OREANDA-NEWS. September 02, 2010. In the first half of 2010, the volume of premium collected by ROSNO in Yekaterinburg under the new mortgage insurance contracts increased twofold, reaching 2,125,000 roubles (vs. 1,105,000 roubles collected in the 6 months of 2009), reported the press-centre of ROSNO.

In total, in the six months of the running year, 200 new mortgage insurance contracts were concluded, which is 70% above the same period of the previous year. The company has seen an accelerated growth in new HMLA contracts (50 vs. 5 in the last year).

The company’s experts attribute such revival of demand in the mortgage insurance market to more relaxed bank lending policies: since February-March, many banks decreased their mortgage lending rates by 3 to 4 percentage points. As long as lending grows, mortgage insurance is on the increase as well.

"We are seeing an increase in the loan amounts and maturities, and this also leads to growth of the total volume of premiums collected in mortgage insurance. Furthermore, the client profile has changed in this insurance segment in the last two years: now we have much more contracts where borrowers are aged 35 to 40, and people aged above 40 to 45 are still active. In the times of crisis, we pursued the policy of attracting clients via expanding the network of our partner banks, and in the same time we relied on the banks operating under the HMLA standards, thereby increasing the volume of new HMLA contracts to 10 per month", comments Ms. Tatyana Leontieva, head of the mortgage division in ROSNO’s Ural Directorate.