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April 15, 2016 5:00 PM EDT


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 
 
 
Date of Report (Date of Earliest Event Reported):
 
April 15, 2016

MGIC Investment Corporation
__________________________________________
(Exact name of registrant as specified in its charter)
 
 
 
Wisconsin
1-10816
39-1486475
_____________________
(State or other jurisdiction
_____________
(Commission
______________
(I.R.S. Employer
of incorporation)
File Number)
Identification No.)
  
 
 
250 E. Kilbourn Avenue, Milwaukee, Wisconsin
 
53202
_________________________________
(Address of principal executive offices)
 
___________
(Zip Code)
 
 
 
Registrant’s telephone number, including area code:
 
414-347-6480
Not Applicable
_____________________________________________
Former name or former address, if changed since last report
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[  ]  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))





Item 7.01 Regulation FD Disclosure.
We have changed the presentation of the information provided in the Quarterly Portfolio Supplement that was posted on our website, www.mtg.mgic.com, on January 21, 2016, and the Additional Information that was contained in our January 21, 2016 Fourth Quarter 2015 Earnings Release. The attached Exhibits present the changed presentation of the Additional Information disclosures for the periods Q3 2014 through Q4 2015 and the Quarterly Portfolio Supplement for the period ending December 31, 2015. The earnings release and quarterly portfolio supplement for First Quarter 2016 will present the information as of March 31, 2016 in the same manner.







SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 
 
 
 
MGIC INVESTMENT CORPORATION
 
 
 
 
 
 
Date:
April 15, 2016
By: \s\ Julie K. Sperber
 
 
 
 
 
Julie K. Sperber
 
 
Vice President, Controller and Chief Accounting Officer




Exhibit Index

 
 
 
Exhibit No.
 
Description
 
 
 
99
 
Revised presentation of the Additional Information for the quarterly periods Q3 2014 through Q4 2015. (Pursuant to General Instruction B.2 to Form 8-K, this information is furnished and is not filed.)
99.1
 
Revised presentation of the Quarterly Portfolio Supplement for the period ending December 31, 2015. (Pursuant to General Instruction B.2 to Form 8-K, this information is furnished and is not filed.)



Exhibit 99

Additional Information
 
 Q4 2015
 
 Q3 2015
 
 Q2 2015
 
 Q1 2015
 
 Q4 2014
 
 Q3 2014
 
New primary insurance written (NIW) (billions)
$
9.8

 
$
12.4

 
$
11.8

 
$
9.0

 
$
9.5

 
$
10.4

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Monthly premium plans (1)
7.7

 
10.2

 
9.5

 
6.9

 
7.9

 
8.8

 
Single premium plans
2.1

 
2.2

 
2.3

 
2.1

 
1.6

 
1.6

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Direct average premium rate (bps)
 
 
 
 
 
 
 
 
 
 
 
 
Monthly (1)
64.6

 
63.0

 
63.1

 
63.6

 
65.5

 
63.8

 
Singles
159.8

 
176.1

 
168.5

 
168.2

 
189.7

 
196.0

 
 
 
 
 
 
 
 
 
 
 
 
 
 
New primary risk written (billions)
$
2.5

 
$
3.2

 
$
3.0

 
$
2.2

 
$
2.4

 
$
2.7

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Product mix as a % of primary flow NIW
 
 
 
 
 
 
 
 
 
 
 
 
    >95% LTVs
5
%
 
5
%
 
5
%
 
3
%
 
2
%
 
2
%
 
    Singles
22
%
 
18
%
 
20
%
 
23
%
 
17
%
 
15
%
 
    Refinances
17
%
 
12
%
 
20
%
 
29
%
 
17
%
 
12
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary Insurance In Force (IIF) (billions)
$
174.5

 
$
172.7

 
$
168.8

 
$
166.1

 
$
164.9

 
$
162.4

 
Flow only
$
164.0

 
$
161.8

 
$
157.5

 
$
154.5

 
$
153.0

 
$
150.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Annual Persistency
79.7
%
 
