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Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2014	Aug. 04, 2014
Document and Entity Information [Abstract]
Entity Registrant Name	NMI HOLDINGS, INC.
Entity Central Index Key	0001547903
Document Type	10-Q
Document Period End Date	Jun. 30, 2014
Amendment Flag	false
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		58,363,334

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2014	Dec. 31, 2013
Investments, available-for-sale, at fair value:
Fixed maturities (amortized cost of $413,816 and $416,135 as of June 30, 2014 and December 31, 2013, respectively)	$ 413,307,000	$ 409,088,000
Total investments	413,307,000	409,088,000
Cash and cash equivalents	34,671,000	55,929,000
Accrued investment income	1,989,000	2,001,000
Premiums receivable	143,000	19,000
Prepaid expenses	1,139,000	1,519,000
Deferred policy acquisition costs, net	1,051,000	90,200
Goodwill and other indefinite lived intangible assets	3,634,000	3,634,000
Software and equipment, net	10,172,000	8,876,000
Other assets	57,000	63,000
Total Assets	466,163,000	481,219,000
Liabilities
Unearned premiums	7,679,000	1,446,000
Reserve for insurance claims and claims expenses	28,000	0
Accounts payable and accrued expenses	8,494,000	10,052,000
Warrant liability, at fair value	4,552,000	6,371,000
Current tax payable	1,367,000	0
Deferred tax liability	133,000	133,000
Total Liabilities	22,253,000	18,002,000
Commitments and contingencies
Shareholders' Equity
Additional paid-in capital	558,432,000	553,707,000
Accumulated other comprehensive loss, net of tax	(3,173,000)	(7,047,000)
Accumulated deficit	(111,933,000)	(84,024,000)
Total Shareholders' Equity	443,910,000	463,217,000
Total Liabilities and Shareholders' Equity	466,163,000	481,219,000
Class A
Shareholders' Equity
Common stock - Class A shares, $0.01 par value, 58,363,334 and 58,052,480 shares issued and outstanding as of June 30, 2014 and December 31, 2013, respectively (250,000,000 shares authorized)	$ 584,000	$ 581,000

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2014	Dec. 31, 2013
Fixed maturity, amortized cost	$ 413,816	$ 416,135
Class A
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares issued	58,363,334	58,052,480
Common stock, shares outstanding	58,363,334	58,052,480
Common stock, shares authorized	250,000,000	250,000,000

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Premiums written
Direct	$ 5,051	$ 1	$ 10,229	$ 1
Net premiums written	5,051	1	10,229	1
Increase in unearned premiums	(2,958)	0	(6,232)	0
Net premiums earned	2,093	1	3,997	1
Net investment income	1,468	1,407	2,957	1,817
Net realized investment gains	0	452	0	481
Gain (loss) from change in fair value of warrant liability	952	(1,114)	1,769	(1,080)
Gain from settlement of warrants	0	0	37	0
Total Revenues	4,513	746	8,760	1,219
Expenses
Insurance claims and claims expenses	28	0	28	0
Amortization of deferred policy acquisition costs	42	0	61	0
Other underwriting and operating expenses	18,595	17,020	37,877	29,445
Total Expenses	18,665	17,020	37,966	29,445
Loss before income taxes	(14,152)	(16,274)	(29,206)	(28,226)
Income tax benefit	(1,297)	0	(1,297)	0
Net Loss	(12,855)	(16,274)	(27,909)	(28,226)
Other Comprehensive Income (Loss), net of tax
Net unrealized holding gains (losses) for the period included in accumulated other comprehensive loss, net of tax expense of $2,664 and $0 for the three months ended June 30, 2014 and 2013, respectively, and $2,664 and $0 for the six months ended June 30, 2014 and 2013, respectively	840	(10,210)	3,874	(9,323)
Other Comprehensive Income (Loss), net of tax	840	(10,210)	3,874	(9,323)
Total Comprehensive Loss	$ (12,015)	$ (26,484)	$ (24,035)	$ (37,549)
Loss per share
Basic and Diluted loss per share (in dollars per share)	$ (0.22)	$ (0.29)	$ (0.48)	$ (0.51)
Weighted average common shares outstanding (in shares)	58,289,801	55,629,932	58,176,181	55,565,374

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS Parentheticals - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Income Statement [Abstract]
Change in unrealized investment gains (losses), tax amount	$ 2,664	$ 0	$ 2,664	$ 0	$ 0

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common stock Class A	Common stock Class B	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Beginning Balance at Dec. 31, 2012	$ 488,748	$ 553	$ 2	$ 517,032	$ 1	$ (28,840)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock Class A shares issued under stock plans, net of shares withheld for employee taxes	(1,578)	1		(1,579)
Issuance of shares of common stock	27,912	25	0	27,887
Conversion of Class B shares of common stock into Class A shares of common stock	0	2	(2)
Share-based compensation expense	10,367			10,367
Change in unrealized investment gains/losses, net of tax	(7,048)				(7,048)
Net loss	(55,184)					(55,184)
Ending Balance at Dec. 31, 2013	463,217	581	0	553,707	(7,047)	(84,024)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common stock Class A shares issued related to warrants	13			13
Common stock Class A shares issued under stock plans, net of shares withheld for employee taxes	14	3		11
Share-based compensation expense	4,701			4,701
Change in unrealized investment gains/losses, net of tax	3,874				3,874
Net loss	(27,909)					(27,909)
Ending Balance at Jun. 30, 2014	$ 443,910	$ 584	$ 0	$ 558,432	$ (3,173)	$ (111,933)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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+ Details

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended			6 Months Ended		12 Months Ended
	Apr. 30, 2012	Jun. 30, 2014	Mar. 31, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Payments of stock issuance costs							$ 3,483
Change in unrealized investment gains (losses), tax amount		$ 2,664		$ 0	$ 2,664	$ 0	$ 0
Class A
Issuance of shares of common stock, shares	55,000,000
Common stock, par value (in dollars per share)		$ 0.01			$ 0.01		$ 0.01
Class A \| Common stock
Issuance of Class A shares of common stock as part of cashless exercise of warrants, shares			1,115
Common stock, par value (in dollars per share)		$ 0.01			$ 0.01

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
Cash Flows From Operating Activities
Net loss	$ (27,909)	$ (28,226)
Adjustments to reconcile net loss to net cash used in operating activities:
Net realized investment gains	0	(481)
(Gain) loss from change in fair value of warrant liability	(1,769)	1,080
Gain from settlement of warrants	(37)	0
Depreciation and other amortization	4,270	2,713
Share-based compensation expense	4,701	6,859
Benefit for taxes on current year unrealized gains	(1,297)	0
Changes in operating assets and liabilities:
Accrued investment income	12	(2,105)
Premiums receivable	(124)	0
Prepaid expenses	380	(540)
Deferred policy acquisition costs, net	(961)	0
Other assets	7	53
Unearned premiums	6,232	0
Reserve for insurance claims and claims expenses	28	0
Accounts payable and accrued expenses	(1,558)	(2,292)
Net Cash Used in Operating Activities	(18,025)	(22,939)
Cash Flows From Investing Activities
Purchase of short-term investments	0	(510)
Purchase of fixed-maturity investments, available-for-sale	(110)	(552,174)
Proceeds from maturity of short-term investments	0	5,375
Proceeds from redemptions, maturities and sale of fixed-maturity investments, available-for-sale	1,133	114,995
Purchase of software and equipment	(4,270)	(3,084)
Net Cash Used in Investing Activities	(3,247)	(435,398)
Cash Flows From Financing Activities
Issuance of common stock	1,086	0
Taxes paid related to net share settlement of equity awards	(1,072)	(1,578)
Net Cash Provided by (Used in) Financing Activities	14	(1,578)
Net Decrease in Cash and Cash Equivalents	(21,258)	(459,915)
Cash and Cash Equivalents, beginning of period	55,929	485,855
Cash and Cash Equivalents, end of period	$ 34,671	$ 25,940

