MGIC Investment Corporation (MTG) SEC Filings & Earnings Calls

PMIERs compliance risk

“If our Available Assets fall below our Minimum Required Assets, we would not be in compliance with the PMIERs.” · word for word

Cybersecurity risk

“Any failure or perceived failure by us, or by the vendors with whom we share this information, to comply with such obligations may result in damage to our reputation, financial losses, litigation, increased costs, regulatory penalties or customer dissatisfaction.” · word for word

Delinquency inventory increased 7% YoY, signaling potential credit deterioration

“Primary delinquency inventory 26,152 (Q2 2026) vs 24,444 (Q2 2025)”

Net premiums earned declined 2.5% YoY, reflecting lower premium yield

“Net premiums earned $238.1M (Q2 2026) vs $244.3M (Q2 2025)”

PMIERs compliance risk from delinquencies

“An increase in the number of loan delinquencies. The PMIERs generally require us to hold significantly more Minimum Required Assets for delinquent loans than for performing loans, and the Minimum Required Assets required to be held increases as the number of payments missed on a delinquent loan increases.” · word for word

Cybersecurity breach risk

“Any failure or perceived failure by us, or by the vendors with whom we share this information, to comply with such obligations may result in damage to our reputation, financial losses, litigation, increased costs, regulatory penalties or customer dissatisfaction.” · word for word

Loss ratio increased significantly from 3.9% to 14.1%

“Losses incurred, net $33.2M vs $9.6M in Q1 2025; loss ratio 14.1% vs 3.9%”

Net premium yield declining

“Net premium yield 31.1 bps vs 33.0 bps in Q1 2025”

Delinquency rate slightly increased

“Primary IIF delinquency rate 2.44% vs 2.30% in Q1 2025”

Mortgage Rate and Affordability Pressure

“As we began 2025, we faced a challenging market defined by high mortgage interest rates and rising home prices that squeezed affordability.” · word for word

GSE Policy Changes

“IIF adjusted for financial impacts of GSE-mandated mortgage insurance cancellations inconsistent with prior business practices.”

Claim Severity Increase

“We expect average claims paid as a percentage of exposure to increase as we receive delinquencies that have not experienced the same level of home price appreciation.” · word for word

Regulatory Capital Requirement Changes

“We may not continue to meet the GSEs’ private mortgage insurer eligibility requirements and our returns may decrease if we are required to maintain more capital in order to maintain our eligibility” · word for word

Interest Rate Volatility

“The lagged effects of the FOMC’s actions and other ongoing macroeconomic and geopolitical factors could create economic uncertainty and alter forward rate expectations, which may result in interest rate and credit spread volatility.” · word for word

Delinquency rate increased slightly to 2.43%; loss ratio increased to 13.2% from 4.5% in Q3.

“Primary delinquency inventory 27,072 ... Primary IIF delinquency rate (count based) 2.43% ... Loss ratio 13.2%”

Loss of board member; no disagreement suggests routine departure.

“resignation effective Jan 31, 2026; no disagreement.”

Losses incurred turned positive ($10.9M) vs negative in prior periods, indicating some credit deterioration.

“Losses incurred, net $10.9 million vs $(2.8) million in Q2 2025 and $(9.8) million in Q3 2024.”

Primary delinquency inventory increased to 25,747 from 24,444 in Q2, with delinquency rate up to 2.32% from 2.21%.

“Primary delinquency inventory 25,747... Primary IIF delinquency rate 2.32%.”

GSE policy changes

“Changes in the business practices of Fannie Mae and Freddie Mac could reduce our revenues or increase our losses.” · word for word

Reinsurance availability

“Reinsurance may be unavailable at current levels and prices, and/or the GSEs may reduce the amount of capital credit we receive for our reinsurance transactions.” · word for word

Macroeconomic downturn

“Downturns in the domestic economy or declines in home prices may result in more homeowners defaulting and our losses increasing.” · word for word