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Reinsurance (Tables)
 9 Months Ended
Sep. 30, 2025
Reinsurance Disclosures [Abstract]  
Schedule of Effect of Reinsurance Agreements on Premiums Written and Earned
The effect of our reinsurance agreements on premiums written and earned is as follows:
For the three months ended September 30,For the nine months ended September 30,
2025202420252024
(In Thousands)
Net premiums written
Direct$181,416 $170,541 $533,745 $499,931 
Ceded (1)
(34,456)(33,860)(99,346)(99,191)
Net premiums written$146,960 $136,681 $434,399 $400,740 
Net premiums earned
Direct$185,779 $177,283 $549,166 $520,634 
Ceded (1)
(34,456)(33,940)(99,411)(99,466)
Net premiums earned$151,323 $143,343 $449,755 $421,168 
(1)    Net of profit commission.
The following table presents the inception date, covered production period, contractual and optional termination dates, current cession rate, ceding commission and profit commission for each outstanding QSR Transaction. Current amounts are presented as of September 30, 2025.
Inception Date
Covered Production
Contractual Termination date
Optional Termination date
Ceding Percentage
Ceding Commission
Profit Commission
2018 QSR
1/1/2018
1/1/2018 – 12/31/2018
1/1/2019 – 12/31/2019
12/31/2029
12/31/2022 (1)
21%
17% (5)
20%up to 61%
2020 QSR
4/1/20204/1/2020 – 12/31/202012/31/2030
12/31/2025 (1)
21%
36%up to 50%
2021 QSR
1/1/20211/1/2021 – 10/30/202112/31/2031
12/31/2024 (1)
20%
35%up to 54%
2022 QSR
10/1/202110/30/2021 – 12/31/202212/31/2032
12/31/2024 (2)
20%
20%up to 62%
2022 Seasoned QSR
7/1/2022
1/1/2013 – 12/31/2016
7/1/2019 –3/31/2020
6/30/2032
6/30/2025 (3)
95% (6)
35%up to 55%
2023 QSR
1/1/20231/1/2023 – 12/31/202312/31/2033
12/31/2025 (2)
20%
20%up to 62%
2024 QSR
1/1/20241/1/2024 – 12/31/202412/31/2034
12/31/2027 (1)
20%
20%up to 56%
2025 QSR
1/1/20251/1/2025 – 12/31/202512/31/2035
12/31/2027 (4)
20%
20%up to 62%
(1)    NMIC has the option, based on certain conditions and subject to a termination fee, to terminate the agreement as of the optional termination date, or at the end of any calendar quarter thereafter which could result in NMIC recapturing the related risk.
(2)    NMIC has the option, based on certain conditions and subject to a termination fee, to terminate the agreement as of the optional termination, or semi-annually thereafter, which could result in NMIC recapturing the related risk.
(3)    NMIC has the option, based on certain conditions, to terminate the agreement as of June 30, 2025 or quarterly thereafter through December 31, 2027 with the payment of a termination fee, and as of March 31, 2028 or quarterly thereafter without the payment of a termination fee. Such termination could result in NMIC recapturing the related risk.
(4)    NMIC also holds a clean-up call that provides for termination of the agreement at its election at any time on or after the date the risk on remaining covered policies falls to 10% or less of the risk on covered policies at December 31, 2025.
(5)    Under the terms of the 2018 QSR Transaction, NMIC cedes premiums earned related to 21% of the risk on eligible policies written in 2018 and 17% of the risk on eligible policies written in 2019.
(6)    Under the terms of the 2022 Seasoned QSR Transaction, NMIC cedes premiums earned related to 95% of the risk on eligible policies after the consideration of coverage provided by other QSR transactions.