Organization and Basis of Presentation	6 Months Ended
Organization and Basis of Presentation	Jun. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Basis of Presentation	Organization and Basis of Presentation NMI Holdings, Inc. ("NMIH"), a Delaware corporation, was formed in May 2011 with the intention of providing private mortgage guaranty insurance through a wholly owned insurance subsidiary. From May 2011 through March 2013, our activities were limited to raising capital, seeking to acquire the assets and approvals necessary to become a private mortgage guaranty insurance provider and hiring personnel. In April 2013, we, through our primary insurance subsidiary, National Mortgage Insurance Corporation ("NMIC"), wrote our first mortgage guaranty insurance policy. As of June 30, 2014, we had $939.8 million primary insurance in force ("IIF") and $4.9 billion pool IIF, with $220.9 million of primary risk-in-force ("RIF") and $93.1 million of pool RIF. The accompanying consolidated financial statements include the accounts of NMIH and its wholly owned subsidiaries, NMIC, National Mortgage Reinsurance Inc One ("Re One"), and National Mortgage Reinsurance Inc Two ("Re Two"). On September 30, 2013, we merged Re Two into NMIC with NMIC surviving the merger. On November 30, 2011, we entered into an agreement with MAC Financial Ltd. to acquire MAC Financial Holding Corporation and its subsidiaries, which were renamed NMIC, Re One and Re Two, for $8.5 million in cash, common stock and warrants plus the assumption of $1.3 million in liabilities ("MAC Acquisition"). In addition, we incurred $0.1 million in deferred tax liabilities as a result of the acquisition of certain indefinite-lived intangibles. The MAC Acquisition was completed in April 2012. On September 30, 2013, we merged MAC Financial Holding Corporation into NMIH, with NMIH surviving the merger. In April 2012, we offered and sold 55.0 million shares of common stock at an issue price of $10.00 per share in a private placement ("Private Placement"). Gross proceeds from the Private Placement were $550.0 million. Net proceeds from the Private Placement, after an approximate 7% underwriting fee and other offering expenses, were approximately $510 million. The fee was escrowed for the benefit of FBR Capital Markets and Co. ("FBR") and was released to FBR upon NMIC's receipt of approval from Federal National Home Mortgage Association ("Fannie Mae") and Federal Home Loan Mortgage Corporation ("Freddie Mac") as a qualified mortgage guarantee insurer ("GSE Approval"). Under the terms of certain Registration Rights Agreements to which we are a party (collectively the "Registration Right Agreement"), we were required to obtain GSE Approval on or before January 17, 2013. NMIC was approved as an eligible mortgage guaranty insurer by Freddie Mac and Fannie Mae on January 15, 2013 and January 16, 2013, respectively, which approvals require NMIC to continue meeting certain conditions, which include an agreement to maintain minimum capital of $150 million at NMIC and that NMIC not exceed a risk-to-capital ratio of 15:1 for its first three years. Although NMIC's capital and risk-to-capital ratio are well within these constraints, at June 30, 2014, NMIH had sufficient resources to downstream cash to either insurance subsidiary, as necessary, to comply with all commitments. In November 2013, we completed an initial public offering of 2.4 million shares of our common stock (the "IPO") and our common stock began trading on the NASDAQ on November 8, 2013, under the symbol “NMIH.” For a further discussion see "Note 2, Common Stock Offerings." On April 7, 2014, we received our final certificate of authority (our insurance license permitting us to write mortgage guaranty insurance in that state) from the state of Wyoming. With Wyoming, we are now licensed in all 50 states and Washington D.C. Basis of Presentation The accompanying unaudited condensed consolidated financial statements, which include the results of NMIH and its wholly owned subsidiaries, have been prepared in accordance with the instructions to Form 10-Q as prescribed by the United States ("U.S.") Securities and Exchange Commission for interim reporting and include all of the other information and disclosures required by accounting principles generally accepted in the U.S. ("GAAP"). Our accounts are maintained in U.S. dollars. These statements should be read in conjunction with our consolidated financial statements and notes thereto for the year ended December 31, 2013 included in our Annual Report on Form 10-K. All intercompany transactions have been eliminated. The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect reported amounts of assets and liabilities, as well as disclosure of contingent assets and liabilities as of the balance sheet date. Estimates also affect the reported amounts of income and expenses for the reporting period. Actual results could differ from those estimates. The results of operations for the interim period may not be indicative of the results that may be expected for the full year ending December 31, 2014. Basic net loss per share is based on the weighted-average number of common shares outstanding, while diluted net loss per share is based on the weighted-average number of common shares outstanding and common stock equivalents that would be issuable upon the exercise of stock options, other stock-based compensation arrangements, and the dilutive effect of outstanding warrants. As a result of our net losses for the quarters ended June 30, 2014 and June 30, 2013, 5.9 million and 5.3 million shares of our common stock equivalents that we issued as of each respective period under stock-based compensation arrangements and warrants were not included in the calculation of diluted net loss per share as of such dates because they were anti-dilutive. Deferred Policy Acquisition Costs Costs directly associated with the successful acquisition of mortgage guaranty insurance policies, consisting of certain selling expenses and other policy issuance and underwriting expenses, are initially deferred and reported as deferred policy acquisition costs ("DAC"). For each book year of business, these costs are amortized to income in proportion to estimated gross profits over the estimated life of the policies. We recorded net DAC of $1.1 million at June 30, 2014 and $90.2 thousand at December 31, 2013. Premium Deficiency Reserves We consider whether a premium deficiency exists at each fiscal quarter using best estimate assumptions as of the testing date. Per ASC 944, a premium deficiency reserve shall be recognized if the sum of expected claim costs and claim adjustment expenses, expected dividends to policyholders, unamortized acquisition costs, and maintenance costs exceeds related unearned premiums and anticipated investment income. We have determined that no premium deficiency reserves were necessary for the quarter ended June 30, 2014 or for the year ended December 31, 2013. Reclassifications Certain items in the financial statements as of December 31, 2013 and for the quarter ended June 30, 2013 have been reclassified to conform to the current period's presentation. There was no effect on net income or shareholders' equity previously reported. Subsequent Events Effective July 1, 2014, we entered into a settlement agreement (the "Settlement Agreement") with Arch U.S. MI Services, Inc. ("Arch"), Germaine J. Marks and Truitte D. Todd, in their capacities as, respectively, Receiver and Special Deputy Receiver of PMI Mortgage Insurance Co., in Rehabilitation (collectively, the "Receiver") and PMI Mortgage Insurance Co., in Rehabilitation ("PMI"), to settle the complaint filed on August 8, 2012 by the Receiver against NMIH, NMIC and certain employees of the Company (collectively the "Defendants"), in California Superior Court, Alameda County (the “PMI Complaint”). Pursuant to the terms of an Asset Purchase Agreement, dated February 7, 2013, between Arch and PMI, PMI transferred and assigned to Arch all causes of action pursued in the PMI Complaint. Pursuant to the terms of the Settlement Agreement, the Company and its insurance carriers made a settlement payment in favor of Arch, and Arch released the Defendants from all claims alleged in the PMI Complaint. Per the settlement agreement, Arch moved to dismiss the PMI Complaint with prejudice, which the Court granted on July 28, 2014. The Company's portion of the settlement payment has been recorded in the Company's financial statements as of the quarter ended June 30, 2014. On July 10, 2014, the Federal Housing Finance Agency (“FHFA”) released for public input the proposed Private Mortgage Insurer Eligibility Requirements (“PMIERs”). The PMIERs, when finalized and effective, establish operational, business, remedial and financial requirements applicable to private mortgage insurers that insure residential mortgages on loans owned or guaranteed by Fannie Mae and Freddie Mac. We discuss these proposed PMIERs in Item 2 "Management's Discussion and Analysis of Financial Condition and Results of Operations - Proposed PMIERs," below. We have considered subsequent events through the date of this filing.

Common Stock Offering	6 Months Ended
Common Stock Offering	Jun. 30, 2014
Equity [Abstract]
Common Stock Offering	Common Stock Offerings We entered into a purchase/placement agreement that closed in April 2012, pursuant to which we offered and sold an aggregate of 55,000,000 of our Class A common shares, resulting in net proceeds of approximately $510 million after an approximate 7% underwriting fee and other offering expenses. On November 8, 2013, we completed an initial public offering of 2.4 million shares of common stock, and our common stock began trading on the NASDAQ under the symbol "NMIH". Net proceeds from the offering were approximately $28 million, after an approximate 6% underwriting fee and other offering expenses and reimbursements pursuant to the underwriting agreement.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

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+ Details

Investments

6 Months Ended

Jun. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Investments

We have designated our investment portfolio as available-for-sale and report it at fair value. The related unrealized gains and losses are, after considering the related tax expense or benefit, recognized as a component of accumulated other comprehensive loss in shareholders' equity. Net realized investment gains and losses are reported in income based upon specific identification of securities sold.

Fair Values and Gross Unrealized Gains and Losses on Investments



	Amortized Cost		Gross Unrealized					Fair Value
	Amortized Cost		Gains		Losses			Fair Value
As of June 30, 2014	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	107,929	$	29	$	(650	)	$	107,308
Municipal bonds	12,013		54		(18		)	12,049
Corporate debt securities	221,111		1,072		(1,113		)	221,070
Asset-backed securities	72,763		396		(279		)	72,880
Total Investments	$	413,816	$	1,551	$	(2,060	)	$	413,307



	Amortized Cost		Gross Unrealized					Fair Value
	Amortized Cost		Gains		Losses			Fair Value
As of December 31, 2013	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	108,067	$	—	$	(1,461	)	$	106,606
Municipal bonds	12,017		1		(85		)	11,933
Corporate debt securities	221,899		157		(4,799		)	217,257
Asset-backed securities	74,152		114		(974		)	73,292
Total Investments	$	416,135	$	272	$	(7,319	)	$	409,088

Scheduled Maturities

The amortized cost and fair values of available for sale securities at June 30, 2014 and December 31, 2013, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. Because most asset-backed securities provide for periodic payments throughout their lives, they are listed below in separate categories.



As of June 30, 2014	Amortized Cost		Fair Value
	(In Thousands)
Due in one year or less	$	2,674	$	2,675
Due after one through five years	265,261		264,556
Due after five through ten years	57,718		57,843
Due after ten years	15,400		15,353
Asset-backed securities	72,763		72,880
Total Investments	$	413,816	$	413,307



As of December 31, 2013	Amortized Cost		Fair Value
	(In Thousands)
Due in one year or less	$	—	$	—
Due after one through five years	260,855		257,501
Due after five through ten years	65,687		63,440
Due after ten years	15,441		14,855
Asset-backed securities	74,152		73,292
Total Investments	$	416,135	$	409,088

Net Realized Investment Gains (Losses) on Investments



	For the Three Months Ended June 30,					For the Six Months Ended June 30,
	2014		2013			2014		2013
	(In Thousands)
Corporate debt securities	$	—	$	488		$	—	$	517
U.S. Treasury securities and obligations of U.S. government agencies	—		(16		)	—		(16		)
Asset-backed securities	—		(20		)	—		(20		)
Total Net Realized Investment Gains	$	—	$	452		$	—	$	481

Aging of Unrealized Losses

At June 30, 2014, the investment portfolio had gross unrealized losses of $2.1 million, $2.0 million of which has been in an unrealized loss position for a period of 12 months or greater. We did not consider these securities to be other-than-temporarily impaired as of June 30, 2014. We based our conclusion that these investments were not other-than-temporarily impaired at June 30, 2014 on the following facts: (i) the unrealized losses were primarily caused by interest rate movements since the purchase date; (ii) we do not intend to sell these investments and; (iii) we do not believe that it is more likely than not that we will be required to sell these investments before recovery of our amortized cost basis, which may not occur until maturity. For those securities in an unrealized loss position, the length of time the securities were in such a position is as follows:



