NU Online News Service, March 5, 3:24 p.m. EST
The mortgage-insurance sector is expected to continue to report operating losses well into 2013, as losses on legacy books of business will likely outweigh the profitability generated from more recent business written since 2008, according to Standard & Poor's.
S&P says that continued economy-related struggles caused the mortgage-insurance sector to report operating losses in 2011. "Last year, we believed mortgage insurers had the potential to begin reporting operating profits by the end of 2012," S&P says. "However, the lackluster economic recovery, highlighted by sluggish payroll employment growth and the poor housing market, led to ongoing high levels of new notices of delinquencies (NODs) while preventing greater improvement in cure activity."
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
- Educational webcasts, resources from industry leaders, and informative newsletters.
- Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.