Essent Guaranty, a subsidiary of Essent Group, has obtained $495.9 million of fully collateralised excess of loss reinsurance coverage from the capital markets.
Radnor Re 2020-1, a newly formed and independent Bermuda special purpose insurer that is not affiliated with Essent Group, provided reinsurance coverage for mortgage insurance policies Essent wrote between January and August 2019. The cover was funded via six mortgage insurance-linked notes to eligible third party capital markets investors in an unregistered private offering.
Radnor Re’s six notes all had 10-year legal maturities, and paid interest rates ranging from Libor plus 95 basis points to Libor plus 300 basis points.
Essent Guaranty, Radnor Re