	Less Than 12 Months						12 Months or Greater						Total
	# of Securities	Fair Value		Unrealized Losses			# of Securities	Fair Value		Unrealized Losses			# of Securities	Fair Value		Unrealized Losses
As of June 30, 2014		(Dollars in Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	1	$	124	$	—		15	$	74,465	$	(650	)	16	$	74,589	$	(650	)
Municipal bonds	—	—		—			1	1,732		(18		)	1	1,732		(18		)
Corporate debt securities	5	2,216		(6		)	27	96,788		(1,107		)	32	99,004		(1,113		)
Assets-backed securities	2	10,757		(101		)	6	27,130		(178		)	8	37,887		(279		)
Total Investments	8	$	13,097	$	(107	)	49	$	200,115	$	(1,953	)	57	$	213,212	$	(2,060	)



	Less Than 12 Months						12 Months or Greater					Total
	# of Securities	Fair Value		Unrealized Losses			# of Securities	Fair Value		Unrealized Losses		# of Securities	Fair Value		Unrealized Losses
As of December 31, 2013		(Dollars in Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	19	$	106,606	$	(1,461	)	—	$	—	$	—	19	$	106,606	$	(1,461	)
Municipal bonds	2	4,915		(85		)	—	—		—		2	4,915		(85		)
Corporate debt securities	47	187,714		(4,799		)	—	—		—		47	187,714		(4,799		)
Assets-backed securities	11	58,225		(974		)	—	—		—		11	58,225		(974		)
Total Investments	79	$	357,460	$	(7,319	)	—	$	—	$	—	79	$	357,460	$	(7,319	)

Net investment income is comprised of the following:



	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
	(In Thousands)
Fixed maturities	$	1,605		$	1,447		$	3,231		$	2,012
Cash equivalents	—			—			—			2
Investment income	1,605			1,447			3,231			2,014
Investment expenses	(137		)	(40		)	(274		)	(197		)
Net Investment Income	$	1,468		$	1,407		$	2,957		$	1,817

As of June 30, 2014 and December 31, 2013, there were approximately $7.1 million and $7.0 million, respectively, of cash and investments in the form of U.S. Treasury securities on deposit with various state insurance departments to satisfy regulatory requirements.

- Definition

The entire disclosure for investments in certain debt and equity securities.

+ References + Details

Fair Value of Financial Instruments

6 Months Ended

Jun. 30, 2014

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

The following describes the valuation techniques used by us to determine the fair value of financial instruments held at June 30, 2014 and December 31, 2013:

We established a fair value hierarchy by prioritizing the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under this standard are described below:

Level 1 - Unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date for identical assets or liabilities;

Level 2 - Prices or valuations based on observable inputs other than quoted prices in active markets for identical assets and liabilities; and

Level 3 - Unobservable inputs that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation.

The level of market activity used to determine the fair value hierarchy is based on the availability of observable inputs market participants would use to price an asset or a liability, including market value price observations.

Assets classified as Level 1 and Level 2

To determine the fair value of securities available-for-sale in Level 1 and Level 2 of the fair value hierarchy, independent pricing sources have been utilized. One price is provided per security based on observable market data. To ensure securities are appropriately classified in the fair value hierarchy, we review the pricing techniques and methodologies of the independent pricing sources and believe that their policies adequately consider market activity, either based on specific transactions for the issue valued or based on modeling of securities with similar credit quality, duration, yield and structure that were recently traded. A variety of inputs are utilized by the independent pricing sources including benchmark yields, reported trades, non-binding broker/dealer quotes, issuer spreads, two sided markets, benchmark securities, bids, offers and reference data including data published in market research publications. Inputs may be weighted differently for any security, and not all inputs are used for each security evaluation. Market indicators, industry and economic events are also considered. This information is evaluated using a multidimensional pricing model. Quality controls are performed by the independent pricing sources throughout this process, which include reviewing tolerance reports, trading information and data changes, and directional moves compared to market moves. This model combines all inputs to arrive at a value assigned to each security. We have not made any adjustments to the prices obtained from the independent pricing sources.

Liabilities classified as Level 3

The warrants outstanding are valued using a Black-Scholes option-pricing model in combination with a binomial model and Monte Carlo simulation used to value the pricing protection features within the warrants. Variables in the model include the risk-free rate of return, dividend yield, expected life and expected volatility of our stock price.

ASC 825, Disclosures about Fair Value of Financial Instruments, requires all entities to disclose the fair value of their financial instruments, both assets and liabilities recognized and not recognized in the balance sheet, for which it is practicable to estimate fair value.

The following is a list of those assets and liabilities that are measured at fair value by hierarchy level as of June 30, 2014 and December 31, 2013:



	Fair Value Measurements Using
Assets and Liabilities at Fair Value	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Fair Value
As of June 30, 2014	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	49,911	$	57,397	$	—	$	107,308
Municipal bonds	—		12,049		—		12,049
Corporate debt securities	—		221,070		—		221,070
Asset-backed securities	—		72,880		—		72,880
Cash and cash equivalents	34,671		—		—		34,671
Total Assets	$	84,582	$	363,396	$	—	$	447,978
Warrant liability	$	—	$	—	$	4,552	$	4,552
Total Liabilities	$	—	$	—	$	4,552	$	4,552



	Fair Value Measurements Using
Assets and Liabilities at Fair Value	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Fair Value
As of December 31, 2013	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	49,484	$	57,122	$	—	$	106,606
Municipal bonds	—		11,933		—		11,933
Corporate debt securities	—		217,257		—		217,257
Asset-backed securities	—		73,292		—		73,292
Cash and cash equivalents	55,929		—		—		55,929
Total Assets	$	105,413	$	359,604	$	—	$	465,017
Warrant liability	$	—	$	—	$	6,371	$	6,371
Total Liabilities	$	—	$	—	$	6,371	$	6,371

The following is a roll-forward of Level 3 liabilities measured at fair value for the six months ended June 30, 2014 and the year ended December 31, 2013:



Level 3 Instruments Only	Warrant Liability
Six Months Ended June 30, 2014	(In Thousands)
Balance, January 1, 2014	$	6,371
Change in fair value of warrant liability included in earnings	(1,769		)
Gain on settlement of warrants	(37		)
Issuance of common stock on warrant exercise	(13		)
Balance, June 30, 2014	$	4,552



Level 3 Instruments Only	Warrant Liability
Year Ended December 31, 2013	(In Thousands)
Balance, January 1, 2013	$	4,842
Change in fair value of warrant liability included in earnings	1,529
Balance, December 31, 2013	$	6,371

We revalue the warrant liability quarterly using a Black-Scholes option-pricing model in combination with a binomial model and a Monte-Carlo simulation model used to value the pricing protection features within the warrant. As of June 30, 2014 the assumptions used in the option pricing model were as follows: a common stock price as of June 30, 2014 of $10.50, risk free interest rate of 2.02%, expected life of 6.58 years, expected volatility of 39.0%, and a dividend yield of 0%. The change in fair value is primarily attributable to a decline in the price of our common stock from December 31, 2013 to June 30, 2014.

The carrying value of other selected assets on our consolidated balance sheet approximates fair value.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Reserves for Insurance Claims and Claim Expenses

6 Months Ended

Jun. 30, 2014

Insurance [Abstract]

Reserves for Insurance Claims and Claim Expenses

Reserves for Insurance Claims and Claims Expenses

We establish claim reserves to recognize the estimated liability for insurance claims and claim expenses related to defaults on insured mortgage loans. Our method, consistent with industry practice, is to establish claim reserves only for loans in default. We have received our first notice of default ("NOD") within our primary insurance book in the second quarter of 2014 and have established a reserve for that NOD and for claims that we believe have been incurred but not reported ("IBNR") for the three and six months ended June 30, 2014. For the year ended December 31, 2013 we established no claim or IBNR reserves. Additionally, we entered into a pool insurance transaction with Fannie Mae, effective September 1, 2013. For this pool transaction, any claim reserves potentially established would be in excess of the transaction's deductible, which represents the amount of claims absorbed by Fannie Mae before we are obligated to pay any claims under the policy. Due to the size of the deductible ($10.3 million), the low level of NODs reported through June 30, 2014 and the high quality of the loans, we have not established any pool reserves for claims or IBNR for the three and six months ended June 30, 2014 or for the year ended December 31, 2013.

The following table provides a reconciliation of the beginning and ending reserve balances for insurance claims and claims expenses for the six months ended June 30, 2014 and 2013:



	Six Months Ended
	2014		2013
	(In Thousands)
Reserve at beginning of period	$	—	$	—

Claims incurred:
Claims and Claims expenses incurred in respect of default notices related to:
Current year	28		—
Prior years	—		—
Total claims incurred	28		—

Claims paid:
Claims and Claims Expenses paid in respect of default notices related to:
Current year	—		—
Prior years	—		—
Total claims paid	—		—

Reserve at end of period	$	28	$	—

Software and Equipment

6 Months Ended

Jun. 30, 2014

Property, Plant and Equipment [Abstract]

Software and Equipment

Software and equipment includes capitalized software purchased in connection with the MAC Acquisition which had a fair value of $5.0 million at the date of acquisition, as well as software we have developed. Software and equipment, net of accumulated amortization and depreciation, as of June 30, 2014 and December 31, 2013 consist of the following:



	As of June 30,			As of December 31,
	2014			2013
	(In Thousands)
Software	$	17,617		$	14,140
Equipment	561			542
Leasehold improvements	904			141
Subtotal	19,082			14,823
Accumulated amortization and depreciation	(8,910		)	(5,947		)
Software and equipment, net	$	10,172		$	8,876

Amortization and depreciation expense for the three and six months ended June 30, 2014 and 2013 was $1.7 million, $3.0 million, $1.8 million and $1.8 million, respectively.

Intangible Assets and Goodwill

6 Months Ended

Jun. 30, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets and Goodwill

Intangible assets and goodwill consist of identifiable intangible assets and goodwill purchased in connection with the MAC Acquisition. Intangible assets and goodwill, net, as of June 30, 2014 and December 31, 2013, consist of the following:



As of June 30, 2014 and December 31, 2013	(In Thousands)		Expected Lives
Goodwill	$	3,244	Indefinite
State licenses	260		Indefinite
GSE applications	130		Indefinite
Total Intangible Assets and Goodwill	$	3,634

We test goodwill and intangibles for impairment in the third and fourth quarter, respectively, of every year, or more frequently if we believe indicators of impairment exist. We have not identified any impairments of goodwill or impairments of indefinite-lived intangibles as of June 30, 2014.

