Radian Releases Monthly Operating Statistics for January 2021

Rhea-AI Summary

Radian Guaranty Inc. released its January 2021 operational statistics, highlighting key credit performance metrics for its insured portfolio. The report indicates a beginning primary default inventory of 55,537 loans, with 4,664 new defaults and (5,674) cures. Claims paid totaled (41), and rescissions and claim denials netted 2. The ending primary default inventory decreased to 54,488 loans, reflecting a slight improvement in loan performance.

Positive

• Ending primary default inventory decreased to 54,488 loans from 55,537 in December 2020.
• Cures increased to (5,674) in January from (6,244) in December, indicating improved borrower recovery.

Negative

• New defaults remained high at 4,664, impacting overall portfolio stability.
• Claims paid slightly increased by 3 from December to January, indicating ongoing financial exposure.

Radian Guaranty Inc., the mortgage insurance subsidiary of Radian Group Inc., today released monthly operating statistics related to the credit performance of its insured portfolio for the month of January 2021. The information includes total new primary defaults, which include defaults under forbearance programs in response to the COVID-19 pandemic, as well as cures, claims paid and rescissions/denials. The information regarding new defaults and cures is reported to Radian Guaranty from loan servicers. The company considers a loan to be in default for financial statement and internal tracking purposes upon receipt of notification by servicers that a borrower has missed two monthly payments. Default reporting, particularly on a monthly basis, may be affected by several factors, including the date on which the loan servicer’s report is generated and transmitted to Radian Guaranty, the impact of updated information submitted by servicers and the timing of servicing transfers.

	January 2021	December 2020	November 2020
Beginning Primary Default Inventory (# of loans)	55,537	57,176	59,604
New Defaults	4,664	4,659	4,807
Cures	(5,674)	(6,244)	(7,183)
Claims Paid (1)	(41)	(44)	(54)
Rescissions and Claim Denials, net (2)	2	(10)	2
Ending Primary Default Inventory	54,488	55,537	57,176

(1) Includes those charged to a deductible under pool insurance arrangements, as well as commutations.
(2) Net of any previous rescissions and claim denials that were reinstated during the period. Such reinstated rescissions and claim denials may ultimately result in a paid claim.

About Radian
Radian Group Inc. (NYSE: RDN) is ensuring the American dream of homeownership responsibly and sustainably through products and services that include industry-leading mortgage insurance and a comprehensive suite of mortgage, risk, title, valuation, asset management and other real estate services. We are powered by technology, informed by data and driven to deliver new and better ways to transact and manage risk. Visit www.radian.com to learn more about how Radian is shaping the future of mortgage and real estate services.

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FAQ

What are the January 2021 statistics for Radian Group's mortgage insurance?

In January 2021, Radian reported 55,537 beginning primary defaults, 4,664 new defaults, and cures of (5,674).

How did the primary default inventory change from December 2020 to January 2021 for RDN?

The primary default inventory decreased from 55,537 loans in December 2020 to 54,488 loans in January 2021.

What does an increase in cures indicate for Radian's portfolio?

An increase in cures, rising to (5,674) in January, suggests improved borrower recovery and stability in Radian's insured portfolio.

What was the total number of claims paid by Radian in January 2021?

Radian paid a total of (41) claims in January 2021.

How did new defaults in January 2021 compare to December 2020 for RDN?

New defaults in January 2021 were 4,664, slightly higher than December 2020's 4,659.