The Canada Life Assurance Company today Friday that it has reached agreements to sell its life and health insurance in Puerto Rico and the Bahamas.

Canada Life will sell its Puerto Rican and U.S. Virgin Islands group life and health operations to MAPFRE USA Corp. The transaction will be accomplished through the sale to MAPFRE of all the shares of Canada Life Insurance Co. of Puerto Rico, Inc.

Canada Life entered the group life and health insurance business in Puerto Rico and U.S. Virgin Islands following its acquisition of the international operations of Crown Life Insurance Company in 1999.

The business has been successfully developed since that time and has established a solid reputation for providing superior insurance benefits and services to individuals and organizations in these markets. After a strategic review, and following the closing of its acquisition by Great-West Lifeco Inc., Canada Life determined that it would look for a purchaser to take over these operations.

As a part of the transaction MAPFRE will assume the employees of Canada Life’s group insurance operations in Puerto Rico and U.S. Virgin Islands. The acquisition by MAPFRE will provide Canada Life’s policyholders, employees with the opportunity to become part of an organization with a strong presence in Puerto Rico and a commitment to expand its operations and continue to provide excellent service.

The transaction is subject to regulatory approvals and is expected to be completed in the fourth quarter of 2003.

In a separate release, Canada Life said will sell its Bahamian and Cayman Islands life and health insurance business to Colina Insurance Co. Ltd.

Canada Life entered the Bahamian and Cayman Islands markets as a branch business following its acquisition of the international operations of Crown Life.

As part of the transaction Colina will assume Canada Life’s employees and agents in The Bahamas and acquire its Nassau head office building.

The transaction is subject to regulatory and corporate approvals and is expected to be completed in the fourth quarter of 2003.