NMI Holdings Reports 5.9% Revenue Growth to $183.5 Million in Q1 2026

NMI Holdings, Inc. reported its financial results for the first quarter of 2026, revealing a total revenue of $183.5 million, a 5.9% increase from $173.2 million in the same period last year. The growth was primarily driven by an increase in net premiums earned, which rose to $154.8 million from $149.4 million, alongside a notable rise in net investment income, which increased to $28.6 million from $23.7 million. However, the company experienced a decline in net income, which fell to $99.3 million, down from $102.6 million in the prior year, resulting in a diluted earnings per share of $1.28, unchanged from the previous year.

The company noted significant changes in its claims expenses, which surged to $20.7 million from $4.5 million, reflecting an increase in the number of newly defaulted loans and higher average case reserves. This increase in claims expenses contributed to a loss ratio of 13.3%, up from 3.0% in the prior year. The overall expense ratio also saw a slight increase to 19.8% from 20.2%. Despite these challenges, NMI Holdings maintained a strong capital position, with total assets rising to $3.91 billion, up from $3.84 billion at the end of 2025.

Operationally, NMI Holdings reported a total of 684,977 policies in force as of March 31, 2026, a slight increase from 684,058 at the end of 2025. The company’s insurance-in-force (IIF) grew to $222.3 billion, reflecting a 5% increase year-over-year, driven by new insurance written (NIW) of $12.3 billion, which marked a 33% increase compared to the same quarter in 2025. The persistency rate, however, decreased to 82.2% from 84.3%, indicating a slight decline in the retention of policies.

Strategically, NMI Holdings continues to focus on expanding its customer base and enhancing its market presence. The company has issued master policies with 2,209 customers, including various types of lenders. The firm is also actively managing its risk through third-party reinsurance arrangements, which have been instrumental in maintaining compliance with the Private Mortgage Insurer Eligibility Requirements (PMIERs). As of March 31, 2026, NMI Holdings reported available assets of $3.63 billion, exceeding the net risk-based required assets of $2.17 billion, indicating a solid capital position to support future growth.

Looking ahead, NMI Holdings remains cautious about macroeconomic conditions, including inflation and interest rates, which could impact the housing market and mortgage insurance industry. The company is committed to maintaining its financial strength and profitability while navigating these challenges, with a focus on disciplined risk selection and customer service excellence.