A.M. Best Company

08/21/2026 | Press release | Distributed by Public on 08/21/2026 13:15

Best’s Special Report: AM Best Updates Net Capital Charge Tables for ACIS/CIRT Reinsurance Transactions

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AUGUST 21, 2026 03:03 PM (EDT)

Best's Special Report: AM Best Updates Net Capital Charge Tables for ACIS/CIRT Reinsurance Transactions

CONTACTS:

Wai Tang
Senior Director,
Insurance-Linked Securities
+1 908 882 2388
[email protected]

Jia Jian, CFA, FRM
Director,
Insurance-Linked Securities
+1 908 882 1910
[email protected]

David Mautone
Senior Quantitative Specialist,
Insurance-Linked Securities
+1 908 882 2098
[email protected]
Christopher Sharkey
Associate Director, Public Relations
+1 908 882 2310
[email protected]

Al Slavin
Senior Public Relations Specialist
+1 908 882 2318
[email protected]

FOR IMMEDIATE RELEASE

OLDWICK - AUGUST 21, 2026 03:03 PM (EDT)
AM Best has released newly updated tables of net capital charges associated with a representative sample of transactions from Fannie Mae and Freddie Mac's credit risk transfer (CRT) programs-Freddie Mac's Agency Credit Insurance Structure (ACIS) and Fannie Mae's Credit Insurance Risk Transfer (CIRT). These tables also highlight some of the key components of the factor-based method used to calculate net capital charges in the Best's Capital Adequacy Ratio (BCAR) model.

The net capital charge of CRT transactions is based on unexpected losses and premiums associated with the transactions and is represented as a fraction of the original exposures. For this Best's Special Report, "Updated Net Capital Charge Tables for ACIS/CIRT Reinsurance Transactions," AM Best has selected a broad sample of the 191 CRT transactions effective through June 2026 to highlight some of the key components of the factor-based method used to calculate the net capital charges associated with individual layers of the CRT transactions. The calculations for each transaction are based on AM Best's factor-based approach and are described in AM Best's Evaluating Mortgage Insurance criteria procedure.

AM Best publishes these net capital charge tables semi-annually, using the most current performance data available from the government-sponsored enterprises' websites.

To access the full copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=367746.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.
A.M. Best Company published this content on August 21, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on August 21, 2026 at 19:15 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]