TORONTO, Sept. 26, 2016 /CNW/ – Genworth MI Canada Inc. (the “Company”) (TSX: MIC) announced that on September 23, 2016, the Office of the Superintendent of Financial Institutions (“OSFI”) released a draft advisory for comment titled “Capital Requirements for Federally Regulated Mortgage Insurers”. This draft advisory provides a new standard framework for determining the capital requirements for residential mortgage insurance companies. The proposed framework is more risk sensitive and incorporates additional risk attributes, including credit score, remaining amortization and outstanding loan balance. The comment period for the draft advisory ends on October 21, 2016, after which OSFI intends to finalize the advisory. The finalized advisory will come into force on January 1, 2017, replacing OSFI’s current advisory, “Interim Capital Requirements for Mortgage Insurance Companies”, which has been in effect since January 2015.
Further to the press release issued on September 23, 2016, the Company has summarized the key elements, along with examples of how the formulas may be interpreted, to allow for a better understanding of the draft framework, entitled “Primer on Proposed New Regulatory Capital Framework for Mortgage Insurers” (posted on the Company’s website at: www.genworth.ca). Download as a PDF here.
About Genworth MI Canada Inc.
Genworth MI Canada Inc. (TSX: MIC) through its subsidiary, Genworth Financial Mortgage Insurance Company Canada (Genworth Canada), is the largest private residential mortgage insurer in Canada. The Company provides mortgage default insurance to Canadian residential mortgage lenders, making homeownership more accessible to first-time homebuyers. Genworth Canada differentiates itself through customer service excellence, innovative processing technology, and a robust risk management framework. For more than two decades, Genworth Canada has supported the housing market by providing thought leadership and a focus on the safety and soundness of the mortgage finance system. As at June 30th, 2016, Genworth Canada had $6.4 billion total assets and $3.6 billion shareholders’ equity. Find out more at www.genworth.ca.
SOURCE Genworth MI Canada