Genworth Financial's private mortgage insurance business was a rare bright spot for a company that overall, lost $1.2 billion during the fourth quarter.
Genworth's mortgage insurance business had net operating income of $83 million for the quarter, down from $107 million one year prior. As a whole, however, the Richmond, Va.-based parent company lost $1.2 billion because of
The U.S. MI business contributed $21 million of net operating income, up from $6 million one year prior. The company's share of profits from the separately traded Canadian and Australian MI businesses were $36 million and $33 million, respectively. Mortgage insurance operations in other countries lost $7 million.
Genworth wrote $6.9 billion of new business in the U.S. during the quarter, up from $4.9 billion in the same period last year because of a larger home purchase market.
Separately, the mortgage segment for Arch Capital Group, the Hamilton, Bermuda-headquartered parent company of Arch MI U.S., had underwriting income of $1.5 million for the fourth quarter, down from $6 million one year prior.
Besides the U.S. business, which
At Dec. 31, 2014, the mortgage segment's risk-in-force of $10.1 billion consisted of $5.6 billion from Arch MI U.S. and an additional $4.5 billion through the mortgage segment's reinsurance and risk-sharing operations. Arch MI U.S. generated $1.4 billion of new insurance written during the quarter, primarily for credit union clients.
Recently, Arch announced an expansion of its U.S. business by creating a
