NMI Holdings, Inc. Reports Third Quarter 2025 Financial Results

EMERYVILLE, Calif., Nov. 04, 2025 (GLOBE NEWSWIRE) -- NMI Holdings, Inc. (Nasdaq: NMIH) today reported net income of $96.0 million, or $1.22 per diluted share, for the third quarter ended September 30, 2025, compared to $96.2 million, or $1.21 per diluted share, for the second quarter ended June 30, 2025 and $92.8 million, or $1.15 per diluted share, for the third quarter ended September 30, 2024.

Adam Pollitzer, President and Chief Executive Officer of National MI, said, “In the third quarter, we again delivered strong operating performance, consistent growth in our high-quality insured portfolio, and standout financial results. Our products and the support we provide are more important today than ever before, and we’re delivering unique solutions for our customers and their borrowers. We have built an exceptionally high-quality book covered by a comprehensive set of risk transfer solutions, our credit performance continues to stand ahead, and we have a robust balance sheet supported by the significant earnings power of our platform. Looking forward, we’re well positioned to continue delivering differentiated growth, returns and value for our shareholders.”

Selected third quarter 2025 highlights include:

Primary insurance-in-force at quarter end was $218.4 billion, compared to $214.7 billion at the end of the second quarter and $207.5 billion at the end of the third quarter of 2024.
Net premiums earned were $151.3 million, compared to $149.1 million in the second quarter and $143.3 million in the third quarter of 2024.
Total revenue was $178.7 million, compared to $173.8 million in the second quarter and $166.1 million in the third quarter of 2024.
Insurance claims and claim expenses were $18.6 million, compared to $13.4 million in the second quarter and $10.3 million in the third quarter of 2024. Loss ratio was 12.3%, compared to 9.0% in the second quarter and 7.2% in the third quarter of 2024.
Underwriting and operating expenses were $29.2 million, compared to $29.5 million in the second quarter and $29.2 million in the third quarter of 2024. Expense ratio was 19.3%, compared to 19.8% in the second quarter and 20.3% in the third quarter of 2024.
Net income was $96.0 million, compared to $96.2 million in the second quarter and $92.8 million in the third quarter of 2024. Diluted EPS was $1.22, compared to $1.21 in the second quarter and $1.15 in the third quarter of 2024.
Adjusted net income was $95.7 million, compared to $96.5 million in the second quarter and $92.8 million in the third quarter of 2024. Adjusted diluted EPS was $1.21, compared to $1.22 in the second quarter and $1.15 in the third quarter of 2024.
Shareholders’ equity was $2.5 billion at quarter end and book value per share was $32.62. Book value per share excluding the impact of net unrealized gains and losses in the investment portfolio was $33.32, up 4% compared to $32.08 in the second quarter and 16% compared to $28.71 in the third quarter of 2024.
Annualized return on equity for the quarter was 15.6%, compared to 16.2% in the second quarter and 17.5% in the third quarter of 2024. Annualized adjusted return on equity was 15.5%, compared to 16.3% in the second quarter and 17.5% in the third quarter of 2024.
At quarter-end, total PMIERs available assets were $3.4 billion and net risk-based required assets were $2.0 billion.


	*Quarter Ended*			*Quarter Ended*			*Quarter Ended*			*Change⁽¹⁾*		*Change⁽¹⁾*
	*9/30/2025*			*6/30/2025*			*9/30/2024*			*Q/Q*		*Y/Y*
INSURANCE METRICS ($billions)
Primary Insurance-in-Force	$	218.4		$	214.7		$	207.5		2	%	5	%
New Insurance Written - NIW		13.0			12.5			12.2		4	%	6	%

FINANCIAL HIGHLIGHTS (Unaudited, $millions, except per share amounts)
Net Premiums Earned	$	151.3		$	149.1		$	143.3		2	%	6	%
Net Investment Income		26.8			24.9			22.5		7	%	19	%
Insurance Claims and Claim Expenses		18.6			13.4			10.3		38	%	80	%
Underwriting and Operating Expenses		29.2			29.5			29.2		(1) %		—	%
Adjusted Net Income		95.7			96.5			92.8		(1) %		3	%
Adjusted Diluted EPS	$	1.21		$	1.22		$	1.15		—	%	6	%
Book Value per Share (excluding net unrealized gains and losses)⁽²⁾	$	33.32		$	32.08		$	28.71		4	%	16	%
Loss Ratio		12.3	%		9.0	%		7.2	%
Expense Ratio		19.3	%		19.8	%		20.3	%

(1) Percentages may not be replicated based on the rounded figures presented in the table.
(2) Book value per share (excluding net unrealized gains and losses) is defined as total shareholders' equity, excluding the after-tax effects of unrealized gains and losses on our investment portfolio, divided by shares outstanding.

Conference Call and Webcast Details

The company will hold a conference call, which will be webcast live today, November 4, 2025, at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time. The webcast will be available on the company's website, www.nationalmi.com, in the “Investor Relations” section. The conference call can also be accessed by dialing (844) 481-2708 in the U.S., or (412) 317-0664 internationally, by referencing NMI Holdings, Inc.

About NMI Holdings, Inc.