Income Taxes	6 Months Ended
Income Taxes	Jun. 30, 2014
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes We are a U.S. taxpayer and are subject to a statutory U.S. federal corporate income tax rate of 35%. Our holding company files a consolidated U.S. federal and various state income tax returns on behalf of itself and its subsidiaries. Our effective income tax rate on our pre-tax loss was 9.2% for the three months ended June 30, 2014, compared to 0.0% for the comparable 2013 period. Our effective income tax rate on our pre-tax loss was 4.4% for the six months ended June 30, 2014, compared to 0.0% for the comparable 2013 period. The income tax benefit of $1.3 million for the six months ended June 30, 2014 is related to the tax effects of unrealized gains credited to other comprehensive income ("OCI"). Generally, the amount of tax expense or benefit allocated to continuing operations is determined without regard to the tax effects of other categories of income or loss, such as OCI. However, an exception to the general rule is provided in ASC 740-20-45-7 when there is a pre-tax loss from continuing operations and there are items charged or credited to other categories, including OCI, in the current year. The intra-period tax allocation rules related to items charged or credited directly to OCI can result in disproportionate tax effects that remain in OCI until certain events occur. As a result of a reduction in unrealized losses credited directly to OCI during the six months ended June 30, 2014, approximately $2.7 million of tax provision expense has been netted with current year unrealized gains in OCI, and $1.3 million of tax provision benefit was allocated to the income tax provision for continuing operations. Other benefits from income taxes were eliminated or reduced by the recognition of a full valuation allowance which was recorded to reflect the amount of the deferred taxes that may not be realized. As of June 30, 2014 and December 31, 2013, we have a net deferred tax liability of $0.1 million as a result of the acquisition of indefinite-lived intangibles in the MAC Acquisition for which no benefit has been reflected in the acquired net operating loss carry forwards. The tax liability incurred at the acquisition is recorded as an increase in goodwill.

Share-Based Compensation

6 Months Ended

Jun. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-Based Compensation

Share Based Compensation

A summary of option activity under our 2012 Stock Incentive Plan during the quarters ended June 30, 2014 and June 30, 2013 is as follows:



	Shares		Weighted Average Exercise Price		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Options outstanding at December 31, 2013	3,063		$	10.31	$	3.98
Options granted	710		12.28		4.95
Options exercised	(109	)	10.00		3.85
Options forfeited	(64	)	11.16		4.37
Options outstanding at June 30, 2014	3,600		$	10.69	$	4.17



	Shares		Weighted Average Exercise Price		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Options outstanding at December 31, 2012	2,547		$	10.00	$	3.86
Options granted	532		11.78		4.56
Options forfeited	(10	)	10.00		3.84
Options outstanding at June 30, 2013	3,069		$	10.31	$	3.98

As of June 30, 2014, there were 109 thousand options exercised and 1.6 million options were fully vested and exercisable. The weighted average exercise price for the fully vested and exercisable options was $10.21. The remaining weighted average contractual life of options fully vested and exercisable as of June 30, 2014 was 7.8 years. The aggregate intrinsic value for fully vested and exercisable options was $0.7 million as of June 30, 2014. The fair value of option grants to employees is determined based on a Black-Scholes simulation model at the date of grant.

A summary of RSU activity in the plan during the six months ended June 30, 2014 and June 30, 2013 is as follows:



	Shares		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Non-vested restricted stock units at December 31, 2013	1,242		$	7.75
Restricted stock units granted	359		11.60
Restricted stock units vested	(295	)	8.23
Restricted stock units forfeited	(36	)	9.29
Non-vested restricted stock units at June 30, 2014	1,270		$	8.68



	Shares		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Non-vested restricted stock units at December 31, 2012	1,429		$	7.35
Restricted stock units granted	82		11.75
Restricted stock units vested	(262	)	6.79
Restricted stock units forfeited	—		—
Non-vested restricted stock units at June 30, 2013	1,249		$	7.76

At June 30, 2014, the 1.3 million shares of non-vested RSUs consisted of 0.5 million shares that are subject to both a market and service condition and 0.8 million shares that are subject only to service conditions. The non-vested RSUs subject to both a market and service condition vest in one-half increments upon the achievement of certain market price goals and continued service. Non-vested RSUs subject only to a service condition vest over a service period ranging from 1 to 3 years. The fair value of RSUs subject to market and service conditions is determined based on a Monte Carlo simulation model at the date of grant. The fair value of RSUs subject only to service conditions are valued at our stock price on the date of grant less the present value of anticipated dividends, which is $0.

On May 8, 2014 we held our annual shareholder meeting. Our shareholders voted to approve our 2014 Omnibus Incentive Plan, which authorizes us to make 4 million shares of our class A common stock available for grant. These shares may be either authorized but unissued shares or treasury shares.

Warrants	6 Months Ended
Warrants	Jun. 30, 2014
Debt Disclosure [Abstract]
Warrants	Warrants We issued 992.0 thousand warrants, to FBR and the former stockholders of MAC Financial Ltd., upon the completion of our Private Placement and in conjunction with the MAC Acquisition, respectively. Each warrant gave the holder thereof the right to purchase one share of common stock at an exercise price equal to $10.00. The warrants were issued with an aggregate fair value of $5.1 million. Upon exercise of these warrants, the amounts will be reclassified from warrant liability to additional paid-in capital. During the first quarter of 2014, 7.8 thousand warrants were exercised and we issued 1.1 thousand Class A common shares via a cashless exercise. Upon exercise we reclassified the fair value of the warrants from warrant liability to additional paid in capital and recognized a gain of approximately $37 thousand. We account for these warrants to purchase our common shares in accordance with ASC 470-20, Debt with Conversion and Other Options and ASC 815-40, Derivatives and Hedging - Contracts in Entity's Own Equity.

Litigation	6 Months Ended
Litigation	Jun. 30, 2014
Commitments and Contingencies Disclosure [Abstract]
Litigation	Litigation On August 8, 2012, the Receiver of PMI filed the PMI Complaint against NMIH, NMIC and certain employees of the Company in California Superior Court, Alameda County. Effective July 1, 2014, we entered into a settlement agreement to settle the PMI Complaint. See Note 1, Organization and Basis of Presentation, Subsequent Events.

Statutory Information

6 Months Ended

Jun. 30, 2014

Insurance [Abstract]

Statutory Information

Our insurance subsidiaries, NMIC and Re One, file financial statements in conformity with statutory basis accounting principles ("SAP") prescribed or permitted by the Wisconsin Office of the Commissioner of Insurance ("Wisconsin OCI"). NMIC's principal regulator is the Wisconsin OCI. Prescribed SAP includes state laws, regulations and general administrative rules, as well as a variety of publications of the National Association of Insurance Commissioners ("NAIC"). The Wisconsin OCI recognizes only statutory accounting practices prescribed or permitted by the state of Wisconsin for determining and reporting the financial condition and results of operations of an insurance company and for determining its solvency under Wisconsin insurance laws.

NMIC and Re One's combined statutory net loss, statutory surplus and contingency reserve as of and for the six months ended June 30, 2014 and for the year ended December 31, 2013 were as follows:



	June 30, 2014			December 31, 2013
	(In Thousands)
Statutory net loss	$	(24,637	)	$	(33,307	)
Statutory surplus	185,061			189,698
Contingency reserve	4,312			2,314

Under applicable Wisconsin law, as well as that of 15 other states, a mortgage guaranty insurer must maintain a minimum amount of statutory capital relative to the risk-in-force (Risk to Capital ratio or “RTC ratio”) in order for the mortgage guaranty insurer to continue to write new business. We refer to these requirements as the “RTC requirement.” While formulations of minimum capital may vary in each jurisdiction that has such a requirement, the most common measure applied allows for a maximum permitted RTC ratio of 25 to 1. Wisconsin and certain other states, including California and Illinois, apply a substantially similar requirement referred to as minimum policyholders position. Our operation plan filed with the Wisconsin OCI and other state insurance departments in connection with NMIC's applications for licensure includes the expectation that NMIH will downstream additional capital if needed so that NMIC does not exceed risk-to-capital ratios agreed to with those states. NMIC may in the future seek state insurance department approvals, as needed, of an amendment to our business plan to increase this ratio to the Wisconsin regulatory minimum of 25 to 1.

Certain states limit the amount of risk a mortgage guaranty insurer may retain on a single loan to 25% of the indebtedness to the insured and as a result the portion of such insurance in excess of 25% must be reinsured. NMIC and Re One have entered into a primary excess share reinsurance agreement effective August 1, 2012 and a facultative pool reinsurance agreement effective September 1, 2013, under which NMIC cedes premiums, loss reserves and claims to Re One on an excess share basis for any primary or pool policy which offers coverage greater than 25% on any loan insured thereunder. NMIC will use reinsurance provided by Re One solely for purposes of compliance with statutory coverage limits. Currently, NMIC has no other reinsurance agreements. During April 2013, NMIC wrote its first mortgage insurance policies and ceded premium and risk to Re One the following month.

As of June 30, 2013, NMIC had six policies in force totaling approximately $257 thousand of RIF, resulting in a non-meaningful RTC ratio. As of June 30, 2014, NMIC had $314 million in total risk-in-force with a RTC ratio that was less than 2:1, significantly below the GSE and state imposed financial requirements. The risk-to-capital calculation for each of our insurance subsidiaries, as well as our combined risk-to-capital calculation, as of June 30, 2014, is presented below.



As of June 30, 2014	NMIC			Re One		Combined
	(In Thousands)
Primary risk-in-force
Direct	$	220,949		$	—	$	220,949
Assumed	—			17,969		17,969
Ceded	(17,969		)	—		(17,969		)
Total primary risk-in-force	202,980			17,969		220,949
Pool risk-in-force ⁽¹⁾
Direct	93,090			—		93,090
Assumed	—			25,163		25,163
Ceded	(25,163		)	—		(25,163		)
Total pool risk-in-force	67,927			25,163		93,090
Total risk-in-force	270,907			43,132		314,039

Statutory policyholders' surplus	175,784			9,277		185,061
Statutory contingency reserve	3,604			708		4,312
Total statutory policyholders' position	$	179,388		$	9,985	$	189,373

Risk-to-Capital ⁽²⁾	1.5:1			4.3:1		1.7:1


⁽¹⁾	Pool risk-in-force as shown in the table above is equal to the aggregate stop loss less a deductible.

