NMI Holdings, Inc. Reaches $154 Million Excess of Loss Reinsurance Agreement – ​​InsuranceNewsNet

EMERYVILLE, Calif., August 30, 2022 (GLOBE NEWSWIRE) — NMI Holdings, Inc. (Nasdaq: NMIH) today announced that National Mortgage Insurance Company (National MI), its wholly-owned insurance subsidiary, has entered into a new excess of loss (XOL) reinsurance agreement with a broad panel of highly rated reinsurers, subject to customary terms. The XOL agreement has an effective date of the treaty of July 1, 2022 and provides comprehensive loss protection on policies issued primarily between April 1, 2022 and June 30, 2022, from a cumulative debt seizure threshold of 2.25% up to a maximum overall detachment level of 6.65%. National MI expects to receive full PMIER credit for the transaction, subject to GSE approval.

Ravi Mallela, Executive Vice President and Chief Financial Officer of National MI, said, “We are delighted to have secured additional reinsurance coverage and additional funding from PMIERs at this time. This transaction builds on the broad success we have had in the risk transfer markets to date and closely follows the XOL transaction we announced in May. Our ability to reduce cycle time between transactions and secure coverage of our most recent quarterly new business production is a significant milestone and serves to minimize the credit risk retained in our high-quality, high-growth insured portfolio. Looking ahead, we are in a formidable position with broad protection from our comprehensive reinsurance program and demonstrated access to funding across the capital markets and reinsurance spectrum.

About NMI Funds
NMI Holdings, Inc. (NASDAQ: NMIH), is the parent company of National Mortgage Insurance Company (Mi National), a WEprivate mortgage insurance company, based in London, enabling low-down payment borrowers to access property while protecting lenders and investors against losses associated with a borrower’s default. To learn more, please visit www.nationalmi.com.

Caution Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act “), the WE Private Securities Litigation Reform Act of 1995, or in press releases issued by the US Securities and Exchange Commission (“SEC”), all of which may be amended from time to time. Forward-looking statements are statements about future and not past events and are based on a number of assumptions about future events and involve certain important risks and uncertainties, each of which could cause our actual results to differ materially from those expressed in our forward-looking statements. statements. Forward-looking statements in this press release include, but are not limited to, statements regarding National MI’s positioning for future performance. Further information about the risks, uncertainties and assumptions affecting National MI includes, but is not limited to, the risk factors and cautionary statements in the forward-looking statements contained in our Annual Report on Form 10-K and in Other Documents Filed with the SEC. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence of future events or circumstances.

Contact InvestorJohn M. SwensonVice President, Investor Relations and Treasury
[email protected]
(510) 788-8417

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Source: NMI Holdings, Inc.

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