MILWAUKEE, Aug. 21,
2024 /PRNewswire/ -- Mortgage Guaranty Insurance
Corporation (MGIC), the principal subsidiary of MGIC
Investment Corporation (NYSE: MTG), comments on the updates by
the government sponsored enterprises (GSEs), Fannie Mae and Freddie
Mac, to the Private Mortgage Insurer Eligibility Requirements
(PMIERs) Available Assets Standards.
"We are proud of the critical role private mortgage insurance
(MI) plays in the housing finance system. PMIERs operational and
risk-based capital requirements provide a strong foundation to
serve low down payment borrowers while protecting the GSEs and
taxpayers from undue mortgage credit risk and private MIs continue
to be strong, well-capitalized counterparties," said Tim Mattke, CEO of MTG. "We appreciate the
collaboration with the GSEs and support prudent PMIERs changes,"
added Mr. Mattke.
The latest updates relate to exclusions,
concentration limits, and haircuts to investments that qualify
as Available Assets and will be implemented over a 24-month
phased-in period, with a fully effective date of September 30, 2026. If these changes were
effective as of June 30, 2024,
without a graduated implementation period, MGIC's Available Assets
of $5.8 billion would decrease by
approximately 1% or $50 million, and
MGIC's PMIERs excess would be $2.3
billion.
About MGIC
Mortgage Guaranty Insurance Corporation ("MGIC") (www.mgic.com),
the principal subsidiary of MGIC Investment Corporation,
serves lenders throughout the United
States, helping families achieve homeownership sooner by
making affordable low-down-payment mortgages a reality through the
use of private mortgage insurance.
From time-to-time MGIC Investment Corporation releases
important information via postings on its corporate website, and
via postings on MGIC's website, and it intends to continue to do so
in the future. Such postings include corrections of previous
disclosures and may be made without any other disclosure. Investors
and other interested parties are encouraged to enroll to receive
automatic email alerts and Really Simple Syndication (RSS) feeds
regarding new postings. Enrollment information for MGIC
Investment Corporation alerts can be found
at https://mtg.mgic.com/shareholder-services/email-alerts. For
information about our underwriting and rates,
see https://www.mgic.com/underwriting.
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SOURCE MGIC Investment Corporation