NMI Holdings, Inc. (NASDAQ: NMIH), is the parent company of National Mortgage Insurance Corporation (National MI), a U.S.-based, private mortgage insurance company enabling low down payment borrowers to realize home ownership while protecting lenders and investors against losses related to a borrower's default. To learn more, please visit www.nationalmi.com.

Cautionary Note Regarding Forward-Looking Statements

Certain statements contained in this press release or any other written or oral statements made by or on behalf of the Company in connection therewith may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995 (the “PSLRA”). The PSLRA provides a “safe harbor” for any forward-looking statements. All statements other than statements of historical fact included in or incorporated by reference in this release are forward-looking statements, including any statements about our expectations, outlook, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believe,” “can,” “could,” “may,” “predict,” “assume,” “potential,” “should,” “will,” “estimate,” “perceive,” “plan,” “project,” “continuing,” “ongoing,” “expect,” “intend” and similar words or phrases. All forward-looking statements are only predictions and involve estimates, known and unknown risks, assumptions and uncertainties that may turn out to be inaccurate and could cause actual results to differ materially from those expressed in them. Many risks and uncertainties are inherent in our industry and markets. Others are more specific to our business and operations. Important factors that could cause actual events or results to differ materially from those indicated in such statements include, but are not limited to: changes in general economic, market and political conditions and policies (including changes in interest rates and inflation) and investment results or other conditions that affect the U.S. housing market or the U.S. markets for home mortgages, mortgage insurance, reinsurance and credit risk transfer markets, including the risk related to geopolitical instability, inflation, an economic downturn (including any decline in home prices) or recession, and their impacts on our business, operations and personnel; changes in the charters, business practices, policies, pricing or priorities of Fannie Mae and Freddie Mac (collectively, the GSEs), which may include decisions that have the impact of decreasing or discontinuing the use of mortgage insurance as credit enhancement generally, or with first-time homebuyers or on very high loan-to-value mortgages; or changes in the direction of housing policy objectives of the Federal Housing Finance Agency (“FHFA”), such as the FHFA’s priority to increase the accessibility to and affordability of homeownership for low-and-moderate income borrowers and underrepresented communities; our ability to remain an eligible mortgage insurer under the private mortgage insurer eligibility requirements (“PMIERs”) and other requirements imposed by the GSEs, which they may change at any time; retention of our existing certificates of authority in each state and the District of Columbia (“D.C.”) and our ability to remain a mortgage insurer in good standing in each state and D.C.; our future profitability, liquidity and capital resources; actions of existing competitors, including other private mortgage insurers and government mortgage insurers such as the Federal Housing Administration, the U.S. Department of Agriculture’s Rural Housing Service and the U.S. Department of Veterans Affairs, and potential market entry by new competitors or consolidation of existing competitors; adoption of new or changes to existing laws, rules and regulations that impact our business or financial condition directly or the mortgage insurance industry generally or their enforcement and implementation by regulators, including the implementation of the final rules defining and/or concerning “Qualified Mortgage” and “Qualified Residential Mortgage”; U.S. federal tax reform and other potential changes in tax law and their impact on us and our operations; legislative or regulatory changes to the GSEs’ role in the secondary mortgage market or other changes that could affect the residential mortgage industry generally or mortgage insurance industry in particular; potential legal and regulatory claims, investigations, actions, audits or inquiries that could result in adverse judgements, settlements, fines or other reliefs that could require significant expenditures or have other negative effects on our business; our ability to successfully execute and implement our capital plans, including our ability to access the equity, credit and reinsurance markets and to enter into, and receive approval of, reinsurance arrangements on terms and conditions that are acceptable to us, the GSEs and our regulators; lenders, the GSEs, or other market participants seeking alternatives to private mortgage insurance; our ability to implement our business strategy, including our ability to write mortgage insurance on high quality low down payment residential mortgage loans, implement successfully and on a timely basis, complex infrastructure, systems, procedures, and internal controls to support our business and regulatory and reporting requirements of the insurance industry; our ability to attract and retain a diverse customer base, including the largest mortgage originators; failure of risk management or pricing or investment strategies; decrease in the length of time our insurance policies are in force; emergence of unexpected claim and coverage issues, including claims exceeding our reserves or amounts we had expected to experience; potential adverse impacts arising from natural disasters including, with respect to affected areas, a decline in new business, adverse effects on home prices, and an increase in notices of default on insured mortgages; climate risk and efforts to manage or regulate climate risk by government agencies could affect our business and operations; potential adverse impacts arising from the occurrence of any man-made disasters or public health emergencies, including pandemics; the inability of our counter-parties, including third party reinsurers, to meet their obligations to us; failure to maintain, improve and continue to develop necessary information technology systems or the failure of technology providers to perform; effectiveness and security of our information technology systems and digital products and services, including the risks these systems, products or services may fail to operate as expected or planned, or expose us to cybersecurity or third-party risks (including the exposure of our confidential customer and other information); and ability to recruit, train and retain key personnel. These risks and uncertainties also include, but are not limited to, those set forth under the heading “Risk Factors” detailed in Item 1A of Part I of our Annual Report on Form 10-K for the year ended December 31, 2024, as subsequently updated through other reports we file with the SEC. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. We caution you not to place undue reliance on any forward-looking statement, which speaks only as of the date on which it is made, and we undertake no obligation to publicly update or revise any forward-looking statement to reflect new information, future events or circumstances that occur after the date on which the statement is made or to reflect the occurrence of unanticipated events except as required by law.

