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Note 7 - Reinsurance
 6 Months Ended
Jun. 30, 2017
Reinsurance Disclosures [Abstract]  
Reinsurance
Reinsurance
The effect of reinsurance on net premiums written and earned is as follows:
 
Three Months Ended
June 30,

Six Months Ended
June 30,
(In thousands)
2017

2016

2017

2016
Net premiums written—insurance:
 
 
 
 
 
 
 
Direct
$
260,647

 
$
252,728

 
$
500,292

 
$
486,654

Ceded (1) 
(19,340
)
 
(20,375
)
 
(34,320
)
 
(227,991
)
Net premiums written—insurance
$
241,307

 
$
232,353

 
$
465,972

 
$
258,663

Net premiums earned—insurance:
 
 
 
 
 
 
 
Direct
$
243,229

 
$
248,938

 
$
479,291

 
$
489,268

Assumed
7

 
9

 
14

 
18

Ceded (1) 
(14,140
)
 
(19,862
)
 
(28,409
)
 
(39,251
)
Net premiums earned—insurance
$
229,096

 
$
229,085

 
$
450,896

 
$
450,035


______________________
(1)
Net of profit commission.
In 2012, Radian Guaranty entered into the QSR Transactions with a third-party reinsurance provider. Radian Guaranty has ceded the maximum amount permitted under the QSR Transactions; therefore, Radian Guaranty is no longer ceding NIW under these transactions. RIF ceded under the QSR Transactions was $1.4 billion and $1.9 billion as of June 30, 2017 and 2016, respectively.
In the first quarter of 2016, in order to proactively manage the risk and return profile of Radian Guaranty’s insured portfolio and manage its position under the PMIERs financial requirements in a cost-effective manner, Radian Guaranty entered into the Single Premium QSR Transaction with a panel of third-party reinsurers. RIF ceded under the Single Premium QSR Transaction was $4.1 billion and $3.5 billion as of June 30, 2017 and 2016, respectively. See Note 8 of Notes to Consolidated Financial Statements in our 2016 Form 10-K for more information about our reinsurance transactions.
The following tables show the amounts related to the QSR Transactions and the Single Premium QSR Transaction for the periods indicated:
 
QSR Transactions
 
Three Months Ended
June 30,
 
Six Months Ended
June 30,
(In thousands)
2017
 
2016
 
2017
 
2016
Ceded premiums written (1) 
$
5,059

 
$
7,356

 
$
10,516

 
$
15,318

Ceded premiums earned (1) 
7,404

 
11,172

 
15,238

 
22,497

Ceding commissions written
1,446

 
2,099

 
3,005

 
4,369

Ceding commissions earned (2) 
3,379

 
3,779

 
7,273

 
8,225

Ceded losses, net
(310
)
 
223

 
260

 
764

 
Single Premium QSR Transaction
 
 
Three Months Ended
June 30,
 
Six Months Ended
June 30,
 
(In thousands)
2017
 
2016
 
2017
 
2016
 
Ceded premiums written (1) 
$
13,856

 
$
11,488

 
$
22,816

 
$
209,081

(3)
Ceded premiums earned (1) 
6,311

 
7,146

 
12,170

 
13,140

 
Ceding commissions written
5,134

 
4,844

 
8,846

 
55,776

 
Ceding commissions earned (2) 
3,248

 
3,759

 
6,185

 
6,791

 
Ceded losses
464

 
380

 
1,037

 
916

 
______________________
(1)
Net of profit commission.
(2)
Includes amounts reported in policy acquisition costs and other operating expenses.
(3)
Includes ceded premiums for policies written in prior periods. See Note 8 of Notes to Consolidated Financial Statements in our 2016 Form 10-K.