Federal Student Loan Programs Data Book FY94-FY96
Table 43. Federal Family Education Loan (FFEL) program guaranty agency reinsurance agreement default status: FY94-FY96
This table shows the dollar amounts that each guaranty agency requested for federal reinsurance payments on default claims in FY94-FY96. It also reports the amount of requested dollars paid, the percent of requested dollars not paid, and the level of reinsurance.
- The amount of requested dollars paid decreased by nearly $1.5 million between FY94 and FY95. During that time the level of the reinsurance payments remained stable at 99.9 percent in both FY94 and FY95.
- In FY96, the amount of requested dollars paid increased by 13.7 percent from that in FY95 (rising from $2.4 to $2.8 billion). This increase occurred as a result of the drop in the reinsurance level between FY95 and FY96 (from 99.9 to 99.5 percent, respectively).
NOTE: There are several rules that govern the level of reinsurance paid to guaranty agencies. The year the loan was made and the amount of reinsurance claims as a percentage of the total amount of loans in repayment are major factors in determining an agency's reinsurance rate.
Table 43. Federal Family Education Loan (FFEL) program guaranty agency reinsurance agreement default status: FY94–FY96
Graph 43. Federal Family Education Loan (FFEL) program guaranty agency reinsurance agreement default status: FY94–FY96
-###-
Table 42
Table 44