Use of Non-GAAP Financial Measures

We believe the use of the non-GAAP measures of adjusted income before tax, adjusted net income, adjusted diluted EPS, adjusted return-on-equity, adjusted expense ratio, adjusted combined ratio and book value per share (excluding net unrealized gains and losses) enhance the comparability of our fundamental financial performance between periods, and provide relevant information to investors. These non-GAAP financial measures align with the way the company's business performance is evaluated by management. These measures are not prepared in accordance with GAAP and should not be viewed as alternatives to GAAP measures of performance. These measures have been presented to increase transparency and enhance the comparability of our fundamental operating trends across periods. Other companies may calculate these measures differently; their measures may not be comparable to those we calculate and present.

Adjusted income before tax is defined as GAAP income before tax, excluding the pre-tax effects of net realized gains or losses from our investment portfolio, periodic costs incurred in connection with capital markets transactions, and other infrequent, unusual or non-operating items in the periods in which such items are incurred.

Adjusted net income is defined as GAAP net income, excluding the after-tax effects of net realized gains or losses from our investment portfolio, periodic costs incurred in connection with capital markets transactions, and other infrequent, unusual or non-operating items in the periods in which such items are incurred. Adjustments to components of pre-tax income are tax effected using the applicable federal statutory tax rate for the respective periods.

Adjusted diluted EPS is defined as adjusted net income divided by adjusted weighted average diluted shares outstanding. Adjusted weighted average diluted shares outstanding is defined as weighted average diluted shares outstanding, adjusted for changes in the dilutive effect of non-vested shares that would otherwise have occurred had GAAP net income been calculated in accordance with adjusted net income. There will be no adjustment to weighted average diluted shares outstanding in the periods that non-vested shares are anti-dilutive under GAAP.

Adjusted return on equity is calculated by dividing adjusted net income on an annualized basis by the average shareholders' equity for the period.

Adjusted expense ratio is defined as GAAP underwriting and operating expenses, excluding the pre-tax effects of periodic costs incurred in connection with capital markets transactions, divided by net premiums earned.

Adjusted combined ratio is defined as the total of GAAP underwriting and operating expenses, excluding the pre-tax effects of periodic costs incurred in connection with capital markets transactions and insurance claims and claims expenses, divided by net premiums earned.

Book value per share (excluding net unrealized gains and losses) is defined as total shareholders' equity, excluding the after-tax effects of unrealized gains and losses on investments, divided by shares outstanding.

Although adjusted income before tax, adjusted net income, adjusted diluted EPS, adjusted return-on-equity, adjusted expense ratio, adjusted combined ratio and book value per share (excluding net unrealized gains and losses) exclude certain items that have occurred in the past and are expected to occur in the future, the excluded items: (1) are not viewed as part of the operating performance of our primary activities; or (2) are impacted by market, economic or regulatory factors and are not necessarily indicative of operating trends, or both. These adjustments, and the reasons for their treatment, are described below.

(1) Net realized investment gains and losses. The recognition of net realized investment gains or losses can vary significantly across periods as the timing is highly discretionary and is influenced by factors such as market opportunities, tax and capital profile, and overall market cycles that do not reflect our current period operating results.

(2) Capital markets transaction costs. Capital markets transaction costs result from activities that are undertaken to improve our debt profile or enhance our capital position through activities such as debt refinancing and capital markets reinsurance transactions that may vary in their size and timing due to factors such as market opportunities, tax and capital profile, and overall market cycles.

(3) Other infrequent, unusual or non-operating items. Items that are the result of unforeseen or uncommon events, and are not expected to recur with frequency in the future. Identification and exclusion of these items provide clarity about the impact special or rare occurrences may have on our current financial performance. Past adjustments under this category include infrequent, unusual or non-operating adjustments related to severance, restricted stock modification and other expenses incurred in connection with the CEO transition announced in September 2021 and the effects of the release of the valuation allowance recorded against our net federal and certain state net deferred tax assets in 2016 and the re-measurement of our net deferred tax assets in connection with tax reform in 2017. We believe such items are infrequent or non-recurring in nature, and are not indicative of the performance of, or ongoing trends in, our primary operating activities or business.

(4) Net unrealized gains and losses on investments. The recognition of net unrealized gains or losses on investment can vary significantly across periods and is influenced by factors such as interest rate movement, overall market and economic conditions, and tax and capital profiles. These valuation adjustments may not necessarily result in economic gains or losses and are not reflective of ongoing operations.

