A wholly-owned subsidiary of Radian Group Inc, the Philadelphia-based mortgage insurance company, has obtained $353 million of fully collateralised excess of loss reinsurance coverage from Eagle Re 2023-1 Ltd, a newly-formed Bermuda special purpose insurer, the company said.

The excess of loss reinsurance covers eligible mortgage insurance policies written by Radian Guaranty Inc from April 1 to December 31, 2022.

Eagle Re is not a subsidiary or affiliate of Radian Guaranty.

Radian said Eagle Re has funded its reinsurance obligations by issuing four classes of mortgage insurance-linked notes with a 10-year maturity and five-year call option to eligible third-party capital markets investors in an unregistered private offering.

The ILNs are non-recourse to Radian Group and its subsidiaries and affiliates, the company said.