Mortgage insurer Genworth MI Canada has seen the value of premiums written increase 3% year-over-year in the second quarter of 2018.
The $166 million of premiums written was up 52% quarter-over-quarter while premiums earned were up 2% y-o-y and flat q-o-q at $171 million. Premiums were higher by an average 8% following the March 2017 premium rate increase.
New premiums written from transactional insurance were down 5% at $4.8 billion (down $0.2 billion) primarily due to a smaller transactional mortgage originations market.
New insurance written from portfolio insurance on low loan-to-value mortgages was $1.1 billion, consistent with the same quarter in the prior year and the prior quarter.
Canada’s largest private mortgage insurer saw net income fall 22% year-over-year to $116 million on net operating income of $117 million (down 7% y-o-y).
"We continue to see strong operating results this year, with another low loss ratio of 14% for the quarter," said Stuart Levings, President and CEO. "Our results have been favourably impacted by the generally supportive macroeconomic environment, while housing markets continue to normalize in line with our expectations. We remain focused on our customers and on driving prudent growth, while maintaining disciplined risk management practices."
