Private Mortgage Insurance Market Report 2025

The private mortgage insurance market size has grown strongly in recent years. It will grow from $6.24 billion in 2024 to $6.84 billion in 2025 at a compound annual growth rate (CAGR) of 9.5%. Growth during the historic period was driven by better capital allocation by banks, increasing default risk due to economic volatility, greater awareness of PMI cancellation benefits, rising popularity of mortgage brokers, and the expansion of financial literacy programs.

The private mortgage insurance market size is expected to see strong growth in the next few years. It will grow to $9.71 billion in 2029 at a compound annual growth rate (CAGR) of 9.2%. Growth in the forecast period is expected to be driven by rising home prices, increasing housing demand, rapid urbanization, growth of the middle-class population, and government incentives for homebuyers. Key trends anticipated during this period include AI-based risk assessment tools, digital mortgage platforms, automated underwriting systems, integration with fintech solutions, and the use of blockchain for data security.

The growth in homeownership rates is expected to drive the private mortgage insurance market in the coming years. Homeownership represents the legal right of individuals or families to possess and live in a residential property they have purchased. Rising homeownership rates are supported by low fixed mortgage interest rates, which provide long-term payment stability and make buying a home more affordable than renting. Private mortgage insurance enables buyers to qualify for a mortgage with a smaller down payment, facilitating faster access to homeownership without requiring substantial upfront savings. For example, in May 2023, the UK Department for Levelling Up, Housing and Communities reported that owner-occupied dwellings accounted for around 64.1% of the housing stock as of 31 March 2022, up from 63.8% the previous year.

Companies in the private mortgage insurance market are increasingly leveraging digital strategies to transform perceptions and drive adoption of lenders mortgage insurance (LMI). Digital campaigns use online platforms, webinars, podcasts, and multimedia content to educate stakeholders, increase engagement, and demonstrate the benefits of LMI. For instance, in March 2025, Helia Group Limited, an Australia-based LMI provider, launched “LMI Lets Me In,” a three-month campaign targeting mortgage brokers. The campaign highlighted how LMI can enable earlier homeownership by up to nine years and help buyers build more equity within five years, shifting LMI’s perception from a financial burden to a valuable tool for both clients and lenders.

In June 2024, Arch Capital Group Ltd., a Bermuda-based insurance company, acquired RMIC Companies Inc. for an undisclosed sum. The acquisition strengthened Arch MI’s presence in the U.S. mortgage insurance sector by expanding offerings and enhancing expertise in mortgage credit risk management. Following the deal, RMIC joined Arch’s network of approved mortgage insurers, including Arch Mortgage Insurance Company and United Guaranty Residential Insurance Company. RMIC Companies Inc. is a U.S.-based provider of private mortgage insurance.

Major players in the private mortgage insurance market are Zurich Insurance Group, Chubb Ltd., American International Group Inc., QBE Insurance Ltd., Arch Capital Group Ltd., First American Financial Corporation, Genworth Financial Inc., AXIS Capital Holdings Ltd., Radian Group Inc., Mortgage Guaranty Insurance Corporation (MGIC), Enact Holdings Inc., Essent Guaranty Inc., National Mortgage Insurance Holdings Inc. (NMI), Triad Guaranty Inc., MassHousing, CUMIS Group Ltd., Eagle Star Insurance Company Ltd., CMFG Life Insurance Company, Amerin Guaranty Corporation, Financial Security Assurance Inc.

North America was the largest region in the private mortgage insurance market in 2024. Asia Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in private mortgage insurance report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the private mortgage insurance market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the financial sector, particularly in investment strategies and risk management. Heightened tariffs have fueled market volatility, prompting cautious behavior among institutional investors and increasing demand for hedging instruments. Banks and asset managers are facing higher costs associated with cross-border transactions, as tariffs disrupt global supply chains and dampen corporate earnings, key drivers of equity market performance. Insurance companies, meanwhile, are grappling with increased claims risks tied to supply chain disruptions and trade-related business losses. Additionally, reduced consumer spending and weakened export demand are constraining credit growth and investment appetite. The sector must now prioritize diversification, digital transformation, and robust scenario planning to navigate the heightened economic uncertainty and protect profitability.

Private mortgage insurance (PMI) is a type of insurance that borrowers may be required to purchase when obtaining a conventional mortgage with a down payment typically below 20% of the home’s value. This insurance protects the lender by reducing the risk of loss if the borrower defaults on the loan, rather than providing protection to the borrower.

The main types of private mortgage insurance include borrower-paid, lender-paid, single premium, and split premium. Borrower-paid PMI involves the borrower including the insurance premium as part of their monthly mortgage payment. It offers both primary and pool coverages and is distributed through banks, mortgage brokers, online platforms, and other channels. End-users include first-time homebuyers as well as repeat homebuyers.

The private mortgage insurance market research report is one of a series of new reports that provides private mortgage insurance market statistics, including private mortgage insurance industry global market size, regional shares, competitors with a private mortgage insurance market share, detailed private mortgage insurance market segments, market trends and opportunities, and any further data you may need to thrive in the private mortgage insurance industry. This private mortgage insurance market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The private mortgage insurance market includes revenues earned by entities by providing services such as mortgage origination assistance, risk assessment, loan servicing management, default risk monitoring, and loan modification services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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