National Mortgage Insurance Corp. has started issuing commitments, becoming the sixth active private mortgage insurer in operation. Already, it has approved its first 100 master policies with lender customers.
Regulators in 46 states plus the District of Columbia have approved National MI, with the exceptions being Florida, Alabama, Alaska and Wyoming. Approvals in those four are expected shortly.
“With our unique master policy and transparent terms of coverage, National MI is reinventing private mortgage insurance,” said Bradley Shuster, president and CEO. “By raising over $500 million in capital last year, we led the way for the reintroduction of private capital into the mortgage insurance industry.”
Recently, Radian and MGIC Investment Corp. were able to raise capital through the sales of both equity and debt. In addition, Essent has become an active player in the field and based on Quarterly Data Report figures finished 4Q12 with a 10% market share (in comparison, Genworth had a 13% market share for the period).
National MI’s executive team raised $550 million in private capital to launch the new venture. The company estimates that its available capital will support mortgage insurance coverage on over $30 billion of mortgage loans.
Speaking of Essent, it has now become integrated onto Ellie Mae’s Encompass360 platform.
“Partnering with Ellie Mae will help more of our clients reduce duplicate data entries and speed up mortgage loan processing. Now ordering Essent mortgage insurance and closing loans will be easier because of this integration, said Bill Kaiser, Essent’s chief operating officer.