Note 10 - Losses and Loss Adjustment Expenses Level 3 (Tables)

12 Months Ended

Dec. 31, 2015

Schedule of Liability for Future Policy Benefits, by Product Segment [Table Text Block]



	Year Ended December 31,
(In thousands)	2015			2014
Reserves for losses by category:
Prime	$	480,481		$	700,174
Alt-A	203,706			292,293
A minus and below	129,352			179,103
IBNR and other	83,066		(1)	223,114
LAE	26,108			56,164
Reinsurance recoverable (2)	8,286			26,665
Total primary reserves	930,999			1,477,513
Pool	42,084			75,785
IBNR and other	1,118			1,775
LAE	1,335			3,542
Total pool reserves	44,537			81,102
Total first-lien reserves	975,536			1,558,615
Second-lien and other (3)	863			1,417
Total reserve for losses	$	976,399		$	1,560,032

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(1)	Primarily related to expected payments under the Freddie Mac Agreement.


(2)	Primarily represents ceded losses on captive transactions and the QSR Transactions.


(3)	Does not include our Second-lien PDR that is included in other liabilities.

Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block]

The following table presents information relating to our reserve for losses, including our IBNR reserve and LAE but excluding Second-lien PDR, for the periods indicated:



	Year Ended December 31,
(In thousands)	2015			2014				2013
Mortgage Insurance
Balance at January 1	$	1,560,032		$	2,164,353			$	3,083,608
Less reinsurance recoverables (1)	26,665			38,363				83,238
Balance at January 1, net of reinsurance recoverables	1,533,367			2,125,990				3,000,370
Add losses and LAE incurred in respect of default notices reported and unreported in:
Current year (2)	229,061			351,184			(3)	519,188		(3)
Prior years	(29,647		)	(105,545		)		45,460
Total incurred	199,414			245,639				564,648
Deduct paid claims and LAE related to:
Current year (2)	10,837			13,562				35,108
Prior years	753,831			824,700				1,403,920
Total paid	764,668			838,262				1,439,028
Balance at end of period, net of reinsurance recoverables	968,113			1,533,367				2,125,990
Add reinsurance recoverables (1)	8,286			26,665				38,363
Balance at December 31	$	976,399		$	1,560,032			$	2,164,353

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(1)	Related to ceded losses on captive reinsurance transactions and the QSR Transactions. See Note 8 for additional information.


(2)	Related to underlying defaulted loans with a most recent default notice dated in the year indicated. For example, if a loan had defaulted in a prior year, but then subsequently cured and later re-defaulted in the current year, that default would be considered a current year default.

(3)

Amounts previously reported for losses and LAE incurred in respect of default notices reported and unreported in current year and prior years have been reclassified to correct an error. There was no net change to total incurred losses in any period as a result of these reclassifications. For the years ended December 31, 2014 and 2013, the amounts previously reported for losses and LAE incurred in respect of default notices reported and unreported in current year have been revised downward by approximately $71.8 million and $65.0 million, respectively, with equal and offsetting adjustments to the amount previously reported for default notices reported and unreported in prior years.