For any type of insurance company to be successful, it needs to properly price the risk it is taking on in the event it has to pay out a claim. At several of the private mortgage insurance companies, the notion of enhanced risk-based premiums has taken on new life, spurred by the events of the past few years.

At American International Group Inc.'s United Guaranty Corp., the risk-based pricing program is called Performance Premium.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.