Note 10 - Losses and Loss Adjustment Expense (Tables)

3 Months Ended

Mar. 31, 2020

Our reserve for losses and LAE, at the end of each period indicated, consisted of:



(In thousands)	March 31, 2020		December 31, 2019
Mortgage insurance loss reserves (1)	$	414,678	$	401,273
Title insurance loss reserves (2)	3,524		3,492
Total reserve for losses and LAE	$	418,202	$	404,765

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(1)	Primarily comprises first lien primary case reserves of $353.2 million and $339.8 million at March 31, 2020 and December 31, 2019, respectively.

(2)

A portion of this amount is subject to reinsurance, with the related reinsurance recoverables reported in other assets in our condensed consolidated balance sheets. For all periods presented, total incurred losses and paid claims for title insurance were not material.

Mortgage Insurance Reserve for Losses and LAE Rollforward

The following table presents information relating to our mortgage insurance reserve for losses, including our IBNR reserve and LAE, but excluding our second-lien mortgage loan premium deficiency reserve, for the periods indicated:



	Three Months Ended March 31,
(In thousands)	2020			2019
Balance at beginning of period	$	401,273		$	397,891
Less: Reinsurance recoverables (1)	14,594			11,009
Balance at beginning of period, net of reinsurance recoverables	386,679			386,882
Add: Losses and LAE incurred in respect of default notices reported and unreported in:
Current year (2)	41,242			38,922
Prior years	(5,876		)	(18,173		)
Total incurred	35,366			20,749
Deduct: Paid claims and LAE related to:
Current year (2)	—			295
Prior years	23,391			34,294
Total paid	23,391			34,589
Balance at end of period, net of reinsurance recoverables	398,654			373,042
Add: Reinsurance recoverables (1)	16,024			12,319
Balance at end of period	$	414,678		$	385,361

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(1)	Related to ceded losses recoverable, if any, on reinsurance transactions. See Note 7 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.