The following table shows amounts related to the QSR Transactions:
As of and for the three months endedAs of and for the nine months ended
September 30, 2025September 30, 2024September 30, 2025September 30, 2024
(In Thousands)
Ceded risk-in-force$12,699,082 $12,968,039 $12,699,082 $12,968,039 
Ceded premiums earned(39,847)(41,761)(121,085)(124,585)
Ceded claims and claim expenses (1)
4,123 2,449 7,899 2,970 
Ceding commission earned10,246 10,152 29,683 30,666 
Profit commission19,083 21,883 62,439 69,641 
(1)    Includes a $0.3 million termination fee for the nine months ended September 30, 2025 incurred in connection with the termination of the 2016 QSR Transaction and amendment of the 2018 and 2021 QSR Transactions.
Schedule of XOL Transactions
The following table presents the inception date, covered production period, initial and current reinsurance coverage amount, and initial and current first layer retained aggregate loss under each outstanding XOL Transaction. Current amounts are presented as of September 30, 2025.
($ values in thousands)Inception DateCovered Production
Initial Reinsurance Coverage
Current Reinsurance CoverageInitial First Layer Retained Loss
Current First Layer Retained Loss (1)
2022-1 XOL
April 1, 2022
10/1/2021 – 3/31/2022 (2)
$289,741 $156,776 $133,366 $130,371 
2022-2 XOL
July 1, 2022
4/1/2022 – 6/30/2022 (3)
154,306 111,008 78,906 74,989 
2022-3 XOL
October 1, 20227/1/2022 – 9/30/202296,779 71,976 106,265 102,730 
2023-1 XOL
January 1, 202310/1/2022 – 6/30/202389,864 66,578 146,513 143,341 
2023-2 XOL
July 1, 2023
7/1/2023 – 12/31/2023
100,777 77,129 136,875 136,070 
2024 XOL
January 1, 2024
1/1/2024 – 12/31/2024
162,500 162,500 312,172 312,057 
2025 XOL(4)
January 1, 2025
1/1/2025 – 12/31/2025
206,217 206,217 233,783 233,783 
(1)    NMIC applies claims paid on covered policies against its first layer aggregate retained loss exposure and cedes reserves for incurred claims and claim expenses to each applicable XOL Transaction and recognizes a reinsurance recoverable if such incurred claims and claim expenses exceed its current first layer retained loss.
(2)    Approximately 1% of the production covered by the 2022-1 XOL Transaction has coverage reporting dates between October 21, 2019 and September 30, 2021.
(3)    Approximately 1% of the production covered by the 2022-2 XOL Transaction has coverage reporting dates between January 4, 2021 and March 31, 2022.
(4)    The initial reinsurance coverage, current reinsurance coverage, initial first layer retained loss and current first layer retained loss for the 2025 XOL Transaction will increase as incremental covered production is ceded under the transaction through December 31, 2025.
Schedule of ILN Transactions
The following table presents the inception date, covered production period, initial and current reinsurance coverage amount, and initial and current first layer retained aggregate loss under each outstanding ILN Transaction. Current amounts are presented as of September 30, 2025.
($ values in thousands)
Inception DateCovered ProductionInitial Reinsurance Coverage Current Reinsurance CoverageInitial First Layer Retained Loss
Current First Layer Retained Loss (1)
2021-1 ILN
April 27, 2021
10/1/2020 – 3/31/2021 (2)
$367,238 $101,337 $163,708 $162,246 
2021-2 ILN
October 26, 2021
4/1/2021 – 9/30/2021 (3)
363,596 188,327 146,229 144,446 

(1)    NMIC applies claims paid on covered policies against its first layer aggregate retained loss exposure and cedes reserves for incurred claims and claim expenses to each applicable ILN Transaction and recognizes a reinsurance recoverable if such incurred claims and claim expenses exceed its current first layer retained loss.
(2)    Approximately 1% of the production covered by the 2021-1 ILN Transaction has coverage reporting dates between July 1, 2019 and September 30, 2020.
(3)    Approximately 2% of the production covered by the 2021-2 ILN Transaction has coverage reporting dates between July 1, 2019 and March 31, 2021.