A.M. Best Co. has affirmed the financial strength rating of A++ (Superior) for The Manufacturers Life Insurance Co. group and its strategic U.S. subsidiaries, The Manufacturers Life Insurance Co. (U.S.A.) and The Manufacturers Life Insurance Co. of New York.

This rating action follows the restructuring plan, effective Jan. 1, 2002, of Manulife’s U.S. subsidiaries consolidating their variable life and variable annuity businesses as well as their Taiwan branch and U.S. reinsurance operations.

The restructuring plan consolidates the U.S. operating subsidiaries from five to two and is expected to benefit the company’s operations while achieving cost savings and improved capital and liquidity management. Accordingly, the rating for Manulife Reinsurance Corp. (U.S.A), The Manufacturers Life Insurance Co. of America and The Manufacturers Life Insurance Co. of North America has been withdrawn.

A.M. Best says the rating also reflects Manulife’s established presence in multiple markets, robust profitability from its geographically diversified businesses, conservative reserving practices and strong capitalization.

The ratings agency says the group maintains a superior franchise as a top provider of financial protection products and wealth management services in Canada, the United States and Asia. The group’s Canadian division sustains leading positions in insurance and wealth management businesses.

The U.S. division retains solid positions in markets such as small-to-medium group pensions, estate planning and life insurance products for affluent individuals and variable annuities sold primarily through broker-dealers.