Manufacturers Life Insurance Co. will maintain its dividend scale on all dividend-paying life insurance policies in Canada at current levels for the period July 1, 2002 to June 30, 2003, the company announced Friday.

As a result, total policy owner dividends are estimated at $140.4 million for 2002. This is up 8.9% from total dividends paid in the previous calendar year.

“We’re pleased to maintain our dividend scales this year despite the extreme fluctuations in equity markets and the low interest rate environment,” said Bruce Gordon, Manulife executive vice president of Canadian Operations. “However, if this poor investment environment continues, we anticipate that a reduction in dividend scales may be required in the future.”

Policy owners of participating policies understand that dividends are not guaranteed and that actual dividends depend on investment performance, and other factors such as mortality, persistency and expenses.

Participating policies underwritten by MFC Insurance Company Limited (formerly Commercial Union Life Assurance Company of Canada) and Zurich Life Insurance Company of Canada are not affected by this announcement and will be dealt with separately by the boards of directors of these subsidiary companies.