(Reuters) - Genworth Mortgage Insurance Australia <GMA.AX> said on Friday its 2017 net earned premium is now expected to fall by about 17 percent to 19 percent due to a change in its premium earning pattern following the completion of an annual review.
The company had previously expected its net earned premiums to drop in the range of 10 percent to 15 percent.
The insurer said the modified premium earning pattern reflected an expectation of risks principally from factors including losses from mining related regions, and also improved its underwriting quality in response to regulatory actions.
The company added that the changes to the earning pattern would not affect the total amount of revenue expected to be earned over time from premiums it had already written.
The insurer expected its 2017 loss ratio to remain between 35 percent and 40 percent, and added that its regulatory solvency ratio would also remain relatively unchanged.
The insurer's net earned premium dropped 13.6 percent to A$100.1 million ($77 million) for the third quarter of 2017.
Shares of the insurer fell about 7 percent following the announcement, compared to a 0.1 percent drop in the Australian benchmark <.AXJO>.
(Reporting by Ambar Warrick in Bengaluru; Editing by Stephen Coates)
