Kanjorski to Hold Hearing on the Role of Private Mortgage Insurance

Hearing is Part of Series on the Future of the U.S. Housing Finance System

Washington, DC - Congressman Paul E. Kanjorski (D-PA), the Chairman of the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises, will convene a hearing to examine the structure, regulation, history, performance, and future of private mortgage insurance. This hearing is part of a series of hearings on the future of the U.S. housing finance system. The Financial Services Committee and the Capital Markets Subcommittee have previously held multiple hearings in the 110th and 111th Congresses on housing finance reform.

"As we look to reform our housing finance system, we must learn more about private mortgage insurance and determine whether to make changes related to this product," said Chairman Kanjorski. "Private mortgage insurance has helped many Americans achieve the dream of homeownership. It has also worked to safeguard taxpayers by providing a first layer of protection against foreclosure losses for lenders and for mortgages securitized by Fannie Mae and Freddie Mac. However, some have questioned whether the regulation of the private mortgage insurance industry has always been effective. As we saw, the industry faced enormous losses during the height of the most recent foreclosure crisis and a lack of capital reserves led to many mortgage insurers severely curtailing their underwriting of new mortgages, thus slowing down our housing markets even further. Congress has also previously had to act to protect consumers who pay for this product, and some have now raised concerns that mortgage insurers may impede foreclosure mitigation efforts. I look forward to examining these issues in more detail at this hearing. All options for reforming our housing finance system are on the table, including those related to the structure and regulation of the private mortgage insurance industry."

WHO: House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises

WHAT: Hearing Entitled "Future of Housing Finance: The Role of Private Mortgage Insurance"

WHEN: Thursday, July 29, 2010

2:00 p.m.

WHERE: 2128 Rayburn House Office Building

Witness List

* Mr. Patrick Sinks, President and Chief Operating Officer, Mortgage Guaranty Insurance Corporation on behalf of the Mortgage Insurance Companies of America

* Ms. Marti Rodamaker, President, First Citizens National Bank of Iowa on behalf of the Independent Community Bankers Association

* Ms. Janneke Ratcliffe, Associate Director, University of North Carolina Center for Community Capital and Senior Fellow, Center for American Progress

* Mr. Anthony B. Sanders, Distinguished Professor of Finance, George Mason University, and Senior Scholar, The Mercatus Center at George Mason University

* Mr. John Taylor, President and Chief Executive Officer, National Community Reinvestment Coalition

* Ms. Deborah Goldberg, Hurricane Relief Program Director, National Fair Housing Alliance

Contact: Abigail McDonough: (202) 225-6511