Private MIs Post Dismal First Half of 2009

Despite a sharp jump in mortgage originations during the second quarter, the private mortgage insurance industry saw its volume of new business decline during the three-month period. According to a new analysis by Inside Mortgage Finance slated to be published this week, private MI activity fell 11 percent between 1Q09 and 2Q09. Even more disturbing was the fact that first half 2009 MI volume came in a hefty 62 percent below year-ago levels. During the second quarter, United Guaranty fared the best among MIs with a 90 percent rise in business. Meanwhile, PMI fared the worst with a 60 percent drop in new MI volume in the period.