Compared to one year earlier, quarterly business more than doubled, the book of business ballooned and defaults declined at Arch Mortgage Insurance Co.
Prior to income taxes, income was $317 million during the period that commenced on July 1 and concluded on Sept. 30, climbing from $263 million the prior period.
That is according to the third-quarter 2016 earnings report released Wednesday by the mortgage insurer’s parent, Hamilton, Bermuda-based
Arch Capital Group Ltd.
Income more than quadrupled compared to the $74 million earned in the year-prior period.
Within just the mortgage insurance unit, underwriting income was $37 million, dipping from $38 million in the second quarter but soaring from $17 million in the third-quarter 2015.
Arch M.I. wrote $8.753
billion in new insurance during the third-quarter 2016. Business climbed from $6.420 billion the prior period and more than doubled from $3.179 billion a year prior.
For all nine months that have completed this year, new insurance written amounted to $18.079 billion.
Mortgage insurance in force was $40.258 billion as of Sept. 30, 2016, climbing from $33.367 billion three months earlier and $25.697 billion a year earlier.
The number of policies in force
grew to 199,661 from 172,666 as of June 30, 2016 and 143,335 as of Sept. 30, 2015.
As of the end of last month, 1.2 percent of loans were in default. The default rate fell from 1.3 percent as of mid-2016 and 1.9 percent as of the same date last year.