80.0
%
 
80.4
%
 
81.6
%
 
82.8
%
 
82.8
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary Risk In Force (RIF) (billions)
$
45.5

 
$
45.0

 
$
44.0

 
$
43.2

 
$
42.9

 
$
42.3

 
     Flow only
$
42.5

 
$
41.9

 
$
40.8

 
$
40.0

 
$
39.6

 
$
38.8

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Primary RIF by FICO (%) (6)
 
 
 
 
 
 
 
 
 
 
 
 
FICO 740 & >
47
%
 
47
%
 
46
%
 
46
%
 
46
%
 
45
%
 
FICO 700-739
24
%
 
24
%
 
24
%
 
23
%
 
23
%
 
23
%
 
FICO 660-699
16
%
 
16
%
 
16
%
 
16
%
 
16
%
 
16
%
 
FICO 659 & <
13
%
 
13
%
 
14
%
 
15
%
 
15
%
 
16
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average Coverage Ratio (RIF/IIF)
26.1
%
 
26.1
%
 
26.0
%
 
26.0
%
 
26.0
%
 
26.0
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average Loan Size (thousands)
$
175.89

 
$
174.58

 
$
172.37

 
$
171.05

 
$
170.24

 
$
169.05

 
Flow only
$
178.03

 
$
176.61

 
$
174.23

 
$
172.88

 
$
172.07

 
$
170.74

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary IIF - # of loans
992,188

 
989,020

 
979,202

 
970,931

 
968,748

 
960,849

 
Flow only
921,166

 
916,230

 
904,055

 
893,461

 
889,479

 
879,654

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary IIF - Default Roll Forward - # of Loans
 
 
 
 
 
 
 
 
 
 
 
 
Beginning Default Inventory
64,642

 
66,357

 
72,236

 
79,901

 
83,154

 
85,416

 
New Notices
18,459

 
19,509

 
17,451

 
18,896

 
21,393

 
22,927

 
Cures
(16,910
)
 
(17,036
)
 
(17,897
)
 
(21,767
)
 
(19,196
)
 
(19,582
)
 
Paids (including those charged to a deductible or captive)
(3,333
)
 
(3,958
)
 
(4,140
)
 
(4,573
)
 
(5,074
)
 
(5,288
)
 
Rescissions and denials
(225
)
 
(230
)
 
(172
)
 
(221
)
 
(183
)
 
(319
)
 
Items removed from inventory
—

 
—

 
(1,121
)
 
—

 
(193
)
 
—

 
Ending Default Inventory
62,633

 
64,642

 
66,357

 
72,236

 
79,901

 
83,154

 


Exhibit 99

Additional Information
 
 Q4 2015
 
 Q3 2015
 
 Q2 2015
 
 Q1 2015
 
 Q4 2014
 
 Q3 2014
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary claim received inventory included in ending default inventory
2,769

 
2,982

 
3,440

 
4,448

 
4,746

 
5,194

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Composition of Cures
 
 
 
 
 
 
 
 
 
 
 
 
Reported delinquent and cured intraquarter
5,110

 
5,185

 
4,620

 
6,887

 
5,674

 
6,205

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Number of payments delinquent prior to cure
 
 
 
 
 
 
 
 
 
 
 
 
      3 payments or less
7,714

 
7,146

 
7,721

 
9,516

 
8,420

 
7,989

 
      4-11 payments
2,836

 
3,005

 
3,789

 
3,688

 
3,463

 
3,651

 
      12 payments or more
1,250

 
1,700

 
1,767

 
1,676

 
1,639

 
1,737

 
  Total Cures in Quarter
16,910

 
17,036

 
17,897

 
21,767

 
19,196

 
19,582

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Composition of Paids
 
 
 
 
 
 
 
 
 
 
 
 
Number of payments delinquent at time of claim payment
 
 
 
 
 
 
 
 
 
 
 
 
      3 payments or less
18

 
20

 
16

 
12

 
11

 
25

 
      4-11 payments
304

 
374

 
435

 
550

 
528

 
550

 
      12 payments or more
3,011

 
3,564

 
3,689

 
4,011

 
4,535

 
4,713

 
  Total Paids in Quarter
3,333

 
3,958

 
4,140

 
4,573

 
5,074

 
5,288

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Aging of Primary Default Inventory
 
