Freddie Mac, MGIC Reach $267M Deal In Pool Policy Fight

Law360, New York (November 9, 2012, 7:14 PM EST) -- Mortgage insurer MGIC Investment Corp. said Friday that it will pay Freddie Mac $267 million to settle a pool insurance dispute as part of a deal that will allow it to continue to sell insurance in the U.S.

MGIC had been fighting with Freddie Mac over what it said was an overstated aggregate loss limit, a measurement of risk for pooled mortgage policies that MGIC issued to Freddie Mac. A high aggregate loss limit would require MGIC to set aside large amounts of capital and limit...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.