RADIAN GROUP INC

The principal customers of our mortgage insurance business are mortgage originators such as mortgage bankers, commercial banks, savings institutions, credit unions and community banks.

We actively monitor our customer concentration and regularly engage in efforts to diversify our customer base; however, the increasing use of custom rate cards for individual lenders in the mortgage insurance marketplace has increased the likelihood that a significant portion of NIW volume generated in any given period may be attributable to one or more customers. Our largest single mortgage insurance customer (including branches and affiliates) measured by NIW, accounted for 8% of NIW during 2023, compared to 8% and 14% in 2022 and 2021, respectively. The percentage of NIW generated by our top 10 customers was 34% in 2023. No single customer contributed earned premiums that accounted for more than 10% of our consolidated revenues in 2023, 2022 or 2021. In “Item 1A. Risk Factors,” see “Our NIW and franchise value could decline if we lose business from significant customers.”

Table of ContentsGlossaryPart I. Item 1. Business

We have a broad range of customers in our homegenius segment, including many of our Mortgage Insurance customers, due to the products and services we offer across the mortgage and real estate value chain. Our principal customers (non-affiliated) are:

■Mortgage originators such as mortgage bankers, commercial banks, savings institutions, credit unions and community banks;

■Aggregators, issuers and investors in RMBS, whole loans and other mortgage-related debt instruments, including the GSEs, private equity and hedge funds, real estate investment trusts and investment banks;

■Single-family rental warehouse lenders, owner/operators, builders, capital markets institutional investors and securitization issuers;

■Mortgage servicers;

■Real estate brokers and agents;

■Corporations for their employees; and

■Consumers.

Our customers include many of the largest financial institutions and participants in the mortgage sector and, as such, our services revenue is concentrated among our largest customers. For the year ended December 31, 2023, the top 10 homegenius customers generated approximately 56% of the homegenius segment’s services revenue.