 
 
 
 
 
 
 
 
 
 
 
  Consecutive months in default
 
 
 
 
 
 
 
 
 
 
 
 
      3 months or less
13,053

21
%
13,991

22
%
12,545

19
%
11,604

16
%
15,319

19
%
16,209

19
%
      4-11 months
15,763

25
%
14,703

23
%
15,487

23
%
18,940

26
%
19,710

25
%
18,890

23
%
      12 months or more
33,817

54
%
35,948

55
%
38,325

58
%
41,692

58
%
44,872

56
%
48,055

58
%
 
 
 
 
 
 
 
 
 
 
 
 
 
  Number of payments delinquent
 
 
 
 
 
 
 
 
 
 
 
 
      3 payments or less
20,360

33
%
20,637

32
%
19,274

29
%
19,159

27
%
23,253

29
%
23,769

28
%
      4-11 payments
15,092

24
%
14,890

23
%
15,710

24
%
18,372

25
%
19,427

24
%
18,985

23
%
      12 payments or more
27,181

43
%
29,115

45
%
31,373

47
%
34,705

48
%
37,221

47
%
40,400

49
%
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary IIF - # of Delinquent Loans
62,633

 
64,642

 
66,357

 
72,236

 
79,901

 
83,154

 
     Flow only
47,088

 
48,436

 
49,507

 
53,390

 
59,111

 
61,323

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary IIF Default Rates
6.31
%
 
6.54
%
 
6.78
%
 
7.44
%
 
8.25
%
 
8.65
%
 
     Flow only
5.11
%
 
5.29
%
 
5.48
%
 
5.98
%
 
6.65
%
 
6.97
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 


Exhibit 99

Additional Information
 
 Q4 2015
 
 Q3 2015
 
 Q2 2015
 
 Q1 2015
 
 Q4 2014
 
 Q3 2014
 
Reserves
 
 
 
 
 
 
 
 
 
 
 
 
  Primary
 
 
 
 
 
 
 
 
 
 
 
 
      Direct Loss Reserves (millions)
$
1,807

 
$
1,877

 
$
1,993

 
$
2,112

 
$
2,246

 
$
2,362

 
Average Direct Reserve Per Default
$
28,859

 
$
29,032

 
$
30,033

 
$
29,233

 
$
28,107

 
$
28,404

 
  Pool
 
 
 
 
 
 
 
 
 
 
 
 
      Direct loss reserves (millions)
$
43

 
$
49

 
$
52

 
$
57

 
$
65

 
$
69

 
      Ending default inventory
2,739

 
2,950

 
3,129

 
3,350

 
3,797

 
4,525

 
Pool claim received inventory included in ending default inventory
60

 
75

 
97

 
88

 
99

 
86

 
Reserves related to Freddie Mac settlement (millions)
$
42

 
$
52

 
$
63

 
$
73

 
$
84

 
$
94

 
  Other Gross Reserves (millions) (3)
$
1

 
$
2

 
$
3

 
$
3

 
$
2

 
$
3

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net Paid Claims (millions) (4)
$
188

 
$
207

 
$
222

 
$
232

 
$
248

 
$
263

 
     Total primary (excluding settlements)
$
164

 
$
190

 
$
196

 
$
217

 
$
225

 
$
242

 
     Settlements
$
—

 
$
—

 
$
10

 
—

 
$
6

 
—

 
     Pool - with aggregate loss limits
$
4

 
$
3

 
$
5

 
$
4

 
$
3

 
$
6

 
     Pool - without aggregate loss
     limits
$
2

 
$
3

 
$
3

 
$
2

 
$
3

 
$
3

 
     Pool - Freddie Mac settlement
$
10

 
$
11

 
$
10

 
$
11

 
$
10

 
$
11

 
     Reinsurance
$
(2
)
 
$
(5
)
 
$
(8
)
 
$
(8
)
 
$
(7
)
 
$
(7
)
 
