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Genworth’s MI Unit Lost $368 Million in 2008

Published March 6, 2009 2:33 PM EST 1 Min Read

The mortgage insurance division of Genworth Financial lost $368 million in 2008 compared to a $167 million profit the year before as default claims swamped the unit.

According to the Quarterly Data Report, Genworth one of the industry’s most conservatively managed MIs ranks fourth nationwide in terms of policies-in-force with $147 billion.

Genworth’s shares have been trading under $1 for the past two weeks.

Meanwhile, according to a recent report in Reuters, the U.S. Treasury Department has no current plans to give the ailing MI sector an injection of capital using Troubled Asset Relief Program (TARP) funds.

As reported by National Mortgage News, Federal Housing Finance Agency chief James Lockhart is in favor of the MIs receiving a capital injection under TARP.

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