⁽²⁾

Represents total risk-in-force divided by statutory policyholders' position which is the metric by which the majority of state insurance regulators will assess our capital adequacy. Additionally, pursuant to the 2013 Fannie Mae pool agreement, we are required to maintain the greater of (a) the risk-to-capital requirements outlined in Fannie Mae's January 2013 approval letter or (b) a risk-to-capital ratio of 18:1 on primary business plus statutory capital equal to the amount of net risk-in-force of the pool.

NMIH is not subject to any limitations on its ability to pay dividends except those generally applicable to corporations that are incorporated in Delaware, such as NMIH. Delaware corporation law provides that dividends are only payable out of a corporation's capital surplus or (subject to certain limitations) recent net profits. As of December 31, 2013, NMIH's capital surplus was approximately $463 million. NMIH assets, excluding investment in NMIC and Re One, were approximately $276 million at December 31, 2013 and were unencumbered by any debt or other subsidiary commitments or obligations. The insurance subsidiaries are both mono-line mortgage guaranty insurance companies, and the assets of each are dedicated only to the support of direct risk and obligations of each mortgage insurance entity. NMIC only writes direct mortgage guaranty insurance business and assumes no business from any other entity. Re One only assumes business from NMIC to allow NMIC to comply with statutory risk requirements. Neither NMIC nor Re One have subsidiaries, and therefore do not have risks and obligations that compete for its resources, and neither entity counts a subsidiary's asset in their admitted statutory assets.

The GSEs and state insurance regulators may restrict our insurance subsidiaries' ability to pay dividends to NMIH. In addition to the restrictions imposed during the GSE Approval and state licensing processes, the ability of our insurance subsidiaries to pay dividends to NMIH is limited by insurance laws of the State of Wisconsin and certain other states. Wisconsin law provides that an insurance company may pay out dividends without the prior approval of the Wisconsin OCI (“ordinary dividends”) in an amount, when added to other shareholder distributions made in the prior 12 months, not to exceed the lesser of (a) 10% of the insurer's surplus as regards to policyholders as of the prior December 31, or (b) its net income (excluding realized capital gains) for the twelve month period ending December 31 of the immediately preceding calendar year. In determining net income, an insurer may carry forward net income from the previous calendar years that has not already been paid out as a dividend. Dividends that exceed this amount are “extraordinary dividends,” which require prior approval of the Wisconsin OCI. As of December 31, 2013, the amount of restricted net assets held by our consolidated insurance subsidiaries totaled approximately $193 million of NMIH's consolidated net assets of $463 million. The amount of restricted assets used to determine any dividend to NMIH, once all restrictions expire, would be computed under SAP which may differ from the amount of restricted assets computed under GAAP.

Investments (Tables)

6 Months Ended

Jun. 30, 2014

Investments, Debt and Equity Securities [Abstract]

Schedule of Fair Values and Gross Unrealized Gains and Losses

Fair Values and Gross Unrealized Gains and Losses on Investments



	Amortized Cost		Gross Unrealized					Fair Value
	Amortized Cost		Gains		Losses			Fair Value
As of June 30, 2014	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	107,929	$	29	$	(650	)	$	107,308
Municipal bonds	12,013		54		(18		)	12,049
Corporate debt securities	221,111		1,072		(1,113		)	221,070
Asset-backed securities	72,763		396		(279		)	72,880
Total Investments	$	413,816	$	1,551	$	(2,060	)	$	413,307



	Amortized Cost		Gross Unrealized					Fair Value
	Amortized Cost		Gains		Losses			Fair Value
As of December 31, 2013	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	108,067	$	—	$	(1,461	)	$	106,606
Municipal bonds	12,017		1		(85		)	11,933
Corporate debt securities	221,899		157		(4,799		)	217,257
Asset-backed securities	74,152		114		(974		)	73,292
Total Investments	$	416,135	$	272	$	(7,319	)	$	409,088

Schedule of Investments by Maturity



As of June 30, 2014	Amortized Cost		Fair Value
	(In Thousands)
Due in one year or less	$	2,674	$	2,675
Due after one through five years	265,261		264,556
Due after five through ten years	57,718		57,843
Due after ten years	15,400		15,353
Asset-backed securities	72,763		72,880
Total Investments	$	413,816	$	413,307



As of December 31, 2013	Amortized Cost		Fair Value
	(In Thousands)
Due in one year or less	$	—	$	—
Due after one through five years	260,855		257,501
Due after five through ten years	65,687		63,440
Due after ten years	15,441		14,855
Asset-backed securities	74,152		73,292
Total Investments	$	416,135	$	409,088

Schedule of Net Realized Gain (Loss) on Investments

Net Realized Investment Gains (Losses) on Investments



	For the Three Months Ended June 30,					For the Six Months Ended June 30,
	2014		2013			2014		2013
	(In Thousands)
Corporate debt securities	$	—	$	488		$	—	$	517
U.S. Treasury securities and obligations of U.S. government agencies	—		(16		)	—		(16		)
Asset-backed securities	—		(20		)	—		(20		)
Total Net Realized Investment Gains	$	—	$	452		$	—	$	481

Schedule of Aging Unrealized Losses

For those securities in an unrealized loss position, the length of time the securities were in such a position is as follows:



	Less Than 12 Months						12 Months or Greater						Total
	# of Securities	Fair Value		Unrealized Losses			# of Securities	Fair Value		Unrealized Losses			# of Securities	Fair Value		Unrealized Losses
As of June 30, 2014		(Dollars in Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	1	$	124	$	—		15	$	74,465	$	(650	)	16	$	74,589	$	(650	)
Municipal bonds	—	—		—			1	1,732		(18		)	1	1,732		(18		)
Corporate debt securities	5	2,216		(6		)	27	96,788		(1,107		)	32	99,004		(1,113		)
Assets-backed securities	2	10,757		(101		)	6	27,130		(178		)	8	37,887		(279		)
Total Investments	8	$	13,097	$	(107	)	49	$	200,115	$	(1,953	)	57	$	213,212	$	(2,060	)



	Less Than 12 Months						12 Months or Greater					Total
	# of Securities	Fair Value		Unrealized Losses			# of Securities	Fair Value		Unrealized Losses		# of Securities	Fair Value		Unrealized Losses
As of December 31, 2013		(Dollars in Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	19	$	106,606	$	(1,461	)	—	$	—	$	—	19	$	106,606	$	(1,461	)
Municipal bonds	2	4,915		(85		)	—	—		—		2	4,915		(85		)
Corporate debt securities	47	187,714		(4,799		)	—	—		—		47	187,714		(4,799		)
Assets-backed securities	11	58,225		(974		)	—	—		—		11	58,225		(974		)
Total Investments	79	$	357,460	$	(7,319	)	—	$	—	$	—	79	$	357,460	$	(7,319	)

Schedule of Net Investment Income

Net investment income is comprised of the following:



	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
	(In Thousands)
Fixed maturities	$	1,605		$	1,447		$	3,231		$	2,012
Cash equivalents	—			—			—			2
Investment income	1,605			1,447			3,231			2,014
Investment expenses	(137		)	(40		)	(274		)	(197		)
Net Investment Income	$	1,468		$	1,407		$	2,957		$	1,817

- Definition

Tabular disclosure of available-for-sale securities which includes, but is not limited to, changes in the cost basis and fair value, fair value and gross unrealized gain (loss), fair values by type of security, contractual maturity and classification, amortized cost basis, contracts to acquire securities to be accounted for as available-for-sale, debt maturities, transfers to trading, change in net unrealized holding gain (loss) net of tax, continuous unrealized loss position fair value, aggregate losses qualitative disclosures, other than temporary impairment (OTTI) losses or other disclosures related to available for sale securities.

+ References + Details

Fair Value of Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2014

Fair Value Disclosures [Abstract]

Fair Value Measurements, Recurring and Nonrecurring

The following is a list of those assets and liabilities that are measured at fair value by hierarchy level as of June 30, 2014 and December 31, 2013:



	Fair Value Measurements Using
Assets and Liabilities at Fair Value	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Fair Value
As of June 30, 2014	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	49,911	$	57,397	$	—	$	107,308
Municipal bonds	—		12,049		—		12,049
Corporate debt securities	—		221,070		—		221,070
Asset-backed securities	—		72,880		—		72,880
Cash and cash equivalents	34,671		—		—		34,671
Total Assets	$	84,582	$	363,396	$	—	$	447,978
Warrant liability	$	—	$	—	$	4,552	$	4,552
Total Liabilities	$	—	$	—	$	4,552	$	4,552



	Fair Value Measurements Using
Assets and Liabilities at Fair Value	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Fair Value
As of December 31, 2013	(In Thousands)
U.S. Treasury securities and obligations of U.S. government agencies	$	49,484	$	57,122	$	—	$	106,606
Municipal bonds	—		11,933		—		11,933
Corporate debt securities	—		217,257		—		217,257
Asset-backed securities	—		73,292		—		73,292
Cash and cash equivalents	55,929		—		—		55,929
Total Assets	$	105,413	$	359,604	$	—	$	465,017
Warrant liability	$	—	$	—	$	6,371	$	6,371
Total Liabilities	$	—	$	—	$	6,371	$	6,371

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following is a roll-forward of Level 3 liabilities measured at fair value for the six months ended June 30, 2014 and the year ended December 31, 2013:



Level 3 Instruments Only	Warrant Liability
Six Months Ended June 30, 2014	(In Thousands)
Balance, January 1, 2014	$	6,371
Change in fair value of warrant liability included in earnings	(1,769		)
Gain on settlement of warrants	(37		)
Issuance of common stock on warrant exercise	(13		)
Balance, June 30, 2014	$	4,552