     Other (3)
$
10

 
$
5

 
$
6

 
$
6

 
$
8

 
$
8

 
     Reinsurance terminations (4)
$
—

 
$
(15
)
 
$
—

 
$
—

 
$
—

 
$
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Primary Average Claim Payment (thousands)
$
49.1

 
$
48.2

 
$
48.6

 
$
47.4

 
$
45.0

 
$
45.8

 
     Flow only
$
45.6

 
$
44.8

 
$
45.1

 
$
44.2

 
$
44.6

 
$
43.5

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Reinsurance excluding captives
 
 
 
 
 
 
 
 
 
 
 
 
% insurance inforce subject to reinsurance
72.9
%
 
71.9
%
 
59.5
%
 
57.1
%
 
56.0
%
 
54.3
%
 
% Quarterly NIW subject to reinsurance
89.5
%
 
90.6
%
 
97.9
%
 
85.2
%
 
87.4
%
 
90.1
%
 
Ceded premium written (millions)
$
30.0

 
$
(46.8
)
(5
)
$
30.9

 
$
27.1

 
$
27.6

 
$
27.7

 
Ceded premium earned (millions)
$
30.0

 
$
11.0

(5
)
$
23.0

 
$
24.6

 
$
24.2

 
$
23.7

 
Ceded losses incurred (millions)
$
7.2

 
$
4.2

 
$
1.2

 
$
4.9

 
$
4.8

 
$
4.7

 
Ceding commissions (millions) (included in underwriting and other expenses)
$
11.4

 
$
(2.4
)
(5
)
$
11.7

 
$
10.1

 
$
10.0

 
$
9.9

 
Profit commission (millions) (included in ceded premiums)
$
27.0

 
$
34.9

(5
)
$
27.5

 
$
23.5

 
$
22.5

 
$
21.9

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Direct Pool RIF (millions)
 
 
 
 
 
 
 
 
 
 
 
 
    With aggregate loss limits
$
271

 
$
279

 
$
282

 
$
287

 
$
303

 
$
331

 
    Without aggregate loss limits
$
388

 
$
418

 
$
456

 
$
479

 
$
505

 
$
536

 
 
 
 
 
 
 
 
 
 
 
 
 
 


Exhibit 99

Additional Information
 
 Q4 2015
 
 Q3 2015
 
 Q2 2015
 
 Q1 2015
 
 Q4 2014
 
 Q3 2014
 
Bulk Primary Insurance Statistics
 
 
 
 
 
 
 
 
 
 
 
 
     Insurance in force (billions)
$
10.5

 
$
10.9

 
$
11.3

 
$
11.6

 
$
11.9

 
$
12.2

 
     Risk in force (billions)
$
3.0

 
$
3.1

 
$
3.2

 
$
3.2

 
$
3.3

 
$
3.5

 
     Average loan size (thousands)
$
148.15

 
$
149.00

 
$
149.93

 
$
149.90

 
$
149.75

 
$
150.77

 
     Number of delinquent loans
15,545

 
16,206

 
16,850

 
18,846

 
20,790

 
21,831

 
     Default rate
21.89
%
 
22.26
%
 
22.42
%
 
24.33
%
 
26.23
%
 
26.89
%
 
     Primary paid claims (millions)
$
39

 
$
47

 
$
46

 
$
50

 
$
36

 
$
46

 
     Average claim payment
    (thousands)
$
65.7

 
$
62.2

 
$
63.3

 
$
61.8

 
$
47.3

 
$
59.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Mortgage Guaranty Insurance Corporation - Risk to Capital
12.1:1

 
12.3:1

 
13.2:1

 
13.7:1

 
14.6:1

 
15.0:1

 
Combined Insurance Companies -
Risk to Capital
13.6:1

 
13.6:1

 
14.8:1

 
15.4:1

 
16.4:1

 
17.0:1

 
 
 
 
 
 
 
 
 
 
 
 
 
 
GAAP loss ratio
(insurance operations only)
42.0
%
 
32.0
%
(2
)
42.3
%
(2
)
37.6
%
(2
)
54.8
%
(2
)
55.1
%
(2
)
GAAP underwriting expense ratio (insurance operations only)
13.9
%
 
14.4
%
 
15.0
%
 
16.4
%
 
13.9
%
 
14.9
%
 

Note: The FICO credit score for a loan with multiple borrowers is the lowest of the borrowers’ “decision FICO scores.” A borrower’s “decision FICO score” is determined as follows: if there are three FICO scores available, the middle FICO score is used; if two FICO scores are available, the lower of the two is used; if only one FICO score is available, it is used.

