Private Mortgage Insurers Launch New Trade Group

Six of the nation’s leading active mortgage insurance (MI) companies announced Monday the formation of a new trade association: U.S. Mortgage Insurers (USMI).

Founded by member companies Arch MI, Essent, Genworth MI, MGIC, National MI, and Radian Guaranty, the new organization replaces Mortgage Insurance Companies of America (MICA), which wound up operations earlier this year.

Rohit Gupta, president and CEO of Genworth MI and co-chair of USMI, said the goal of the organization is to put a renewed focus on the benefits of MI in helping to ensure access to housing finance for borrowers.

“As policymakers focus on the need to create a strong, stable housing finance system, USMI companies are strongly positioned to serve the housing finance market and are actively engaged in efforts to ensure that MI remains a reliable foundation for the future housing finance system,” Gupta said.

With new capital entering the industry, new master policies reshaping claims handling, and regulatory reforms underway, USMI hopes to help shape the path forward, added Adolfo Marzol, EVP at Essent and also co-chair for the group.

“The expanded use of MI can be done gradually, providing a sensible transition forward that does not place at risk the proper functioning of a large and complex U.S. housing finance system. MI is ready to do more,” Marzol said.

Joining Gupta and Marzol on USMI’s board of directors are Teresa Bryce Bazemore, president of Radian Guaranty; David Gansberg, president and CEO of Arch MI; Patrick Mathis, EVP and chief risk officer of National MI; and Patrick Sinks, president and COO of MGIC.