Level 3 Instruments Only	Warrant Liability
Year Ended December 31, 2013	(In Thousands)
Balance, January 1, 2013	$	4,842
Change in fair value of warrant liability included in earnings	1,529
Balance, December 31, 2013	$	6,371

Reserves for Insurance Claims and Claim Expenses (Tables)

6 Months Ended

Jun. 30, 2014

Insurance [Abstract]

Reconciliation of Liability for Insurance Claims and Claims Expenses

The following table provides a reconciliation of the beginning and ending reserve balances for insurance claims and claims expenses for the six months ended June 30, 2014 and 2013:



	Six Months Ended
	2014		2013
	(In Thousands)
Reserve at beginning of period	$	—	$	—

Claims incurred:
Claims and Claims expenses incurred in respect of default notices related to:
Current year	28		—
Prior years	—		—
Total claims incurred	28		—

Claims paid:
Claims and Claims Expenses paid in respect of default notices related to:
Current year	—		—
Prior years	—		—
Total claims paid	—		—

Reserve at end of period	$	28	$	—

Software and Equipment (Tables)

6 Months Ended

Jun. 30, 2014

Property, Plant and Equipment [Abstract]

Schedule of Equipment and Software

Software and equipment, net of accumulated amortization and depreciation, as of June 30, 2014 and December 31, 2013 consist of the following:



	As of June 30,			As of December 31,
	2014			2013
	(In Thousands)
Software	$	17,617		$	14,140
Equipment	561			542
Leasehold improvements	904			141
Subtotal	19,082			14,823
Accumulated amortization and depreciation	(8,910		)	(5,947		)
Software and equipment, net	$	10,172		$	8,876

Intangible Assets and Goodwill (Tables)

6 Months Ended

Jun. 30, 2014

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Indefinite-Lived Intangible Assets

Intangible assets and goodwill, net, as of June 30, 2014 and December 31, 2013, consist of the following:



As of June 30, 2014 and December 31, 2013	(In Thousands)		Expected Lives
Goodwill	$	3,244	Indefinite
State licenses	260		Indefinite
GSE applications	130		Indefinite
Total Intangible Assets and Goodwill	$	3,634

Share-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of Stock Option Activity

A summary of option activity under our 2012 Stock Incentive Plan during the quarters ended June 30, 2014 and June 30, 2013 is as follows:



	Shares		Weighted Average Exercise Price		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Options outstanding at December 31, 2013	3,063		$	10.31	$	3.98
Options granted	710		12.28		4.95
Options exercised	(109	)	10.00		3.85
Options forfeited	(64	)	11.16		4.37
Options outstanding at June 30, 2014	3,600		$	10.69	$	4.17



	Shares		Weighted Average Exercise Price		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Options outstanding at December 31, 2012	2,547		$	10.00	$	3.86
Options granted	532		11.78		4.56
Options forfeited	(10	)	10.00		3.84
Options outstanding at June 30, 2013	3,069		$	10.31	$	3.98

Schedule of Restricted Stock Units Activity

A summary of RSU activity in the plan during the six months ended June 30, 2014 and June 30, 2013 is as follows:



	Shares		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Non-vested restricted stock units at December 31, 2013	1,242		$	7.75
Restricted stock units granted	359		11.60
Restricted stock units vested	(295	)	8.23
Restricted stock units forfeited	(36	)	9.29
Non-vested restricted stock units at June 30, 2014	1,270		$	8.68



	Shares		Weighted Average Grant Date Fair Value per Share
	(Shares in Thousands)
Non-vested restricted stock units at December 31, 2012	1,429		$	7.35
Restricted stock units granted	82		11.75
Restricted stock units vested	(262	)	6.79
Restricted stock units forfeited	—		—
Non-vested restricted stock units at June 30, 2013	1,249		$	7.76

Statutory Information (Tables)

6 Months Ended

Jun. 30, 2014

Insurance [Abstract]

Schedule of Risk to Capital

NMIC and Re One's combined statutory net loss, statutory surplus and contingency reserve as of and for the six months ended June 30, 2014 and for the year ended December 31, 2013 were as follows:



	June 30, 2014			December 31, 2013
	(In Thousands)
Statutory net loss	$	(24,637	)	$	(33,307	)
Statutory surplus	185,061			189,698
Contingency reserve	4,312			2,314

he risk-to-capital calculation for each of our insurance subsidiaries, as well as our combined risk-to-capital calculation, as of June 30, 2014, is presented below.



As of June 30, 2014	NMIC			Re One		Combined
	(In Thousands)
Primary risk-in-force
Direct	$	220,949		$	—	$	220,949
Assumed	—			17,969		17,969
Ceded	(17,969		)	—		(17,969		)
Total primary risk-in-force	202,980			17,969		220,949
Pool risk-in-force ⁽¹⁾
Direct	93,090			—		93,090
Assumed	—			25,163		25,163
Ceded	(25,163		)	—		(25,163		)
Total pool risk-in-force	67,927			25,163		93,090
Total risk-in-force	270,907			43,132		314,039

Statutory policyholders' surplus	175,784			9,277		185,061
Statutory contingency reserve	3,604			708		4,312
Total statutory policyholders' position	$	179,388		$	9,985	$	189,373

Risk-to-Capital ⁽²⁾	1.5:1			4.3:1		1.7:1


⁽¹⁾	Pool risk-in-force as shown in the table above is equal to the aggregate stop loss less a deductible.

⁽²⁾

- Definition

Tabular disclosure of how the entity's reporting under GAAP as of the balance sheet date differs from the results based on prescribed and permitted accounting practices of the state or country of domicile in which a relevant statutory filing is made, or differences in results based on the National Association of Insurance Commissioners (NAIC) prescribed practices, or a combination thereof. Describes the accounting practices used and the related monetary effect on statutory surplus, net income, and risk-based capital. If an insurance enterprise's risk-based capital would have triggered a regulatory event had it not used a permitted practice, that fact is disclosed in the financial statements. Permitted statutory accounting practices include practices not prescribed but allowed by the domiciliary state insurance department regulatory authority.

+ References + Details

Organization and Basis of Presentation (Details)

1 Months Ended

3 Months Ended

6 Months Ended

Nov. 08, 2013

USD ($)

Nov. 30, 2011

USD ($)

Apr. 30, 2012

USD ($)

$ / shares

Jun. 30, 2014

USD ($)

state

Mar. 31, 2013

Jun. 30, 2014

USD ($)

state

Jun. 30, 2013

USD ($)

Dec. 31, 2013

USD ($)

Business Acquisition [Line Items]

Primary insurance in force

$ 939,800,000

Pool insurance in force

$ 4,900,000,000

Number of States in which Entity Operates | state

Issuance of common stock

$ 1,086,000

$ 0

Underwriting fee and other offering expense (percent)

7.00%

Underwriting fee and other offering expense

$ 510,000,000

Statutory capital and surplus required

$ 150,000,000

Required Risk-to-Capital Ratio on Agreements Per GSE Approval, Maximum

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

5,900,000

5,300,000

Deferred policy acquisition costs, net

$ 1,051,000

$ 90,200

MAC Financial Holding Corporation and Subsidiaries [Member]

Business Acquisition [Line Items]

Cash, common stock and warrants issued for acquisition

$ 8,500,000

Liabilities assumed in acquisition

1,300,000

Tax liabilities assumed in acquisition

$ 100,000

Class A

Business Acquisition [Line Items]

Common stock offered and sold, (in shares) | shares

55,000,000

Common stock issue price (usd per share) | $ / shares

$ 10.00

Issuance of common stock

$ 550,000,000

IPO [Member]

Business Acquisition [Line Items]

Common stock offered and sold, (in shares) | shares

2,400,000

Underwriting fee and other offering expense (percent)

6.00%

Underwriting fee and other offering expense

$ 28,000,000

Combined [Member]

Business Acquisition [Line Items]

Risk in Force Primary

220,949,000

Pool risk in force

^[1]

$ 93,090,000

[1]	Pool risk-in-force as shown in the table above is equal to the aggregate stop loss less a deductible.

Common Stock Offering (Details) - USD ($) $ in Millions		1 Months Ended
Common Stock Offering (Details) - USD ($) $ in Millions	Nov. 08, 2013	Apr. 30, 2012
Class of Stock [Line Items]
Underwriting fee and other offering expense		$ 510
Underwriting fee and other offering expense (percent)		7.00%
Class A
Class of Stock [Line Items]
Common stock offered and sold, (in shares)		55,000,000
IPO [Member]
Class of Stock [Line Items]
Common stock offered and sold, (in shares)	2,400,000
Underwriting fee and other offering expense	$ 28
Underwriting fee and other offering expense (percent)	6.00%

Investments - Narrative (Details) - USD ($) $ in Thousands	Jun. 30, 2014	Dec. 31, 2013
Schedule of Available-for-sale Securities [Line Items]
Unrealized losses	$ (2,060)	$ (7,319)
Unrealized Losses, 12 Months or Greater	(1,953)	0
U.S. Treasury securities and obligations of U.S. government agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Unrealized losses	(650)	(1,461)
Unrealized Losses, 12 Months or Greater	(650)	0
Cash and investments held with various state insurance departments	$ 7,100	$ 7,000

- Definition

Cash includes currency on hand as well as demand deposits with banks or financial institutions. It also includes other kinds of accounts that have the general characteristics of demand deposits in that the customer may deposit additional funds at any time and effectively may withdraw funds at any time without prior notice or penalty. Cash equivalents, excluding items classified as marketable securities, include short-term, highly liquid Investments that are both readily convertible to known amounts of cash, and so near their maturity that they present minimal risk of changes in value because of changes in interest rates. Generally, only investments with original maturities of three months or less qualify under that definition. Original maturity means original maturity to the entity holding the investment. For example, both a three-month US Treasury bill and a three-year Treasury note purchased three months from maturity qualify as cash equivalents. However, a Treasury note purchased three years ago does not become a cash equivalent when its remaining maturity is three months. Short-term investments, exclusive of cash equivalents, generally consist of marketable securities intended to be sold within one year (or the normal operating cycle if longer) and may include trading securities, available-for-sale securities, or held-to-maturity securities (if maturing within one year), as applicable.