Note: Average claim paid may vary from period to period due to amounts associated with mitigation efforts.

(1) Includes loans with annual and split payments.

(2) As calculated, does not reflect any effects due to premium deficiency.

(3) Includes Australian operations.

(4) Net paid claims, as presented, does not include amounts received in conjunction with terminations or commutations of reinsurance agreements.

(5) In the third quarter of 2015, the April 2013 quota share reinsurance agreement was restructured via a commutation and new agreement. The effects of the new agreement for the third quarter of 2015 were as follows (in millions):
Ceded premium written
$
22.6

Ceded premium earned
$
22.6

Ceding commissions
$
9.2

Profit commissions
$
23.3


(6) Unknown FICO scores are reported in the "659 and <" FICO category.


The information in this document does not include our Australian operations, which are immaterial. Exhibit 99.1 Portfolio Supplement Q4 2015 (Revised Presentation) NYSE: MTG

 
Summary of Loan Modification and HARP Activity Risk in Force Total Primary Book HARP/RTM: 13% HAMP: 7% Other Mods: 4% % Current at 12/31/2015 (# of loans) HARP/RTM HAMP Other Mod 97.7% 77.0% 71.4% Risk in Force Flow Primary Book Risk in Force 2007 Flow Primary Book HARP/RTM: 13% HAMP: 5% Other Mods: 2% HARP/ RTM: 40% HAMP: 19% Other Mods: 8% % Current at 12/31/2015 (# of loans) HARP/RTM HAMP Other Mod 97.7% 76.8% 73.4% % Current at 12/31/2015 (# of loans) HARP/RTM HAMP Other Mod 97.2% 76.0% 73.4% 2

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 1.5% 1.8% 4.5% 4.6% 29.8% 30.4% 48.0% 44.5% 16.2% 18.7% Note: Charts may not add to 100% due to rounding. 3 Total 80 and < 80.01-85 85.01-90 90.01-95 95.01-100 0% 50% 100% 2015 2014 3.8% 3.7% 29.8% 30.4% 50.1% 46.9% 16.2% 19.0% Flow Original LTV

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 13.2% 15.2% 15.8% 16.0% 23.8% 23.2% 47.2% 45.6% Note: Charts may not add to 100% due to rounding. 4 Total 659 and < 660 - 699 700 - 739 740 and > 0% 50% 100% 2015 2014 9.7% 11.1% 15.7% 16.0% 24.8% 24.3% 49.8% 48.6% Flow Original FICO Refer to pages 13 and 14 of this supplement for Original FICO by Origination Year information. The percentage of primary risk in force previously displayed in the "Not Reported" category is now included in the "659 and <" Original FICO category. "Not Reported" is less than 1% for Total and Flow in both periods presented.

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 7.0% 7.9% 33.9% 35.3% 30.7% 29.9% 26.1% 22.6% 2.3% Note: Charts may not add to 100% due to rounding. 5 Total 100k and < 101 - 200k 201 - 300k 301k - Conf Conf - 500k 500k and > 0% 50% 100% 2015 2014 6.6% 7.5% 34.0% 35.6% 31.2% 30.5% 26.7% 23.2% Flow Loan Amount 1.2% 2.0% 1.6% 1.7%

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 95.0% 93.8% 2.0% 2.3% Note: Charts may not add to 100% due to rounding. FRM includes ARMs with initial reset periods of greater than 5 years, ARM I/O includes all ARMs regardless of reset period. 6 Total FRM FRM I/O ARM I/O* Option ARM* ARM* 0% 50% 100% 2015 2014 96.8% 95.9% 1.6% 1.9% Flow Loan Type *ARM I/O, Option ARM, and ARM are each individually less than 2% for Total and Flow in both periods presented.

