Powered by MOMENTUM MEDIA
subscribe to our newsletter

Genworth to continue insuring NAB’s broker loans

LMI provider Genworth announced this week that it has extended its contract with NAB for the provision of mortgage insurance to the major bank’s third-party business.

In a trading update, Genworth said that the term of the contract has been extended for one year to 20 November 2018. The group noted that the extended contract does not change the guidance, provided that Gross Written Premium (GWP) will be down by 10 to 15 per cent in 2017.

The NAB broker business contract represented 10 per cent of GWP in 2016.

“We look forward to continuing to build on our long-standing partnership with NAB under this extended agreement,” Genworth CEO and managing director Georgette Nicholas said. “We are focused on delivering risk and capital management solutions for our customers and we’re delighted that we have been able to continue to be the LMI provider for NAB’s broker business.

“Genworth remains committed to supporting Australians realise their dream of home ownership. Our focus continues to be on the provision of capital and risk management solutions to our lender customers, being a strong risk management partner and using our data and analytics to provide insights to this changing market.”

Advertisement
Advertisement

Genworth lost a lucrative contract with Macquarie Bank earlier in the year.

CBA, Australia’s biggest mortgage provider, renewed its deal with the LMI provider in November 2016, extending it by three years.

Last week, Genworth has had its A3 credit rating downgraded by Moody’s, with the agency citing “high and rising level of tail risks” as the catalyst.

[Related: Genworth profit falls by 35%]

Genworth to continue insuring NAB’s broker loans

PROMOTED CONTENT


>In a trading update, Genworth said that the term of the contract has been extended for one year to 20 November 2018. The group noted that the extended contract does not change the guidance, provided that Gross Written Premium (GWP) will be down by 10 to 15 per cent in 2017.

The NAB broker business contract represented 10 per cent of GWP in 2016.

“We look forward to continuing to build on our long-standing partnership with NAB under this extended agreement,” Genworth CEO and managing director Georgette Nicholas said. “We are focused on delivering risk and capital management solutions for our customers and we’re delighted that we have been able to continue to be the LMI provider for NAB’s broker business.

“Genworth remains committed to supporting Australians realise their dream of home ownership. Our focus continues to be on the provision of capital and risk management solutions to our lender customers, being a strong risk management partner and using our data and analytics to provide insights to this changing market.”

Genworth lost a lucrative contract with Macquarie Bank earlier in the year.

CBA, Australia’s biggest mortgage provider, renewed its deal with the LMI provider in November 2016, extending it by three years.

Last week, Genworth has had its A3 credit rating downgraded by Moody’s, with the agency citing “high and rising level of tail risks” as the catalyst.

[Related: Genworth profit falls by 35%]

Genworth to continue insuring NAB’s broker loans
mortgagebusiness

Latest News

Reverse mortgage lenders have accessed a small fraction of the potential retiree housing market in Australia, according to Deloitte. ...

Pepper Money has priced its second I-Prime deal for the year, upsizing the figure to $850 million. ...

The LMI provider has announced a new CFO following the resignation of its current CFO, effective 24 September. ...

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

How long do you think it should take to discharge a mortgage?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.