Enact Mortgage Insurance Enters Into a Forward Quota Share Reinsurance Transaction as Part of its Diversified Credit Risk Transfer Program
The agreement covers a portion of expected 2028 new insurance, with all participating reinsurers meeting stated rating thresholds.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Enact Holdings (ACT) has entered into a forward quota share reinsurance agreement through its flagship subsidiary, Enact Mortgage Insurance Corporation.
Under the agreement, and subject to certain conditions, Enact will transfer approximately 35% of a portion of expected new insurance written from January 1, 2028 through December 31, 2028. Quota share reinsurance transfers a specified share of insurance risk to reinsurers. Each participating reinsurer is currently rated A- or better by Standard & Poor’s or A.M. Best, or A3 or better by Moody’s. Enact describes the agreement as a step in advancing its credit risk transfer program and managing and distributing risk.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Moderate point. Forward-looking: it has not happened yet and may not happen.Signed reinsurance agreement provides for transferring approximately 35% of a portion of expected 2028 new insurance.
- Minor pointParticipating reinsurers currently hold A- or better ratings from S&P or A.M. Best, or A3 or better from Moody’s.
Negative
- Minor point. Forward-looking: it has not happened yet and may not happen.Risk transfer is conditional: the planned cession remains subject to certain conditions.
Key Figures
- Quota share coverage
- 35%
- Of a portion of expected new insurance written for 2028; subject to conditions
Key Terms
AI-generated analysis. How Rhea-AI works. Not financial advice.
Secures approximately
RALEIGH, N.C., Oct. 01, 2026 (GLOBE NEWSWIRE) -- Enact Holdings, Inc. (Nasdaq: ACT) (Enact), a leading provider of private mortgage insurance through its insurance subsidiaries, today announced that its flagship legal entity, Enact Mortgage Insurance Corporation, has entered into a quota share reinsurance agreement with a panel of reinsurers each currently rated “A-” or better by Standard & Poor’s (“S&P”) or A.M. Best Company, Inc., or rated “A3” or better by Moody’s.
Under the agreement, and subject to certain conditions, Enact will cede approximately
“This agreement represents another step in the continued advancement of our CRT program and our prudent approach to managing and distributing risk,” said Rohit Gupta, President and CEO of Enact. “We remain committed to further strengthening the resilience of our portfolio while driving sustainable long-term value creation for shareholders.”
Safe Harbor Statement
This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may address, among other things, our expected financial and operational results, the related assumptions underlying our expected results, guidance concerning the future return of capital and the quotations of management. These forward-looking statements are distinguished by use of words such as “will,” “may,” “would,” “anticipate,” “expect,” “believe,” “designed,” “plan,” “predict,” “project,” “target,” “could,” “should,” or “intend,” the negative of these terms, and similar references to future periods. These views involve risks and uncertainties that are difficult to predict and, accordingly, our actual results may differ materially from the results discussed in our forward-looking statements. Our forward-looking statements contained herein speak only as of the date of this press release. Factors or events that we cannot predict, including risks related to an economic downturn or a recession in the United States and in other countries around the world; changes in political, business, regulatory, and economic conditions; changes in or to Fannie Mae and Freddie Mac (the “GSEs”), whether through Federal legislation, restructurings or a shift in business practices; failure to continue to meet the mortgage insurer eligibility requirements of the GSEs; competition for customers; lenders or investors seeking alternatives to private mortgage insurance; an increase in the number of loans insured through Federal government mortgage insurance programs, including those offered by the Federal Housing Administration; and other factors described in the risk factors contained in our most recent Annual Report on Form 10-K and other filings with the SEC, may cause our actual results to differ from those expressed in forward-looking statements. Although Enact believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, Enact can give no assurance that its expectations will be achieved and it undertakes no obligation to update publicly any forward-looking statements as a result of new information, future events, or otherwise, except as required by applicable law.
About Enact Holdings, Inc.
Enact (Nasdaq: ACT), operating principally through its wholly-owned subsidiary Enact Mortgage Insurance Corporation since 1980, is a leading U.S. private mortgage insurance provider committed to helping more people achieve the dream of homeownership. Building on a deep understanding of lenders' businesses and a legacy of financial strength, we partner with lenders to bring best-in class service, leading underwriting expertise, and extensive risk and capital management to the mortgage process, helping to put more people in homes and keep them there. By empowering customers and their borrowers, Enact seeks to positively impact the lives of those in the communities in which it serves in a sustainable way. Enact is headquartered in Raleigh, North Carolina.
This press release was published by a CLEAR® Verified individual.
Investor Contact Jonathan Fleetwood EnactIR@enactmi.com Media Contact Sarah Wentz Sarah.Wentz@enactmi.com
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