Mortgage Insurance Linked Securities news

Mortgage insurance specialist MGIC, one of the largest mortgage insurers in the United States, is to enter the mortgage insurance-linked securities (ILS) and insurance-linked notes market with its first transaction, a $318.6 million Home Re 2018-1 Ltd. transaction.

Mortgage insurance specialist MGIC, is watching the development of the mortgage insurance-linked notes (or insurance-linked securities) market closely and the success of transactions so far is likely to encourage new sponsors like MGIC to come forward.

The new insurance-linked securities (ILS) transaction sponsored by mortgage insurance specialist NMI Holdings, Inc., which is the firms second mortgage ILS deal, a $264.55 million Oaktown Re II Ltd. transaction that we first reported on yesterday, has now been priced.

Mortgage insurance specialist NMI Holdings, Inc. is returning to the insurance-linked securities (ILS) markets for a second slice of collateralized mortgage reinsurance cover with its second mortgage ILS deal, a $264.55 million Oaktown Re II Ltd. transaction.

The insurance-linked securities (ILS) market’s acceptance of mortgage risk served as a shift in the dynamics of the ever-changing mortgage reinsurance sector, with further growth in the space expected outside of the U.S. market, according to reinsurance broker Capsicum Re.

The completion of mortgage insurer Essent Guaranty’s first mortgage insurance-linked securities (ILS) transaction is seen as a “significant milestone” for the firm, according to its CEO, as the $424.4 million Radnor Re 2018-1 Ltd. deal helps to diversify the firms risk capital sources.

Bermudian insurance and reinsurance firm Arch Capital announced an interesting arrangement with the U.S. mortgage insurer Freddie Mac this week, which will position the re/insurer as an intermediary of sorts, channeling mortgage credit and insurance related risks back to a panel of reinsurance capital providers.

Essent Guaranty’s first mortgage insurance-linked securities (ILS) transaction Radnor Re 2018-1 Ltd. has increased in size while being marketed to investors and now looks set to secure the company a $424.4 million capital markets backed source of collateralized reinsurance protection.

According to Artemis’ sources, mortgage insurance firm Essent Guaranty is nearing completion of a first mortgage insurance-linked securities (ILS) transaction, as it seeks capital markets support for its mortgage insurance portfolio, in a deal said to be likely to secure it $360.75 million of collateralized reinsurance capacity.

Arch Capital Group said that it intends to sponsor two more Bellemeade Re mortgage insurance linked security ILS transactions to cover its 2017 book and that it would like to sponsor additional takedowns annually going forwards, as it looks to the capital markets to help it managed its tail risks.