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2007 News Releases

For Immediate Release

July 23, 2007

John Hancock Launches Two Survivorship Variable Universal Life Products

  • Accumulation Survivorship Variable Universal Life Offers Excellent Cash Value Accumulation And Income Potential

  • Protection Survivorship Variable Universal Life Provides Guaranteed Lifetime Premiums With Growth Potential

Boston– John Hancock has launched two new highly competitive survivorship variable universal life products, Accumulation Survivorship VUL and Protection Survivorship VUL.

Both products build upon their industry-leading single life predecessors–Accumulation VUL and Protection VUL—and are strategically positioned to allow John Hancock’s variable life insurance portfolio to even more precisely meet client needs.

Accumulation SVUL1 is designed for clients who want to accumulate significant cash value as a source of supplemental income for two lives. Clients can choose from a broad array of underlying investment accounts that represent nearly every major asset class and investment style, or opt for the simplicity and automatic diversification offered by John Hancock Lifestyle Portfolios2. Accumulation SVUL offers tax-deferred growth of policy values and tax-favored treatment of policy withdrawals.

Protection SVUL1 is designed for clients who want guaranteed lifetime premiums with growth potential offered by the equity markets. Protection SVUL also offers an early funding option within the Extended No Lapse Guarantee (ENLG)3 rider that enables clients who opt within 10 policy years to meet the premium requirement for guaranteed death benefit coverage to realize significant savings.

“Whether insuring for a single life or for two lives, every client’s needs are different. These two distinct survivorship products give producers the opportunity to offer a survivorship variable universal life insurance policy that meets their clients’ unique needs,” said Steve Finch, President, John Hancock Life Insurance. “The introduction of Accumulation SVUL and Protection SVUL further strengthens John Hancock's position in the overall variable universal life market and reinforces our ongoing commitment to providing producers and consumers with industry-leading products.”

Survivorship Universal Life Insurance has a wide variety of applications: it can help protect assets and transfer wealth to heirs, meet business planning needs and fund charitable giving.

Both Accumulation SVUL and Protection SVUL offer a selection of optional riders1 to help meet clients’ specific needs including:

  • Overloan Protection4: keeps the policy from lapsing if the policyholder incurs policy debt in excess of Total Face Amount.
  • Cash Value Enhancement: typically used in business cases for accounting purposes to reduce charges to earnings.
  • Estate Preservation: provides additional coverage during the first four policy years to protect the policy from inclusion in the estate if death occurs within three years of a transfer to a trust.
  • Policy Split Option: allows clients to split one survivorship policy into two equal permanent single life policies if the couple divorce or if tax laws change.

About John Hancock and Manulife Financial
John Hancock is a unit of Manulife Financial Corporation (the Company), a leading Canadian-based financial services group serving millions of customers in 19 countries and territories worldwide. Operating as Manulife Financial in Canada and in most of Asia, and primarily as John Hancock in the United States, the Company offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Funds under management by Manulife Financial and its subsidiaries were Cdn$426 billion (US$370 billion) as at March 31, 2007.

Manulife Financial Corporation trades as ‘MFC’ on the TSX, NYSE and PSE, and under ‘0945’ on the SEHK. Manulife Financial can be found on the Internet at www.manulife.com.

The John Hancock unit, through its insurance companies, comprises one of the largest life insurers in the United States. John Hancock offers a broad range of financial products and services, including life insurance, fixed and variable annuities, mutual funds, 401(k) plans, long term care insurance, college savings, and other forms of business insurance.

John Hancock's primary insurance subsidiaries carry the highest—“AAA”—financial strength rating from Standard & Poor’s Ratings Services.

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Variable universal life insurance has annual fees and expenses associated with it in addition to life insurance related charges (which differ with the product chosen), including surrender charges and investment management fees. Variable universal life insurance products are long-term contracts and are sold by prospectus. They are subject to market risk due to the underlying sub-accounts, and are unsuitable as a short term savings vehicle. The primary purpose of variable universal life insurance is to provide lifetime protection against economic loss due to the death of the insured person. Cash values are not guaranteed if the client is invested in the investment accounts. There are risks associated with each investment option, and the policy may lose value.

1.Insurance policies and/or associated riders and features may not be available in all states. Some riders may have additional fees and expenses associated with them. Refer to the product prospectus for additional information.

2.Allocating net premiums to a Lifestyle portfolio is designed to help reduce the market volatility that one may experience through the allocation of premiums to only one or a small number of investment options. There are risks associated with any investment and it is possible to lose money by investing in the Lifestyle portfolios.

3.The ENLG rider guarantees that your policy will not default, even if the cash surrender value falls to zero or below. The ENLG requires an additional cost and may not be available in some states. Guaranteed features are dependent upon the claims-paying ability of the issuer and in no way guarantee the performance of the underlying investment options or the principal value of the separate account.

4.Loans and withdrawals will reduce the death benefit, cash surrender value, and may cause the policy to lapse. Lapse or surrender of a policy with a loan may cause the recognition of taxable income. Policies classified as modified endowment contracts may be subject to tax when a loan or withdrawal is made. A federal tax penalty of 10% may also apply if the loan or withdrawal is taken prior to age 591/2. Cash value available for loans and withdrawals may be more or less than originally invested.

* Financial strength ratings, which are current as of July 2007 and subject to change, apply to John Hancock Life Insurance Company (U.S.A.) and John Hancock Life Insurance Company of New York as a measure of each company's ability to honor the death benefit and life annuitization guarantees, but not specifically to their products, the performance of these products, the value of any investment in these products upon withdrawals, or to individual securities held in any portfolio. Financial strength ratings do not apply to the safety and performance of separate accounts. AAA is the 1st category of 8: "Extremely strong financial security characteristics."

Please contact 1-800-827-4546 to obtain product and fund prospectuses (for New York, contact 1-877-391-3748, option 4). The prospectuses contain complete details on investment objectives, risks, fees, charges and expenses as well as other information about the investment company. Please read the prospectuses carefully containing this and other information on the product and the underlying portfolios and consider these factors carefully before investing.

Insurance products are issued by: John Hancock Life Insurance Company (U.S.A.) (not licensed in New York), John Hancock Variable Life Insurance Company (not licensed in New York), John Hancock Life Insurance Company, Boston, MA 02116 and John Hancock Life Insurance Company of New York, Valhalla, NY 10595. Securities are offered through John Hancock Distributors LLC through other broker/dealers that have a selling agreement with John Hancock Distributors LLC, 197 Clarendon Street, Boston, MA 02116. 

Brian Carmichael