Enact Mortgage Insurance Corporation, the flagship legal entity of mortgage insurer Enact Holdings, Inc., has entered into two quota share reinsurance agreements with a broad panel of highly rated reinsurers, subject to certain conditions.
Under these agreements, Enact will cede approximately 27% of a portion of expected new insurance written from January 1st, 2025, through December 31st, 2025, and will also cede approximately 27% of a portion of expected new insurance written again from January 1st, 2026, through December 31st, 2026.
Rohit Gupta, President and Chief Executive Officer of Enact, commented, “We are pleased to have entered into these two new quota share reinsurance agreements, which represent a continuation of our commitment to prudent risk management and capital optimization while also supporting our ability to serve our customers.
“We appreciate the support and partnership from our broad panel of highly-rated reinsurers as we continue our mission to help people responsibly achieve the dream of homeownership.”
In June 2024, Enact secured $90 million of additional excess of loss (XoL) reinsurance protection as part of its credit risk transfer (CRT) programme. This came after the mortgage insurer secured a $255 million XoL reinsurance protection in February.
In January, Enact entered into a quota share reinsurance agreement for the 2024 book year, which sees the firm cede roughly 21% of a portion of expected new insurance written from January 1st, 2024.
