Dec 11 (Reuters) - Manulife Financial Corp will reinsure a combined C$13 billion ($9.57 billion) of its reserves with Global Atlantic and its partners, Canada's largest insurer said on Monday.

The reinsurance deal, which according to Manulife is a full risk transfer, includes $6 billion, or 14% of its total long-term care (LTC) reserves, as of Sept. 30.

LTC insurance includes coverage for people with a chronic or disabling condition who need constant care, typically those above the age of 65.

The reinsurance deal is expected to generate C$1.2 billion in capital release, the company said, adding it planned to deploy the entire money to buy back common shares.

Last month, Manulife reported better-than-expected earnings in the third quarter, boosted by insurance sales in Asia and higher returns on investment amid rising interest rates. ($1 = 1.3587 Canadian dollars) (Reporting by Pritam Biswas in Bengaluru; Editing by Shilpi Majumdar)