+ References + Details

Investments - Fair Values and Gross Unrealized Gains and Losses on Investments (Details) - USD ($) $ in Thousands	Jun. 30, 2014	Dec. 31, 2013
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 413,816	$ 416,135
Gross Unrealized Gains	1,551	272
Gross Unrealized (Losses)	(2,060)	(7,319)
Fair Value	413,307	409,088
U.S. Treasury securities and obligations of U.S. government agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	107,929	108,067
Gross Unrealized Gains	29	0
Gross Unrealized (Losses)	(650)	(1,461)
Fair Value	107,308	106,606
Municipal bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	12,013	12,017
Gross Unrealized Gains	54	1
Gross Unrealized (Losses)	(18)	(85)
Fair Value	12,049	11,933
Corporate debt securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	221,111	221,899
Gross Unrealized Gains	1,072	157
Gross Unrealized (Losses)	(1,113)	(4,799)
Fair Value	221,070	217,257
Asset-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	72,763	74,152
Gross Unrealized Gains	396	114
Gross Unrealized (Losses)	(279)	(974)
Fair Value	$ 72,880	$ 73,292

Investments - Scheduled Maturities (Details) - USD ($) $ in Thousands	Jun. 30, 2014	Dec. 31, 2013
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis [Abstract]
Amortized Cost, Due in one year or less	$ 2,674	$ 0
Amortized Cost, Due after one through five years	265,261	260,855
Amortized Cost, Due after five through ten years	57,718	65,687
Amortized Cost, Due after ten years	15,400	15,441
Amortized Cost, Total Investments	413,816	416,135
Available-for-sale Securities, Debt Maturities, Single Maturity Date [Abstract]
Fair Value, Due in one year or less	2,675	0
Fair Value, Due after one through five years	264,556	257,501
Fair Value, Due after five through ten years	57,843	63,440
Fair Value Due after ten years	15,353	14,855
Fair Value, Total Investments	413,307	409,088
Asset-backed securities [Member]
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis [Abstract]
Amortized Cost, Total Investments	72,763	74,152
Available-for-sale Securities, Debt Maturities, Single Maturity Date [Abstract]
Fair Value, Total Investments	72,880	73,292
Total bonds [Member]
Available-for-sale Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis [Abstract]
Amortized Cost, Total Investments	413,816	416,135
Available-for-sale Securities, Debt Maturities, Single Maturity Date [Abstract]
Fair Value, Total Investments	$ 413,307	$ 409,088

Investments - Net Realized Investment (Losses) Gains on Investments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Schedule of Available-for-sale Securities [Line Items]
Net realized investment gains	$ 0	$ 452	$ 0	$ 481
Corporate debt securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Net realized investment gains	0	488	0	517
U.S. Treasury securities and obligations of U.S. government agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Net realized investment gains	0	(16)	0	(16)
Asset-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Net realized investment gains	$ 0	$ (20)	$ 0	$ (20)

Investments - Unrealized Losses (Details) $ in Thousands	Jun. 30, 2014 USD ($) securities security	Dec. 31, 2013 USD ($) security
Schedule of Available-for-sale Securities [Line Items]
Number of securities, less than 12 months	8	79
Fair Value, Less than 12 Months	$ 13,097	$ 357,460
Unrealized Losses, Less than 12 Months	$ (107)	$ (7,319)
Number of securities,12 months or greater \| security	49	0
Fair Value, 12 Months or Greater	$ 200,115	$ 0
Unrealized Losses, 12 Months or Greater	$ (1,953)	$ 0
Number of securities, Total \| security	57	79
Fair Value, Total	$ 213,212	$ 357,460
Unrealized Losses	$ (2,060)	$ (7,319)
U.S. Treasury securities and obligations of U.S. government agencies [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of securities, less than 12 months	1	19
Fair Value, Less than 12 Months	$ 124	$ 106,606
Unrealized Losses, Less than 12 Months	$ 0	$ (1,461)
Number of securities,12 months or greater \| security	15	0
Fair Value, 12 Months or Greater	$ 74,465	$ 0
Unrealized Losses, 12 Months or Greater	$ (650)	$ 0
Number of securities, Total \| security	16	19
Fair Value, Total	$ 74,589	$ 106,606
Unrealized Losses	$ (650)	$ (1,461)
Municipal bonds [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of securities, less than 12 months	0	2
Fair Value, Less than 12 Months	$ 0	$ 4,915
Unrealized Losses, Less than 12 Months	$ 0	$ (85)
Number of securities,12 months or greater \| security	1	0
Fair Value, 12 Months or Greater	$ 1,732	$ 0
Unrealized Losses, 12 Months or Greater	$ (18)	$ 0
Number of securities, Total \| security	1	2
Fair Value, Total	$ 1,732	$ 4,915
Unrealized Losses	$ (18)	$ (85)
Corporate debt securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of securities, less than 12 months	5	47
Fair Value, Less than 12 Months	$ 2,216	$ 187,714
Unrealized Losses, Less than 12 Months	$ (6)	$ (4,799)
Number of securities,12 months or greater \| security	27	0
Fair Value, 12 Months or Greater	$ 96,788	$ 0
Unrealized Losses, 12 Months or Greater	$ (1,107)	$ 0
Number of securities, Total \| security	32	47
Fair Value, Total	$ 99,004	$ 187,714
Unrealized Losses	$ (1,113)	$ (4,799)
Asset-backed securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Number of securities, less than 12 months	2	11
Fair Value, Less than 12 Months	$ 10,757	$ 58,225
Unrealized Losses, Less than 12 Months	$ (101)	$ (974)
Number of securities,12 months or greater \| security	6	0
Fair Value, 12 Months or Greater	$ 27,130	$ 0
Unrealized Losses, 12 Months or Greater	$ (178)	$ 0
Number of securities, Total \| security	8	11
Fair Value, Total	$ 37,887	$ 58,225
Unrealized Losses	$ (279)	$ (974)

Investments - Net Investment Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Schedule of Available-for-sale Securities [Line Items]
Investment income	$ 1,605	$ 1,447	$ 3,231	$ 2,014
Investment expenses	(137)	(40)	(274)	(197)
Net Investment Income	1,468	1,407	2,957	1,817
Fixed maturities [Member]
Schedule of Available-for-sale Securities [Line Items]
Investment income	1,605	1,447	3,231	2,012
Cash equivalents [Member]
Schedule of Available-for-sale Securities [Line Items]
Investment income	$ 0	$ 0	$ 0	$ 2

Fair Value of Financial Instruments - Rollforward of Level 3 (Details) - Significant Unobservable Inputs (Level 3) [Member] - Warrant Liability [Member] - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2014	Dec. 31, 2013
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	$ 6,371	$ 4,842
Change in fair value of warrant liability included in earnings	(1,769)	1,529
Gain on settlement of warrants	(37)
Issuance of common stock on warrant exercise	(13)
Ending balance	$ 4,552	$ 6,371

Fair Value of Financial Instruments - Narrative (Details) - Significant Unobservable Inputs (Level 3) [Member]	6 Months Ended
	Jun. 30, 2014 $ / shares
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Volatility Assumption	39.00%
Warrant Liability [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Share Price (in dollars per share)	$ 10.50
Risk free rate	2.02%
Expected term	6 years 6 months 30 days
Expected dividend rate	0.00%

Reserves for Insurance Claims and Claim Expenses (Details) - USD ($)	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Insurance [Abstract]
Reserve for insurance claims and claims expenses	$ 28,000		$ 0
Deductible on policy	10,300,000
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]
Reserve at beginning of period	0	$ 0
Liability for Unpaid Claims and Claims Adjustment Expense, Incurred Claims [Abstract]
Current year	28,000	0
Prior years	0	0
Total claims incurred	28,000	0
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid [Abstract]
Current year	0	0
Prior years	0	0
Total claims paid	0	0
Reserve at end of period	$ 28,000	$ 0

Software and Equipment (Details) - USD ($) $ in Thousands	Jun. 30, 2014	Dec. 31, 2013
Property, Plant and Equipment [Line Items]
Property plant and equipment	$ 19,082	$ 14,823
Accumulated amortization and depreciation	(8,910)	(5,947)
Software and equipment, net	10,172	8,876
Software
Property, Plant and Equipment [Line Items]
Property plant and equipment	17,617	14,140
Equipment
Property, Plant and Equipment [Line Items]
Property plant and equipment	561	542
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property plant and equipment	$ 904	$ 141

Software and Equipment - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Significant Acquisitions and Disposals [Line Items]
Depreciation and amortization	$ 1.7	$ 1.8	$ 3.0	$ 1.8
MAC Financial Holding Corporation and Subsidiaries [Member]
Significant Acquisitions and Disposals [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment	$ 5.0		$ 5.0

Intangible Assets and Goodwill (Details) - USD ($)	Jun. 30, 2014	Dec. 31, 2013
Indefinite-lived Intangible Assets [Line Items]
Goodwill and other indefinite lived intangible assets	$ 3,634,000	$ 3,634,000
Goodwill impairment	0
MAC Financial Holding Corporation and Subsidiaries [Member]
Indefinite-lived Intangible Assets [Line Items]
Goodwill	3,244,000	3,244,000
Goodwill and other indefinite lived intangible assets	3,634,000	390,000
MAC Financial Holding Corporation and Subsidiaries [Member] \| State licenses [Member]
Indefinite-lived Intangible Assets [Line Items]
Intangible assets	260,000	260,000
MAC Financial Holding Corporation and Subsidiaries [Member] \| GSE Approvals [Member]
Indefinite-lived Intangible Assets [Line Items]
Intangible assets	$ 130,000	$ 130,000

Income Taxes - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Income Taxes - Narrative (Details) - USD ($) $ in Thousands	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Federal statutory income tax rate			35.00%
Effective Income Tax Rate Reconciliation, Percent	9.20%	0.00%	4.40%	0.00%
Income tax benefit	$ (1,297)	$ 0	$ (1,297)	$ 0
Tax provision expense netted against unrealized gains in OCI			2,700
Deferred tax liabilities, net	$ (133)		$ (133)		$ (133)

