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TEXT-S&P on negative outlook for U.S. mortgage insurers
March 1, 2012 / 5:36 PM / 6 years ago

TEXT-S&P on negative outlook for U.S. mortgage insurers

 (The following statement was released by the rating agency)	
 March 1 - The mortgage insurance sector continued reporting
significant operating losses in 2011 as the U.S. economy struggled to recover,
according to a Standard & Poor's Ratings Services report released today titled,
"U.S. Mortgage Insurer Sector Outlook Remains Negative - and the Clock's
Despite recent economic improvements, we expect the legacy books of business 	
to continue to generate losses that outweigh the profitability of the newer, 	
higher-credit-quality business written since the second half of 2008. "We 	
expect the mortgage insurance sector to continue to report operating losses 	
well into 2013," said Standard & Poor's credit analyst Ron Joas, CPA.	
In addition, we continue to believe there is a significant risk of adverse 	
deviation caused by revised assumptions of increased claims incidence, which 	
may cause losses above and beyond our expectations, and may place even more 	
pressure on the sector's already weakened capital. Accordingly, we maintain a 	
negative outlook on the sector.	
The report is available to subscribers of RatingsDirect on the Global Credit 	
Portal at If you are not a RatingsDirect 	
subscriber, you may purchase a copy of the report by calling (1) 212-438-7280 	
or sending an e-mail to Ratings 	
information can also be found on Standard & Poor's public Web site by using 	
the Ratings search box located in the left column at 	
Members of the media may request a copy of this report by contacting the media 	
representative provided.	
 (New York Ratings Team)	

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