Suzanne Hutchinson will retire at the end of the year from her post as executive vice president of the Mortgage Insurance Cos. of America. She has been in the position for 22 years.
She is leaving at a time when the future of the private mortgage insurance industry is very cloudy.
Since the start of the housing crisis, three companies—Triad, PMI and Republic Mortgage Insurance Co.—have stopped writing new business as they suffered heavy losses.
Other firms, while writing higher-quality business today, are still taking financial hits on their legacy book of business.
Then there is the ongoing saga of the future of Fannie Mae and Freddie Mac, low downpayment mortgages and the qualified residential mortgage definition plus the role of private capital in the mortgage marketplace and where MI fits in.
On the good news side, there is one newcomer to the industry, Essent, which has started issuing policies, while former PMI executive Bradley Shuster is raising capital for his start-up NMI.
In its statement, MICA said that it would conduct a search for new executive leadership whose job includes “positioning the organization and communicating the continued need for private mortgage insurance in a new residential housing reform structure.”