zIngenuity Inc., a provider of risk management and loss mitigation services for mortgage lenders and servicers, has acquired a mortgage guaranty captive reinsurance company domiciled in the Turks and Caicos Islands. The TCI acquisition is being renamed zInsureRe TCI Ltd.
“This acquisition is part of a broader investment strategy for zIngenuity in the captive reinsurance space. In 2012, we established a Cayman Reinsurance Company, zInsureRe Inc., to serve as an acquisition vehicle for larger lender captives. The TCI acquisition will compliment this strategy as many smaller mortgage reinsurance captives are domiciled there,” said Steve Beagles, managing director of Capital Strategies & Analytics.
“Most lender captives established prior to 2008 have been placed into run-off and serve no strategic purpose for lenders, who in many cases are looking to shed non-core assets. We are not aware of an active market for the sale of these structures, which up until this point has limited the available exit options,” added David Reber, president and CEO of zIngenuity Inc.