Investor Contact
John M. Swenson
Vice President, Investor Relations & Treasury
John.Swenson@nationalmi.com


Consolidated statements of operations and comprehensive income (unaudited)	For the three months ended September 30,				For the nine months ended September 30,
		2025		2024		2025		2024
	(In Thousands, except for per share data)
Revenues
Net premiums earned	$	151,323	$	143,343	$	449,755	$	421,168
Net investment income		26,773		22,474		75,408		62,598
Net realized investment gains (losses)		321		(10)		(55)		(10)
Other revenues		262		285		596		711
Total revenues		178,679		166,092		525,704		484,467
Expenses
Insurance claims and claim expenses		18,554		10,321		36,477		14,291
Underwriting and operating expenses		29,156		29,160		88,839		87,305
Service expenses		162		208		388		539
Interest expense		7,124		7,076		21,345		29,794
Total expenses		54,996		46,765		147,049		131,929

Income before income taxes		123,683		119,327		378,655		352,538
Income tax expense		27,684		26,517		83,946		78,599
Net income	$	95,999	$	92,810	$	294,709	$	273,939

Earnings per share
Basic	$	1.24	$	1.17	$	3.78	$	3.42
Diluted	$	1.22	$	1.15	$	3.72	$	3.36

Weighted average common shares outstanding
Basic		77,410		79,549		77,935		80,129
Diluted		78,830		81,045		79,315		81,484

Loss ratio⁽¹⁾		12.3%		7.2%		8.1%		3.4%
Expense ratio⁽²⁾		19.3%		20.3%		19.8%		20.7%
Combined ratio⁽³⁾		31.5%		27.5%		27.9%		24.1%

(1) Loss ratio is calculated by dividing insurance claims and claim expenses by net premiums earned.
(2) Expense ratio is calculated by dividing underwriting and operating expenses by net premiums earned.
(3) Combined ratio may not foot due to rounding.

Consolidated balance sheets (unaudited)	September 30, 2025			December 31, 2024
Assets	(In Thousands, except for share data)
Fixed maturities, available-for-sale, at fair value (amortized cost of $3,078,294 and $2,876,343)	$	3,015,560		$	2,723,541
Cash and cash equivalents		130,439			54,308
Premiums receivable, net		85,733			82,804
Accrued investment income		25,790			22,386
Deferred policy acquisition costs, net		64,192			64,327
Software and equipment, net		22,762			25,681
Intangible assets and goodwill		3,634			3,634
Reinsurance recoverable		35,315			32,260
Prepaid federal income taxes		322,175			322,175
Other assets		21,593			18,857
Total assets	$	3,727,193		$	3,349,973

Liabilities
Debt	$	416,548		$	415,146
Unearned premiums		49,796			65,217
Accounts payable and accrued expenses		93,407			103,164
Reserve for insurance claims and claim expenses		180,347			152,071
Deferred tax liability, net		463,264			386,192
Other liabilities		8,960			10,751
Total liabilities		1,212,322			1,132,541

Shareholders' equity
Common stock: 77,095,871 and 78,600,726 shares outstanding as of September 30, 2025 and December 31, 2024, respectively		884			879
Additional paid-in capital		1,010,550			1,004,692
Treasury Stock, at cost: 11,275,594 and 9,301,900 common shares as of September 30, 2025 and December 31, 2024, respectively		(320,877	)		(246,594	)
Accumulated other comprehensive loss, net of tax		(53,654	)		(124,804	)
Retained earnings		1,877,968			1,583,259
Total shareholders' equity		2,514,871			2,217,432
Total liabilities and shareholders' equity	$	3,727,193		$	3,349,973


Non-GAAP Financial Measure Reconciliations (unaudited)
	As of and for the three months ended									For the nine months ended
	9/30/2025			6/30/2025			9/30/2024			9/30/2025			9/30/2024
As Reported	(In Thousands, except for per share data)
Revenues
Net premiums earned	$	151,323		$	149,066		$	143,343		$	449,755		$	421,168
Net investment income		26,773			24,949			22,474			75,408			62,598
Net realized investment gains (losses)		321			(400)			(10)			(55)			(10)
Other revenues		262			164			285			596			711
Total revenues		178,679			173,779			166,092			525,704			484,467
Expenses
Insurance claims and claim expenses		18,554			13,445			10,321			36,477			14,291
Underwriting and operating expenses		29,156			29,508			29,160			88,839			87,305
Service expenses		162			110			208			388			539
Interest expense		7,124			7,115			7,076			21,345			29,794
Total expenses		54,996			50,178			46,765			147,049			131,929

Income before income taxes		123,683			123,601			119,327			378,655			352,538
Income tax expense		27,684			27,450			26,517			83,946			78,599
Net income	$	95,999		$	96,151		$	92,810		$	294,709		$	273,939

Adjustments:
Net realized investment (gains) losses		(321)			400			10			55			10
Capital markets transaction costs		—			—			—			—			6,966
Adjusted income before taxes		123,362			124,001			119,337			378,710			359,514

Income tax (benefit) expense on adjustments⁽¹⁾		(67)			84			2			12			1,465
Adjusted net income	$	95,745		$	96,467		$	92,818		$	294,752		$	279,450

Weighted average diluted shares outstanding		78,830			79,256			81,045			79,315			81,484

Diluted EPS	$	1.22		$	1.21		$	1.15		$	3.72		$	3.36
Adjusted diluted EPS	$	1.21		$	1.22		$	1.15		$	3.72		$	3.43

Return on equity		15.6	%		16.2	%		17.5	%		16.6	%		17.7	%
Adjusted return on equity		15.5	%		16.3	%		17.5	%		16.6	%		18.1	%

Expense ratio⁽²⁾		19.3	%		19.8	%		20.3	%		19.8	%		20.7	%
Adjusted expense ratio⁽³⁾		19.3	%		19.8	%		20.3	%		19.8	%		20.7	%

Combined ratio⁽⁴⁾		31.5	%		28.8	%		27.5	%		27.9	%		24.1	%
Adjusted combined ratio⁽⁵⁾		31.5	%		28.8	%		27.5	%		27.9	%		24.1	%

Book value per share⁽⁶⁾	$	32.62		$	31.14		$	27.67
Book value per share (excluding net unrealized gains and losses)⁽⁷⁾	$	33.32		$	32.08		$	28.71

(1) Marginal tax impact of non-GAAP adjustments is calculated based on our statutory U.S. federal corporate income tax rate of 21%, except for those items that are not eligible for an income tax deduction.
(2) Expense ratio is calculated by dividing underwriting and operating expenses by net premiums earned.
(3) Adjusted expense ratio is calculated by dividing adjusted underwriting and operating expense (underwriting and operating expenses excluding costs related to capital markets reinsurance transactions) by net premiums earned.
(4) Combined ratio is calculated by dividing the total of underwriting and operating expenses and insurance claims and claim expenses by net premiums earned.
(5) Adjusted combined ratio is calculated by dividing the total of adjusted underwriting and operating expenses (underwriting and operating expenses excluding costs related to capital market reinsurance transaction) and insurance claims and claim expenses by net premiums earned.
(6) Book value per share is calculated by dividing total shareholders' equity by shares outstanding.
(7) Book value per share (excluding net unrealized gains and losses) is defined as total shareholders' equity, excluding the after-tax effects of unrealized gains and losses on our investment portfolio, divided by shares outstanding.

Historical Quarterly Data		2025									2024
	September 30			June 30			March 31			December 31			September 30
	(In Thousands, except for per share data)
Revenues
Net premiums earned	$	151,323		$	149,066		$	149,366		$	143,520		$	143,343
Net investment income		26,773			24,949			23,686			22,718			22,474
Net realized investment gains (losses)		321			(400)			24			33			(10)
Other revenues		262			164			170			233			285
Total revenues		178,679			173,779			173,246			166,504			166,092
Expenses
Insurance claims and claim expenses		18,554			13,445			4,478			17,253			10,321
Underwriting and operating expenses		29,156			29,508			30,175			31,092			29,160
Service expenses		162			110			116			184			208
Interest expense		7,124			7,115			7,106			7,102			7,076
Total expenses		54,996			50,178			41,875			55,631			46,765

Income before income taxes		123,683			123,601			131,371			110,873			119,327
Income tax expense		27,684			27,450			28,812			24,706			26,517
Net income	$	95,999		$	96,151		$	102,559		$	86,167		$	92,810

Earnings per share
Basic	$	1.24		$	1.23		$	1.31		$	1.09		$	1.17
Diluted	$	1.22		$	1.21		$	1.28		$	1.07		$	1.15

Weighted average common shares outstanding
Basic		77,410			77,987			78,407			78,997			79,549
Diluted		78,830			79,256			79,858			80,623			81,045

Other data
Loss ratio⁽¹⁾		12.3	%		9.0	%		3.0	%		12.0	%		7.2	%
Expense ratio⁽²⁾		19.3	%		19.8	%		20.2	%		21.7	%		20.3	%
Combined ratio⁽³⁾		31.5	%		28.8	%		23.2	%		33.7	%		27.5	%

Portfolio Statistics

The table below highlights trends in our primary portfolio as of the date and for the periods indicated.


Primary portfolio trends	As of and for the three months ended
	September 30, 2025			June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024
	($ Values In Millions, except as noted below)
New insurance written (NIW)	$	13,012		$	12,464		$	9,221		$	11,925		$	12,218
New risk written		3,399			3,260			2,428			3,134			3,245
Insurance-in-force (IIF)⁽¹⁾		218,376			214,653			211,308			210,183			207,538
Risk-in-force (RIF)⁽¹⁾		58,538			57,496			56,515			56,113			55,253
Policies in force (count)⁽¹⁾		677,010			668,638			661,490			659,567			654,374
Average loan size($ value in thousands)⁽¹⁾	$	323		$	321		$	319		$	319		$	317
Coverage percentage⁽²⁾		26.8	%		26.8	%		26.7	%		26.7	%		26.6	%
Loans in default (count)⁽¹⁾		7,093			6,709			6,859			6,642			5,712
Default rate⁽¹⁾		1.05	%		1.00	%		1.04	%		1.01	%		0.87	%
Risk-in-force on defaulted loans⁽¹⁾	$	600		$	569		$	567		$	545		$	468
Average net premium yield⁽³⁾		0.28	%		0.28	%		0.28	%		0.27	%		0.28	%
Earnings from cancellations	$	0.7		$	0.7		$	0.6		$	0.8		$	0.8
Annual persistency⁽⁴⁾		83.9	%		84.1	%		84.3	%		84.6	%		85.5	%
Quarterly run-off⁽⁵⁾		4.3	%		4.3	%		3.9	%		4.5	%		4.0	%

(1) Reported as of the end of the period.
(2) Calculated as end of period RIF divided by end of period IIF.
(3) Calculated as net premiums earned, divided by average primary IIF for the period, annualized.
(4) Defined as the percentage of IIF that remains on our books after a given twelve-month period.
(5) Defined as the percentage of IIF that is no longer on our books after a given three-month period.

NIW, IIF and Premiums

The tables below present NIW and primary IIF, as of the dates and for the periods indicated.

NIW	For the three months ended
	September 30, 2025		June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024
	(In Millions)
Monthly	$	12,727	$	12,214	$	9,049	$	11,688	$	11,978
Single		285		250		172		237		240
Total	$	13,012	$	12,464	$	9,221	$	11,925	$	12,218

Primary IIF	As of
	September 30, 2025		June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024
	(In Millions)
Monthly	$	201,671	$	197,608	$	193,856	$	192,228	$	189,241
Single		16,705		17,045		17,452		17,955		18,297
Total	$	218,376	$	214,653	$	211,308	$	210,183	$	207,538

The following table presents the amounts related to the company's quota-share reinsurance transactions (the 2018 QSR Transaction, 2020 QSR Transaction, 2021 QSR Transaction, 2022 QSR Transaction, 2022 Seasoned QSR Transaction, 2023 QSR Transaction, 2024 QSR Transaction, and 2025 QSR Transaction and collectively, the QSR Transactions), traditional reinsurance transactions (the 2022-1 XOL Transaction, 2022-2 XOL Transaction, 2022-3 XOL Transaction, 2023-1 XOL Transaction, 2023-2 XOL Transaction, 2024 XOL Transaction, and 2025 XOL Transaction and collectively, the XOL Transactions), and insurance-linked note transactions (the 2021-1 ILN Transaction, and 2021-2 ILN Transaction and collectively, the ILN Transactions) for the periods indicated.


	For the three months ended
	September 30, 2025		June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024
	(In Thousands)
The QSR Transactions ⁽¹⁾
Ceded risk-in-force	$	12,699,082	$	12,764,708	$	12,888,870	$	13,024,200	$	12,968,039
Ceded premiums earned		(39,847)		(40,227)		(41,011)		(41,596)		(41,761)
Ceded claims and claim expenses		4,123		3,253		523		4,075		2,449
Ceding commission earned		10,246		9,669		9,768		9,997		10,152
Profit commission		19,083		19,958		23,398		20,149		21,883
The XOL Transactions
Ceded Premiums	$	(10,656)	$	(10,350)	$	(10,168)	$	(9,969)	$	(9,760)
The ILN Transactions ⁽²⁾
Ceded premiums	$	(3,036)	$	(3,244)	$	(3,311)	$	(4,217)	$	(4,302)

(1) Effective July 1, 2025, NMIC terminated its coverage with all reinsurers under the 2016 QSR Transaction by mutual agreement on a cut-off basis.
(2) Effective July 25, 2024 and December 27, 2024, NMIC exercised its optional termination rights to terminate and commute its previously outstanding excess-of-loss reinsurance agreements with Oaktown Re III Ltd. and Oaktown Re V Ltd., respectively. In connection with the terminations and commutations, the insurance-linked notes issued by Oaktown Re III Ltd. and Oaktown Re V Ltd. were redeemed in full with a distribution of remaining collateral assets.

The tables below present our total NIW by FICO, loan-to-value (LTV) ratio, and purchase/refinance mix for the periods indicated.

NIW by FICO	For the three months ended						For the nine months ended
	September 30, 2025		June 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024
	(In Millions)
>= 760	$	6,789	$	6,523	$	6,615	$	18,283	$	18,300
740-759		2,395		2,281		2,057		6,429		6,008
720-739		1,626		1,585		1,529		4,388		4,286
700-719		1,094		1,061		1,040		2,820		2,904
680-699		617		590		652		1,620		1,817
<=679		491		424		325		1,157		804
Total	$	13,012	$	12,464	$	12,218	$	34,697	$	34,119
Weighted average FICO		756		756		757		756		757


NIW by LTV	For the three months ended									For the nine months ended
	September 30, 2025			June 30, 2025			September 30, 2024			September 30, 2025			September 30, 2024
	(In Millions)
95.01% and above	$	1,566		$	1,544		$	1,568		$	4,257		$	4,398
90.01% to 95.00%		5,809			5,486			5,720			15,569			15,779
85.01% to 90.00%		4,062			3,887			3,584			10,700			10,254
85.00% and below		1,575			1,547			1,346			4,171			3,688
Total	$	13,012		$	12,464		$	12,218		$	34,697		$	34,119
Weighted average LTV		92.1	%		92.0	%		92.3	%		92.1	%		92.3	%

NIW by purchase/refinance mix	For the three months ended						For the nine months ended
	September 30, 2025		June 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024
	(In Millions)
Purchase	$	12,416	$	11,813	$	11,708	$	33,051	$	33,122
Refinance		596		651		510		1,646		997
Total	$	13,012	$	12,464	$	12,218	$	34,697	$	34,119

The table below presents a summary of our primary IIF and RIF by book year as of September 30, 2025.