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 79.2% 76.8% 14.5% 15.4% 6.4% 7.8% Note: Charts may not add to 100% due to rounding. 7 Total Purchase Refinance Refinance Equity 0% 50% 100% 2015 2014 82.1% 80.2% 14.9% 16.1% 2.9% 3.7% Flow Loan Purpose

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 87.4% 87.0% 11.9% 12.3% Note: Charts may not add to 100% due to rounding. 8 Total Single Family Detached Condo/Townhouse/Other Attached Coop/Other (1% or less) 0% 50% 100% 2015 2014 87.3% 87.0% 12.0% 12.3% Flow Property Type

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 96.8% 96.4% 2.2% 2.3% Note: Charts may not add to 100% due to rounding. 9 Total Owner 2nd Home Investor (2% or less) 0% 50% 100% 2015 2014 96.9% 96.6% 2.2% 2.3% Flow Occupancy

 
Primary Risk in Force December 31, 0% 50% 100% 2015 2014 96.1% 95.2% 3.1% 3.8% 10 Total Full Stated No Doc (1% or less) 0% 50% 100% 2015 2014 97.9% 97.3% 1.5% 1.9% Flow Documentation Note: Charts may not add to 100% due to rounding. In accordance with industry practice, loans approved by GSE and other automated underwriting (AU) systems under "doc waiver" programs that do not require verification of borrower income are classified by MGIC as "full doc." Based in part on information provide by the GSEs, MGIC estimates full doc loans of this type were approximately 4% of 2007 NIW. Information for other periods is not available. MGIC understands these AU systems grant such doc waivers for loans they judge to have higher credit quality. MGIC also understands that the GSEs terminated their "doc waiver" programs in the second half of 2008.

 
Primary Risk in Force December 31, Note: Charts may not add to 100% due to rounding. Year of origination as displayed is determined by the calendar date the insurance was effective. 12/31/2014 12/31/2015 (% labeled) Total 25% 20% 15% 10% 5% 0% 20 15 20 14 20 13 20 12 20 11 20 10 20 09 20 08 20 07 20 06 20 05 20 04 an d Pr io r Year of Origination 22.2% 16.1% 11.2% 7.3% 2.6% 1.7% 1.7% 7.2% 14.0% 6.8% 4.3% 4.9% 11 12/31/2014 12/31/2015 (% labeled) Flow 25% 20% 15% 10% 5% 0% 20 15 20 14 20 13 20 12 20 11 20 10 20 09 20 08 20 07 20 06 20 05 20 04 an d Pr io r Year of Origination 23.8% 17.3% 12.0% 7.8% 2.7% 1.8% 1.8% 7.6% 13.4% 5.2% 3.3% 3.3%

 
Primary Risk in Force December 31, 2015 Total 8% 6% 4% 2% 0% % R IF CA FL TX PA OH IL MI NY GA WA 7.8% 6.3% 6.3% 5.2% 4.8% 4.1% 3.7% 3.4% 3.3% 3.3% Flow 8% 6% 4% 2% 0% % R IF CA TX FL PA OH IL MI WA GA WI 7.4% 6.3% 5.8% 5.3% 4.9% 4.1% 3.8% 3.3% 3.3% 3.3% 12

 
Primary Risk in Force December 31, 2015 TOTAL: ORIGINATION YEAR 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 & Prior Original risk written (billions) $10.4 $8.7 $7.4 $6.1 $3.5 $3.1 $4.0 $10.7 $20.1 $16.1 $16.8 $181.5 % of original risk remaining 97.6 83.8 68.5 54.1 32.7 24.7 19.4 30.6 31.7 19.2 11.7 1.2 Weighted average FICO (1) 743 742 751 757 755 754 749 722 692 672 668 655 740 and > (%) 57.1 55.4 63.8 70.6 68.9 67.1 61.1 40.1 26.2 20.3 19.1 13.1 700 - 739 (%) 25.6 26.3 24.8 22.3 23.4 24.7 29.3 28.4 22.0 18.5 18.8 15.8 660 - 699 (%) 13.7 14.5 10.4 7.0 7.6 8.2 8.8 20.9 22.9 20.8 22.1 22.7 659 and < (%) 3.6 3.7 1.1 0.1 0.1 0.1 0.9 10.6 28.9 40.4 40.0 48.4 Weighted average LTV (1) 92.5 92.7 92.8 92.6 92.5 92.2 91.5 93.5 95.4 93.7 93.1 90.8 85 and < (%) 5.5 4.7 4.1 3.3 2.4 0.5 3.9 3.3 3.8 11.2 12.2 23.0 85.01 - 90.00 (%) 31.1 28.8 28.7 33.0 37.4 44.7 51.2 35.0 22.9 26.5 28.9 27.0 90.01 - 95.00 (%) 58.6 64.9 60.6 58.9 57.0 53.7 43.4 38.7 25.4 23.3 26.0 25.8 95.01 and > (%) 4.9 1.7 6.6 4.8 3.3 1.2 1.5 23.0 48.0 39.1 32.9 24.2 Single premium (%) 19.6 16.7 11.7 12.9 9.9 5.0 10.1 22.4 16.6 10.6 9.2 5.1 Investor (%) 0.1 — — — — — — 1.6 2.0 2.8 3.8 5.9 DTI > 50% (%) 0.7 0.6 0.1 — — — 0.6 22.4 29.5 21.2 17.8 16.8 Full documentation (%) 100.0 100.0 100.0 100.0 100.0 100.0 100.0 98.3 90.5 83.0 86.2 86.2 Cashout refinances (%) 0.1 0.8 0.4 0.1 0.1 — 1.2 6.5 11.5 23.5 25.5 27.4 HARP (%) — — — — 0.1 0.1 24.2 51.1 36.9 26.9 23.7 14.2 Delinquency statistics: Risk in force delinquent (%) 0.1 0.5 0.6 0.6 0.9 1.6 2.7 8.0 14.9 18.9 19.1 20.0 Delinquency rate (based on loan count) (%) 0.1 0.5 0.6 0.6 1.0 1.7 2.5 7.3 13.2 15.5 15.8 17.4 # of new notices received in quarter 226 532 342 215 123 103 183 1,658 5,677 3,161 2,072 4,167 New notices previously delinquent (%) 4.9 27.1 36.5 43.7 60.2 60.2 61.2 79.6 87.3 88.5 88.0 94.2 Loans remaining never reported delinquent (%) 99.8 99.1 98.8 98.5 97.4 95.5 92.3 72.9 55.3 50.7 49.7 42.0 Ever to date claims paid (millions) $— $0.4 $1.2 $3.4 $5.7 $12.3 $51.6 $999.2 $4,684.8 $3,593.5 $2,486.4 N.M. 13 Year of origination as displayed is determined by the calendar date the insurance was effective. Percentages based on remaining risk in force, including the percentage of risk in force delinquent. Other delinquency statistics are based on the number of remaining loans. (1) At time of origination

