PMI Volume Off $700 Million
The mortgage insurance industry wrote $4.9 billion of new coverage in September, down $700 million from August, according to new figures compiled by the Mortgage Insurance Cos. of America. However, two private MIs—Republic Mortgage Insurance Co. and PMI Mortgage Insurance Co.—were ordered by their respective regulators to stop writing new business during August.
RMIC is still reporting data to MICA but PMI is not. RMIC's ownership, Old Republic International Corp., said in its third quarter results it is trying to gain approvals from its regulators in North Carolina, plus Fannie Mae and Freddie Mac to reenter the business through a newly capitalized subsidiary. So far those approvals have not been forthcoming.
September's volume is the second highest seen since February, the first month when data from United Guaranty Corp. stopped being included in the industry report as that company withdrew from MICA.
The 27,939 applications received in September were the third best for the year counting all iterations of MICA reporting membership.
The cure/default ratio declined to 80.4% from August's 82.2% and September 2010's 88.1%. There were 31,129 cures and 38,719 defaults reported in September.