Primary IIF and RIF	As of September 30, 2025
	IIF		RIF
Book Year	(In Millions)
2025	$	33,375	$	8,739
2024		39,821		10,576
2023		30,781		8,138
2022		43,051		11,563
2021		42,925		11,836
2020 and before		28,423		7,686
Total	$	218,376	$	58,538

The tables below present our total primary IIF and RIF by FICO and LTV, and total primary RIF by loan type as of the dates indicated.

Primary IIF by FICO	As of
	September 30, 2025		June 30, 2025		September 30, 2024
	(In Millions)
>= 760	$	109,470	$	107,677	$	103,764
740-759		39,273		38,426		36,830
720-739		30,275		29,825		28,930
700-719		20,355		20,049		19,654
680-699		13,447		13,381		13,326
<=679		5,556		5,295		5,034
Total	$	218,376	$	214,653	$	207,538

Primary RIF by FICO	As of
	September 30, 2025		June 30, 2025		September 30, 2024
	(In Millions)
>= 760	$	29,084	$	28,596	$	27,396
740-759		10,589		10,342		9,850
720-739		8,211		8,086		7,788
700-719		5,575		5,483		5,337
680-699		3,662		3,635		3,590
<=679		1,417		1,354		1,292
Total	$	58,538	$	57,496	$	55,253


Primary IIF by LTV	As of
	September 30, 2025		June 30, 2025		September 30, 2024
	(In Millions)
95.01% and above	$	25,978	$	25,052	$	22,644
90.01% to 95.00%		107,914		106,017		101,872
85.01% to 90.00%		65,815		65,109		63,568
85.00% and below		18,669		18,475		19,454
Total	$	218,376	$	214,653	$	207,538

Primary RIF by LTV	As of
	September 30, 2025		June 30, 2025		September 30, 2024
	(In Millions)
95.01% and above	$	8,151	$	7,843	$	7,054
90.01% to 95.00%		31,850		31,302		30,100
85.01% to 90.00%		16,318		16,152		15,777
85.00% and below		2,219		2,199		2,322
Total	$	58,538	$	57,496	$	55,253


Primary RIF by Loan Type	As of
	September 30, 2025		June 30, 2025		September 30, 2024
Fixed	98	%	98	%	98	%
Adjustable rate mortgages:
Less than five years	—		—		—
Five years and longer	2		2		2
Total	100	%	100	%	100	%

The table below presents a summary of the change in total primary IIF for the dates and periods indicated.


Primary IIF	As of and for the three months ended
	September 30, 2025		June 30, 2025		September 30, 2024
	(In Millions)
IIF, beginning of period	$	214,653	$	211,308	$	203,501
NIW		13,012		12,464		12,218
Cancellations, principal repayments and other reductions		(9,289)		(9,119)		(8,181)
IIF, end of period	$	218,376	$	214,653	$	207,538

Geographic Dispersion

The following table shows the distribution by state of our primary RIF as of the periods indicated.


Top 10 primary RIF by state	As of
	September 30, 2025		June 30, 2025		September 30, 2024
California	10.1	%	10.1	%	10.1	%
Texas	8.3		8.4		8.7
Florida	7.2		7.2		7.4
Georgia	4.0		4.0		4.1
Illinois	4.0		3.9		3.9
Washington	3.7		3.8		3.9
Virginia	3.7		3.7		3.8
Pennsylvania	3.5		3.5		3.4
Ohio	3.4		3.4		3.2
New York	3.3		3.2		3.1
Total	51.2	%	51.2	%	51.6	%

The table below presents selected primary portfolio statistics, by book year, as of September 30, 2025.


	As of September 30, 2025
Book Year	Original Insurance Written		Remaining Insurance in Force		% Remaining of Original Insurance		Policies Ever in Force	Number of Policies in Force	Number of Loans in Default	# of Claims Paid	Incurred Loss Ratio (Inception to Date)⁽¹⁾		Cumulative Default Rate⁽²⁾		Current default rate⁽³⁾
	($ Values In Millions)
2016 and prior	$	37,222	$	1,877	5	%	151,615	10,098	221	406	2.1	%	0.4	%	2.2	%
2017		21,582		1,574	7	%	85,897	9,049	228	189	1.9	%	0.5	%	2.5	%
2018		27,295		2,065	8	%	104,043	11,334	342	205	2.4	%	0.5	%	3.0	%
2019		45,141		5,325	12	%	148,423	24,061	441	115	1.9	%	0.4	%	1.8	%
2020		62,702		17,582	28	%	186,174	63,301	534	65	1.3	%	0.3	%	0.8	%
2021		85,574		42,925	50	%	257,972	146,007	1,645	133	3.2	%	0.7	%	1.1	%
2022		58,734		43,051	73	%	163,281	127,661	2,021	185	16.4	%	1.4	%	1.6	%
2023		40,473		30,781	76	%	111,994	90,283	984	44	15.7	%	0.9	%	1.1	%
2024		46,044		39,821	86	%	120,747	108,356	633	2	12.7	%	0.5	%	0.6	%
2025		34,697		33,375	96	%	89,436	86,860	44	—	2.6	%	—	%	0.1	%
Total	$	459,464	$	218,376			1,419,582	677,010	7,093	1,344

(1) Calculated as total claims incurred (paid and reserved) divided by cumulative premiums earned, net of reinsurance.
(2) Calculated as the sum of the number of claims paid ever to date and number of loans in default divided by policies ever in force.
(3) Calculated as the number of loans in default divided by number of policies in force.