Share-Based Compensation - Stock Option Activity (Details) - The 2012 Stock Incentive Plan [Member] - $ / shares shares in Thousands	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Options beginning balance (in shares)	3,063	2,547
Options granted (in shares)	710	532
Less: Options exercised (in shares)	(109)
Less: Options forfeited (in shares)	(64)	(10)
Options ending balance (in shares)	3,600	3,069
Weighted Average Grant Date Fair Value per Share
Options beginning balance (in dollars per share)	$ 10.31	$ 10.00
Options granted (in dollars per share)	12.28	11.78
Less: Options exercised (in dollars per share)	10.00
Less: Options forfeited (in dollars per share)	11.16	10.00
Options ending balance (in dollars per share)	10.69	10.31
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Options beginning balance (in dollars per share)	3.98	3.86
Options granted (in dollars per share)	4.95	4.56
Less: Options exercised (in dollars per share)	3.85
Less: Options forfeited (in dollars per share)	4.37	3.84
Options ending balance (in dollars per share)	$ 4.17	$ 3.98

Share-Based Compensation - Restricted Stock Units Activity (Details) - The 2012 Stock Incentive Plan [Member] - Restricted Stock Units [Member] - $ / shares shares in Thousands	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Restricted Stock beginning balance (in shares)	1,242	1,429
Restricted stock units granted (in shares)	359	82
Less: Restricted stock units vested (in shares)	(295)	(262)
Less: Restricted stock units forfeited (in shares)	(36)	0
Restricted Stock ending balance (in shares)	1,270	1,249
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Restricted Stock beginning balance (in dollars per share)	$ 7.75	$ 7.35
Restricted Stock Units Granted (in dollars per share)	11.60	11.75
Less: Restricted Stock Units Vested (in dollars per share)	8.23	6.79
Less: Restricted Stock Units Forfeited (in dollars per share)	9.29	0.00
Restricted Stock ending balance (in dollars per share)	$ 8.68	$ 7.76

Share-Based Compensation - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions	6 Months Ended
	Jun. 30, 2014	May 08, 2014	Dec. 31, 2013	Jun. 30, 2013	Dec. 31, 2012
The 2012 Stock Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	109,000
Number of options vested (in shares)	1,600,000
Weighted average exercise price for options vested (in dollars per share)	$ 10.21
Weighted average remaining contractual term	7 years 9 months
Options vested aggregate value	$ 0.7
The 2012 Stock Incentive Plan [Member] \| Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock units outstanding (in shares)	1,270,000		1,242,000	1,249,000	1,429,000
2014 Omnibus Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized for grant under the Plan		4,000,000
Subject to Market and Service Conditions [Member] \| The 2012 Stock Incentive Plan [Member] \| Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock units outstanding (in shares)	500,000
Subject to Service Conditions [Member] \| The 2012 Stock Incentive Plan [Member] \| Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock units outstanding (in shares)	800,000
Subject to Service Conditions [Member] \| Minimum [Member] \| The 2012 Stock Incentive Plan [Member] \| Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock vesting period	1 year
Subject to Service Conditions [Member] \| Maximum [Member] \| The 2012 Stock Incentive Plan [Member] \| Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock vesting period	3 years

Warrants (Details) $ in Thousands	3 Months Ended			6 Months Ended
Warrants (Details) $ in Thousands	Jun. 30, 2014 USD ($)	Mar. 31, 2014 shares	Jun. 30, 2013 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2013 USD ($)	Apr. 30, 2012 USD ($) $ / unit shares
Line of Credit Facility [Line Items]
Class of Warrant or Right, Number of Warrants Exercised During Period		7,800
Gain from settlement of warrants \| $	$ 0		$ 0	$ 37	$ 0
MAC Financial Holding Corporation and Subsidiaries [Member]
Line of Credit Facility [Line Items]
Warrants issued (in shares)						992,000
Exercise price of warrants (in dollars per warrant) \| $ / unit						10.00
Warrants value \| $						$ 5,100
Class A \| Common stock
Line of Credit Facility [Line Items]
Issuance of Class A shares of common stock as part of cashless exercise of warrants, shares		1,115

Statutory Information - Statutory Income (Details) - Combined [Member] - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2014	Dec. 31, 2013
Statutory Accounting Practices [Line Items]
Statutory net loss	$ (24,637)	$ (33,307)
Statutory surplus	185,061	189,698
Contingency reserve	$ 4,312	$ 2,314

Statutory Information - Narrative (Details)	Jun. 30, 2014 USD ($) state	Dec. 31, 2013 USD ($)	Jun. 30, 2013 USD ($) policy	Dec. 31, 2012 USD ($)
Statutory Accounting Practices [Line Items]
Number of states which require minimum amount of statutory capital relative to risk in force \| state	15
Statutory capital and surplus required	$ 150,000,000
Mortgage insurance, percentage of indebtedness on single loan	25.00%
Number of policies in force \| policy			6
Shareholders' equity	$ 443,910,000	$ 463,217,000		$ 488,748,000
Investment in subsidiaries, at equity in net assets		276,000,000
Ordinary dividends, restriction with regards to capital surplus	10.00%
Combined [Member]
Statutory Accounting Practices [Line Items]
Mortgage Insurance Risk in Force	$ 314,039,000		$ 257,000
NMIC [Member]
Statutory Accounting Practices [Line Items]
Mortgage Insurance Risk in Force	$ 270,907,000
Subsidiaries [Member]
Statutory Accounting Practices [Line Items]
Shareholders' equity		$ 193,000,000
Maximum [Member]
Statutory Accounting Practices [Line Items]
Risk-to-capital	25
WISCONSIN [Member] \| Maximum [Member]
Statutory Accounting Practices [Line Items]
Potential risk In force to capital, ratio	25
Fannie Mae [Member]
Statutory Accounting Practices [Line Items]
Risk-to-capital	18

Statutory Information - Risk to Capital (Details)
$ in Thousands

Jun. 30, 2014

USD ($)

Dec. 31, 2013

USD ($)

Jun. 30, 2013

USD ($)

NMIC [Member]

Primary risk-in-force

Direct

$ 220,949

Assumed

Ceded

(17,969)

Total primary risk-in-force

202,980

Pool risk-in-force

Direct

^[1]

93,090

Assumed

^[1]

Ceded

^[1]

(25,163)

Total pool risk-in-force

^[1]

67,927

Total risk-in-force

270,907

Statutory policyholders' surplus

175,784

Statutory contingency reserve

3,604

Total statutory policyholders' position

$ 179,388

Risk to capital ratio

^[2]

1.5

Re One [Member]

Primary risk-in-force

Direct

$ 0

Assumed

17,969

Ceded

Total primary risk-in-force

17,969

Pool risk-in-force

Direct

^[1]

Assumed

^[1]

25,163

Ceded

^[1]

Total pool risk-in-force

^[1]

25,163

Total risk-in-force

43,132

Statutory policyholders' surplus

9,277

Statutory contingency reserve

708

Total statutory policyholders' position

$ 9,985

Risk to capital ratio

^[2]

4.3

Combined [Member]

Primary risk-in-force

Direct

$ 220,949

Assumed

17,969

Ceded

(17,969)

Total primary risk-in-force

220,949

Pool risk-in-force

Direct

^[1]

93,090

Assumed

^[1]

25,163

Ceded

^[1]

(25,163)

Total pool risk-in-force

^[1]

93,090

Total risk-in-force

314,039

$ 257

Statutory policyholders' surplus

185,061

$ 189,698

Statutory contingency reserve

4,312

Total statutory policyholders' position

$ 189,373

Risk to capital ratio

^[2]

1.7

[1]

Pool risk-in-force as shown in the table above is equal to the aggregate stop loss less a deductible.

[2]

Fair Value of Financial Instruments - Assets and Liabilities at Fair Value (Details) - USD ($) $ in Thousands	Jun. 30, 2014	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	$ 413,307	$ 409,088
Warrant liability, at fair value	4,552	6,371
Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	34,671	55,929
Total Assets	447,978	465,017
Warrant liability, at fair value	4,552	6,371
Financial and Nonfinancial Liabilities, Fair Value Disclosure	4,552	6,371
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	34,671	55,929
Total Assets	84,582	105,413
Warrant liability, at fair value	0	0
Financial and Nonfinancial Liabilities, Fair Value Disclosure	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Total Assets	363,396	359,604
Warrant liability, at fair value	0	0
Financial and Nonfinancial Liabilities, Fair Value Disclosure	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash and cash equivalents	0	0
Total Assets	0	0
Warrant liability, at fair value	4,552	6,371
Financial and Nonfinancial Liabilities, Fair Value Disclosure	4,552	6,371
U.S. Treasury securities and obligations of U.S. government agencies [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	107,308	106,606
U.S. Treasury securities and obligations of U.S. government agencies [Member] \| Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	107,308	106,606
U.S. Treasury securities and obligations of U.S. government agencies [Member] \| Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	49,911	49,484
U.S. Treasury securities and obligations of U.S. government agencies [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	57,397	57,122
U.S. Treasury securities and obligations of U.S. government agencies [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Municipal bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	12,049	11,933
Municipal bonds [Member] \| Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	12,049	11,933
Municipal bonds [Member] \| Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Municipal bonds [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	12,049	11,933
Municipal bonds [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Corporate debt securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	221,070	217,257
Corporate debt securities [Member] \| Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	221,070	217,257
Corporate debt securities [Member] \| Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Corporate debt securities [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	221,070	217,257
Corporate debt securities [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Asset-backed securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	72,880	73,292
Asset-backed securities [Member] \| Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	72,880	73,292
Asset-backed securities [Member] \| Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	0	0
Asset-backed securities [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	72,880	73,292
Asset-backed securities [Member] \| Fair Value, Measurements, Recurring [Member] \| Significant Unobservable Inputs (Level 3) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale Securities	$ 0	$ 0