As a specialist insurer, AIG United Guaranty provides mortgage insurance (MI) to protect lenders on the French market against credit default on residential mortgage loans with high loan-to-value ratios (HLTV).

AIG United Guaranty can protect lenders against losses resulting from foreclosure on several mortgage segments, including traditional home acquisition mortgages, debt consolidation mortgages, and non-conforming mortgages (especially appealing for young borrowers and other consumers who lack down-payment funding).

In addition to transfer of risk exposure for high-LTV loans, other possible financial benefits associated with MI include improved asset quality, added liquidity to the market, capital relief, and better pricing for mortgage-backed securities.

AIG United Guaranty is the first mortgage insurer to secure a location in France; our Paris offices opened in January 2007. This has enabled us to develop a comprehensive understanding of the national market and lenders’ needs, and as a result a variety of products and services is now available:

• Primary mortgage insurance on newly originated loans.
• Portfolio insurance on existing mortgage portfolios, enabling customers to lower the risk on single assets within a portfolio.
• Bulk bond insurance, a credit enhancement for junior segments of an asset-backed securities issue.

AIG United Guaranty works closely with lenders in the execution of wholesale transactions (for example, securitisation and covered bonds), to help lower capital charges, realize cheaper cost of funds, and improve balance sheet management.

Olivier Bouy, Account Manager – France
Tour AIG
92079 Paris La Defense
France

Phone: 33.1.49.02.42.09
Fax: 33.1.49.02.48.40
E-mail: