Enact Mortgage Insurance Enters Into a Forward XOL Reinsurance Transaction as Part of its Diversified Credit Risk Transfer Program
Rhea-AI Summary
Enact Holdings (Nasdaq: ACT) announced that Enact Mortgage Insurance Corporation secured approximately $170 million of excess of loss (XOL) reinsurance from a panel of third‑party reinsurers. The coverage is effective January 1, 2027 and covers a portion of expected new insurance written for the 2027 book year (policies written Jan. 1, 2027–Dec. 31, 2027).
Reinsurers participating in the transaction carry ratings of A- or better from S&P or A.M. Best, or A3 or better from Moody’s. Management described the deal as part of its ongoing credit risk transfer strategy and emphasized continued risk management discipline.
Positive
- Secured approximately $170 million of XOL reinsurance
- Coverage effective January 1, 2027 for the 2027 book year
- Reinsurer panel rated A- / A3 or better
Negative
- Coverage applies to only a portion of expected new insurance for 2027
News Market Reaction
On the day this news was published, ACT gained 0.62%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Secures approximately
RALEIGH, N.C., Oct. 30, 2025 (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 secured approximately
“Today’s transaction reflects the continued successful execution of our CRT strategy,” said Rohit Gupta, President and CEO of Enact. “We remain committed to our disciplined approach to risk management and to continuing to deliver value for all our stakeholders.”
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 1981, 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 Daniel Kohl EnactIR@enactmi.com Media Contact Sarah Wentz Sarah.Wentz@enactmi.com
FAQ
What did Enact (ACT) announce on October 30, 2025 about reinsurance?
When does the Enact (ACT) XOL reinsurance coverage become effective?
How strong are the reinsurers backing Enact (ACT)’s XOL transaction?
Does the Enact (ACT) transaction cover all new 2027 insurance?
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