unconsolidated subsidiaries
     –       (1 )      –       1       –  
Return of capital from unconsolidated subsidiaries
     –       19       –       (19 )      –  
Notes receivable from parent
     –       –       415       (415 )      –  
Notes receivable from subsidiaries
     46       (7 )      –       (39 )      –  
Cash provided by (used in) investing activities
     (2,432 )      (5,256 )      (12,719 )      2,007       (18,400 ) 
Financing activities
                                        
Change in repurchase agreements and securities sold but not yet purchased
     –       –       346       –       346  
Issue of long-term debt, net
     946       –       –       –       946  
Redemption of capital instruments
     –       –       (1,000 )      –       (1,000 ) 
Secured borrowing from securitization transactions
     –       –       437       –       437  
Changes in deposits from Bank clients, net
     –       –       1,703       –       1,703  
Lease payments
     –       (5 )      (115 )      –       (120 ) 
Shareholders’ dividends and other equity distributions
     (2,787 )      –       –       –       (2,787 ) 
Common shares repurchased
     (1,884 )      –       –       –       (1,884 ) 
Common shares issued, net
     23       –       2,479       (2,479 )      23  
Preferred shares and other equity issued, net
     990       –       –       –       990  
Preferred shares redeemed, net
     (711 )      –       –       –       (711 ) 
Contributions from (distributions to) non-controlling interests, net
     –       –       (51 )      –       (51 ) 
Dividends paid to parent
     –       (734 )      (6,599 )      7,333       –  
Capital contributions by parent
     –       –       1       (1 )      –  
Return of capital to parent
     –       –       (19 )      19       –  
Notes payable to parent
     –       –       (39 )      39       –  
Notes payable to subsidiaries
     (415 )      –       –       415       –  
Cash provided by (used in) financing activities
     (3,838 )      (739 )      (2,857 )      5,326       (2,108 ) 
Cash and short-term securities
                                        
Increase (decrease) during the year
     (17 )      (1,575 )      (2,288 )      –       (3,880 ) 
Effect of foreign exchange rate changes on cash and short-term securities
     2       225       358       –       585  
Balance, beginning of year
     78       3,565       18,287       –       21,930  
Balance, end of year
     63       2,215       16,357       –       18,635  
Cash and short-term securities
                                        
Beginning
of ye
ar
                                        
Gross cash and short-term securities
     78       4,087       18,429       –       22,594  
Net payments in transit, included in other liabilities
     –       (522 )      (142 )      –       (664 ) 
Net cash and short-term securities, beginning of year
     78       3,565       18,287       –       21,930  
End of year
                                        
Gross cash and short-term securities
     63       2,614       16,476       –       19,153  
Net payments in transit, included in other liabilities
     –       (399 )      (119 )      –       (518 ) 
Net cash and short-term securities, end of year
   $ 63     $ 2,215     $ 16,357     $ –     $ 18,635  
Supplemental disclosures on cash flow information:
                                        
Interest received
   $ 512     $ 3,850     $ 8,672     $ (1,161 )    $ 11,873  
Interest paid
     424       84       1,608       (1,161 )      955  
Income taxes paid (refund)
     –       124       1,114       –       1,238