PMI

Radnor Re will pay interest on the notes out of proceeds on coverage premiums on private mortgage insurance contracts for residential mortgage loans.

Meanwhile, National MI has been increasing its new insurance written by slightly widening its credit standards.

Meanwhile at Essent, more loans exited the inventory in January than in December.

The company expects a good year ahead for mortgage insurers, assuming that rising employment, higher home prices and payment timing deferrals will help them to mitigate risk.

Lower cure rates and possible rises in foreclosures and claims could force these companies to raise capital next year, Fitch Ratings said.

Arch's second CRT transaction this year to obtain indemnity reinsurance for mortgage-insurance premiums comes at a time it is also experiencing rising 60-plus-day delinquencies on its outstanding securitized pools.

The mortgage insurer is receiving $528 million of coverage in the event of defaults in a $44 billion loan pool.

If delinquency rates rise, all four stand-alone firms would have a capital shortfall.

Rick Thornberry is looking to the lessons from the Great Recession and applying them to current conditions.

Three of the four had fewer new notices of delinquency for the quarter, but that should change going forward.