 
Primary Risk in Force December 31, 2015 FLOW: ORIGINATION YEAR 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 & Prior Original risk written (billions) $10.4 $8.7 $7.4 $6.1 $3.5 $3.1 $4.0 $10.5 $18.1 $10.1 $10.2 $152.4 % of original risk remaining 97.7 83.8 68.5 54.1 32.8 24.9 19.3 30.9 31.5 21.9 13.8 0.9 Weighted average FICO (1) 743 742 751 757 755 754 749 722 694 688 684 668 740 and > (%) 57.1 55.4 63.8 70.6 68.9 67.1 61.1 39.9 26.2 25.7 25.2 17.8 700 - 739 (%) 25.6 26.3 24.8 22.3 23.4 24.7 29.3 28.4 22.6 22.6 23.3 20.0 660 - 699 (%) 13.7 14.5 10.4 7.0 7.6 8.2 8.8 21.1 23.8 23.3 24.2 25.8 659 and < (%) 3.6 3.7 1.1 0.1 0.1 0.1 0.9 10.6 27.4 28.6 27.4 36.4 Weighted average LTV (1) 92.5 92.7 92.8 92.6 92.5 92.2 91.5 93.5 95.7 95.5 95.3 94.7 85 and < (%) 5.5 4.7 4.1 3.3 2.4 0.5 3.9 3.3 2.3 2.2 2.0 3.2 85.01 - 90.00 (%) 31.1 28.8 28.7 33.0 37.4 44.7 51.2 35.1 22.8 24.8 25.1 24.7 90.01 - 95.00 (%) 58.6 64.9 60.6 58.9 57.0 53.7 43.4 39.0 25.7 24.8 29.5 35.1 95.01 and > (%) 4.9 1.7 6.6 4.8 3.3 1.2 1.5 22.5 49.3 48.2 43.4 37.0 Single premium (%) 19.6 16.7 11.7 12.9 9.9 5.0 10.1 22.6 13.9 13.7 12.8 8.0 Investor (%) 0.1 — — — — — — 1.6 2.1 2.5 3.7 5.9 DTI > 50% (%) 0.7 0.6 0.1 — — — 0.6 22.5 31.3 25.5 21.3 17.7 Full documentation (%) 100.0 100.0 100.0 100.0 100.0 100.0 100.0 98.3 92.4 90.8 92.6 92.8 Cashout refinances (%) 0.1 0.8 0.4 0.1 0.1 — 1.2 6.5 8.6 9.9 9.4 6.9 HARP (%) — — — — 0.1 0.1 24.2 51.5 40.4 37.3 32.8 22.4 Delinquency statistics: Risk in force delinquent (%) 0.1 0.5 0.6 0.6 0.9 1.6 2.7 8.0 14.1 14.5 14.2 18.3 Delinquency rate (based on loan count) (%) 0.1 0.5 0.6 0.6 1.0 1.7 2.5 7.4 12.8 12.9 12.8 15.6 # of new notices received in quarter 226 532 342 215 123 103 183 1,656 5,146 2,386 1,485 2,330 New notices previously delinquent (%) 4.9 27.1 36.5 43.7 60.2 60.2 61.2 79.6 86.7 86.6 85.9 94.1 Loans remaining never reported delinquent (%) 99.8 99.1 98.8 98.5 97.4 95.5 92.3 72.8 56.3 57.4 57.5 48.1 Ever to date claims paid (millions) $— $0.4 $1.2 $3.4 $5.7 $12.3 $51.6 $993.1 $4,151.5 $1,998.0 $1,398.5 N.M. 14 Year of origination as displayed is determined by the calendar date the insurance was effective. Percentages based on remaining risk in force, including the percentage of risk in force delinquent. Other delinquency statistics are based on the number of remaining loans. (1) At time of origination

 
Flow Primary Risk in Force December 31, 2015 Static Pool Delinquency Rates Based on Loan Count 1H 2009 2H 2009 1H 2010 2H 2010 1.2% 1.0% 0.8% 0.6% 0.4% 0.2% 0.0% Q 1 Q 4 Q 7 Q 10 Q 13 Q 16 Q 19 Q 22 Q 25 Q 28 1H 2011 2H 2011 1H 2012 2H 2012 1H 2013 2H 2013 1H 2014 2H 2014 1H 2015 2H 2015 0.60% 0.50% 0.40% 0.30% 0.20% 0.10% 0.00% Q 1 Q 2 Q 3 Q 4 Q 5 Q 6 Q 7 Q 8 Q 9 Q 10 Q 11 Q 12 Q 13 Q 14 Q 15 Q 16 Q 17 Q 18 Q 19 Q 20 1H 2007 2H 2007 1H 2008 2H 2008 18% 15% 12% 9% 6% 3% 0% Q 1 Q 6 Q 11 Q 16 Q 21 Q 26 Q 31 Q 36 Static Pool Delinquency Rates = (total number of delinquent loans at the end of the stated reporting period) / (original number of loans insured in the 6 month periods shown) 15

 

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