Reinsurance News
mortgage insurance
AM Best reviews GSE mortgage transfers, gauges capital impact on reinsurers
25th July 2019
Rating agency AM Best has reviewed the mortgage risk transfer programs employed by government-sponsored enterprises (GSE), and outlined new criteria to gauge how such transactions affect the net required capital of participating reinsurers. GSEs such as Freddie Mac, Fannie Mae, and the Federal Housing Finance Agency (FHFA) have been transferring mortgage ... Read the full article
Arch MI, BeSmartee announce new platform integration
12th July 2019
Arch MI, the private mortgage insurance subsidiary of Arch Capital, has entered into a partnership with multi-platform technology company BeSmartee. The partnership will see Arch MI’s RateStar risk-based pricing solution integrated with the BeSmartee POS (point of sale) mortgage origination platform. It’s hoped this integration will provide productive workflow continuity and modernise ... Read the full article
Fannie Mae executes two front-end credit risk transfer deals
11th July 2019
U.S. government-sponsored enterprise (GSE), Fannie Mae, has successfully completed two new front-end credit risk transfer deals. Combined, the deals protect up to $14 billion of loans to be acquired by Fannie Mae between May 2019 through April 2020, and transfer up to $455 million of credit risk on the loans. The ... Read the full article
Mortgage reinsurance growth is a gradual, educational process: Capsicum Re’s Rance, Scarratt
8th July 2019
The mortgage reinsurance market appears to be set on a growth path, and as companies increasingly look to leverage the vast amounts of available data, education remains an essential part of the landscape, according to Capsicum Re’s Steven Rance and Freddie Scarratt. Prior to the financial crisis the U.S. mortgage insurance ... Read the full article
Essent obtains further $334mn of mortgage reinsurance from capital markets
24th June 2019
Bermuda domiciled mortgage insurer Essent Group Ltd. has announced that its subsidiary, Essent Guaranty, Inc., has secured a further $333.8 million of fully collateralised excess of loss reinsurance coverage from the capital markets. The coverage was obtained through Radnor Re 2019-2 Ltd, a newly formed Bermuda special purpose insurer, and relates ... Read the full article
Arch promotes Fearon to EVP, Credit Risk Transfer and Services, Global Mortgage Group
20th June 2019
Seamus Fearon, previously Chief Actuary of Arch Capital Group Ltd.'s Global Mortgage Group, has been promoted to Executive Vice President (EVP), Credit Risk Transfer and Services, Global Mortgage Group. This newly created role has been established to build on the firm's growing participation in credit risk transfer programs, while at the ... Read the full article
Arch returns to the capital markets for additional mortgage reinsurance
1st May 2019
Arch Capital Group Ltd.'s U.S. mortgage insurance subsidiary, Arch Mortgage Insurance Company (Arch MI), has tapped the capital markets for $621 million of indemnity mortgage reinsurance protection. The reinsurance protection is for a pool that represents $35.58 billion of mortgages from Bellemeade Re 2019-2 Ltd., a special purpose reinsurer. The deal is structured ... Read the full article
Fannie Mae secures re/insurance for another $11bn of multifamily mortgage risk
28th March 2019
The Federal National Mortgage Association (Fannie Mae) has completed another multi-tranche Credit Insurance Risk Transfer (CIRT) transaction, which provides re/insurance cover for a pool of $11.7 billion of multifamily loans. The new transaction, called MCIRT 2019-01, is the fifth CIRT transaction as part of Fannie Mae’s ongoing effort to increase the ... Read the full article
Operating conditions favourable for US mortgage insurance sector: A.M. Best
22nd March 2019
According to A.M. Best, the operating environment for US Private Mortgage Insurers (PMIs) is favourable, driven by continued decline in the loss, expense, and combined ratios, assisted by the increased ceding of risk to the reinsurance sector. The international financial services ratings agency's outlook for US PMIs is stable, with the ... Read the full article
Sompo Global Risk launches mortgage protection product for U.S lenders
6th February 2019
Sompo Global Risk Solutions (GRS), a subsidiary of Bermuda-based specialty property and casualty (P&C) re/insurer Sompo International, now offers specialised property and liability protection to U.S banks and lending institutions for their mortgage loan portfolios. The new product offers protection from exposures created by impaired mortgages - particularly in the event ... Read the full article
Freddie Mac transfers further $618mn of risk to re/insurers
11th January 2019
The Federal Home Loan Mortgage Corporation (Freddie Mac) has obtained two new re/insurance policies under its Agency Credit Insurance Structure (ACIS) program, providing coverage for approximately $618 million of credit risk. The coverage underlies a $66 billion reference pool of mortgages, bringing ACIS credit risk transfer for 2018 to approximately $3 ... Read the full article
Freddie Mac closes first multifamily credit deal using new re/insurance pool
4th January 2019
The Federal Home Loan Mortgage Corporation (Freddie Mac) has closed the first deal under its newly-created Multifamily Credit Insurance Pool (MCIP), which provides reinsurance coverage for $915 million of multifamily mortgage loans. The U.S government-sponsored mortgage giant aims to use its new MCIP offering to transfer a percentage of the credit ... Read the full article
Fannie Mae transfers $10.9bn of multifamily mortgage risk to re/insurers
18th December 2018
The Federal National Mortgage Association (Fannie Mae) has successfully secured re/insurance cover for $10.9 billion of multifamily loans in its first multi-tranche Credit Insurance Risk Transfer (CIRT) transaction. Fannie Mae said that the transaction transferred $273 million of risk to nine insurance and reinsurance companies. The completion of CIRT 2018-M02 marks Fannie ... Read the full article
Arch adds European diversification to mortgage book with €3bn “first of its kind” deal
26th October 2018
Bermudian headquartered global insurance and reinsurance firm Arch Capital Group has added some new geographic diversification to its mortgage insurance book, entering into a EUR 3 billion transaction with ING featuring German mortgage loan risk. Arch Mortgage Insurance Company (Arch MI) said that it entered into the agreement through its Dublin, ... Read the full article
Fannie Mae transfers further $9bn of loan risk to re/insurers
4th October 2018
The Federal National Mortgage Association (Fannie Mae) has completed its sixth and seventh Credit Insurance Risk Transfer (CIRT) transactions of 2018, which together provide re/insurance cover for $9 billion of loans. These latest two deals are a part of Fannie Mae’s ongoing effort to reduce taxpayer risks by increasing the role ... Read the full article
Getting your daily reinsurance news from Reinsurance News is a simple way to receive only the reinsurance industry news that matters, delivered directly to your email inbox.
