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Rating:Lenders mortgage insurance, also known as private mortgage insurance in the US, is insurance payable to a lender or trustee for a pool of securities that may be required when taking out a mortgage loan. It is insurance to offset losses in the case where a mortgagor is not able to repay the loan and the lender is not able to recover its costs after foreclosure and sale of the mortgaged property.
read more:''For information on insurance guaranteeing payment of the mortgage in the event of death or disability, see mortgage life insurance.'' Mortgage insurance is an insurance policy which compensates lenders or investors for losses due to the default of a mortgage loan. Mortgage insurance can be either public or private depending upon the insurer.
read moreThe PMI Group is a holding company whose primary subsidiary is the PMI Mortgage Insurance Co.. PMI has a 50% equity ownership in CMG Mortgage Insurance Company and CMG Mortgage Assurance Company, a provider of private mortgage insurance to the credit union industry. The company was founded in 1972 by Preston Martin and is headquartered in Walnut Creek, California. In October 2011, Arizona insurance regulators seized PMI's main subsidiary and reduced claim payouts to 50% of the claim made with the balance of each claim being deferred.
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