The following table provides a reconciliation of the beginning and ending reserve balances for insurance claims and claim expenses:


	For the three months ended September 30,				For the nine months ended September 30,
		2025		2024		2025		2024
	(In Thousands)
Beginning balance	$	163,033	$	125,443	$	152,071	$	123,974
Less reinsurance recoverables⁽¹⁾		(32,705)		(27,336)		(32,260)		(27,514)
Beginning balance, net of reinsurance recoverables		130,328		98,107		119,811		96,460

Add claims incurred:
Claims and claim expenses incurred:
Current year⁽²⁾		27,228		21,160		88,584		71,532
Prior years⁽³⁾		(8,674)		(10,839)		(52,440)		(57,241)
Total claims and claim expenses incurred⁽⁴⁾		18,554		10,321		36,144		14,291

Less claims paid:
Claims and claim expenses paid:
Current year⁽²⁾		170		180		280		180
Prior years⁽³⁾		4,138		1,942		12,607		4,265
Reinsurance terminations⁽⁵⁾		(458)		—		(1,964)		—
Total claims and claim expenses paid		3,850		2,122		10,923		4,445

Reserve at end of period, net of reinsurance recoverables		145,032		106,306		145,032		106,306
Add reinsurance recoverables⁽¹⁾		35,315		29,214		35,315		29,214
Ending balance	$	180,347	$	135,520	$	180,347	$	135,520

(1) Related to ceded losses recoverable under the QSR Transactions.
(2) Related to insured loans with their most recent defaults occurring in the current year. For example, if a loan defaulted in a prior year and subsequently cured and later re-defaulted in the current year, the default would be included in the current year. Amounts are presented net of reinsurance and included $77.2 million attributed to net case reserves and $9.8 million attributed to net IBNR reserves for the nine months ended September 30, 2025 and $63.2 million attributed to net case reserves and $7.0 million attributed to net IBNR reserves for the nine months ended September 30, 2024.
(3) Related to insured loans with defaults occurring in prior years, which have been continuously in default before the start of the current year. Amounts are presented net of reinsurance and included $43.2 million attributed to net case reserves and $8.1 million attributed to net IBNR reserves for the nine months ended September 30, 2025 and $49.8 million attributed to net case reserves and $6.3 million attributed to net IBNR reserves for the nine months ended September 30, 2024.
(4) Excludes aggregate termination fees of $0.3 million for the nine months ended September 30, 2025 incurred in connection with the termination of the 2016 QSR Transaction and amendment of the 2018 and 2021 QSR Transactions.
(5) Represents the settlement of reinsurance recoverables in conjunction with the termination of the 2016 QSR Transaction and amendment of the 2018 and 2021 QSR Transactions.

The following table provides a reconciliation of the beginning and ending count of loans in default:


	For the three months ended September 30,		For the nine months ended September 30,
	2025	2024	2025	2024
Beginning default inventory	6,709	4,904	6,642	5,099
Plus: new defaults	2,529	2,411	7,119	6,015
Less: cures	(2,044)	(1,529)	(6,353)	(5,215)
Less: claims paid	(93)	(67)	(281)	(168)
Less: rescission and claims denied	(8)	(7)	(34)	(19)
Ending default inventory	7,093	5,712	7,093	5,712

The following table provides details of our claims paid, before giving effect to claims ceded under the QSR Transactions, for the periods indicated:


	For the three months ended September 30,						For the nine months ended September 30,
		2025			2024			2025			2024
	($ Values In Thousands)
Number of claims paid⁽¹⁾		93			67			281			168
Total amount paid for claims	$	5,364		$	2,692		$	16,101		$	5,714
Average amount paid per claim	$	58		$	40		$	57		$	34
Severity⁽²⁾		73	%		64	%		74	%		58	%

(1) Count includes 14 and 50 claims settled without payment during the three and nine months ended September 30, 2025, respectively, and 21 and 56 claims settled without payment during the three and nine months ended September 30, 2024, respectively.
(2) Severity represents the total amount of claims paid including claim expenses divided by the related RIF on the loan at the time the claim is perfected, and is calculated including claims settled without payment.

The following table shows our average reserve per default, before giving effect to reserves ceded under the QSR Transactions, as of the dates indicated:


	As of September 30,
Average reserve per default:		2025		2024
	(In Thousands)
Case⁽¹⁾	$	23.3	$	21.8
IBNR⁽¹⁾⁽²⁾		2.1		1.9
Total	$	25.4	$	23.7

(1) Defined as the gross reserve per insured loan in default.
(2) Amount includes claims adjustment expenses.

The following table provides a comparison of the PMIERs available assets and net risk-based required asset amount as reported by NMIC as of the dates indicated:

	As of
	September 30, 2025		June 30, 2025		September 30, 2024
	(In Thousands)
Available assets	$	3,369,950	$	3,244,517	$	3,006,892
Net risk-based required assets		2,003,410		1,926,517		1,735,790

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.