1. (1) A mortgage insurer's direct written and assumed mortgage pool certificates in force in any one Metropolitan Statistical Area (MSA) of Primary Metropolitan Statistical Area (PMSA), net of reinsurance, shall not exceed 10 percent of the insurer's total direct written and assumed certificates in force, net of reinsurance, with respect to pool and non-pool mortgage guaranty insurance.

2. (2) A mortgage insurer's mortgage pool insurance risk in force in any one geographic region, net of reinsurance, shall not exceed 30 percent of its total mortgage guaranty insurance risk in force, net of reinsurance. For purposes of this paragraph, the United States shall be divided into the following regions:

   1. (i) CT
   2. (ii) MA (other)
   3. (iii) Boston, MA-NH (PMSA) and Lawrence, MA-NH (PMSA)
   4. (iv) ME,RI,VT,NH (other)
   5. (v) NJ (other)
   6. (vi) Bergen-Passaic, NJ (PMSA)
   7. (vii) NY (other)
   8. (viii) New York, NY (PMSA)
   9. (ix) Nassau-Suffolk, NY (PMSA)
   10. (x) Buffalo-Niagara Falls, NY (MSA) and Rochester, NY (MSA) and Syracuse, NY (MSA)
   11. (xi) Albany-Schenectady-Troy, NY (MSA)
   12. (xii) PA (other)
   13. (xiii) Philadelphia, PA-NJ (PMSA)
   14. (xiv) CA (other)
   15. (xv) Los Angeles-Long Beach, CA (PMSA) and Orange County, CA (PMSA)
   16. (xvi) San Diego, CA (MSA)
   17. (xvii) Riverside-San Bernadino, CA (PMSA)
   18. (xviii) San Francisco, CA (PMSA) and Oakland, CA (PMSA)
   19. (xix) Sacramento, CA (PMSA)
   20. (xx) WA, AK
   21. (xxi) DE
   22. (xxii) Washington, DC-MD-VA-WV (PMSA) and MD (other) and VA (other)
   23. (xxiii) Baltimore, MD (PMSA)
   24. (xxiv) FL (other)
   25. (xxv) Tampa-St. Petersburg-Clearwater, FL (MSA)
   26. (xxvi) Miami, FL (PMSA) and Ft. Lauderdale, FL (PMSA)

   27. (xxvii) Orlando, FL (MSA)

       (xxviii) GA (other)

   28. (xxix) Atlanta, GA (MSA)
   29. (xxx) NC, SC, WV (other)
   30. (xxxi) IL (other)

   31. (xxxii) Chicago, IL (PMSA)

       (xxxiii) IN, MI, OH, WI

   32. (xxxiv) AL, KY, MS, TN
   33. (xxxv) IA, KS, MN, MO, NE, ND,SD

   34. (xxxvi) AR, LA, OK

       (xxxvii) TX (other)

       (xxxviii) Houston, TX (PMSA)

   35. (xxxix) Dallas, TX (PMSA) and Fort Worth-Arlington, TX (PMSA)
   36. (xxxx) AZ

   37. (xxxxi) CO

       (xxxxii) ID, MT, NV, NM, OR, UT, WY

       (xxxxiii) HI

       (xxxxiv) PR

   38. (xxxxv) U.S VI
3. (3) In the case of mortgage insurers which are members of the same holding company system, compliance with the foregoing diversification standards of this subdivision shall be determined on a consolidated basis.
4. (b) The diversification standards set forth in paragraphs (a)(1) and (2) of this secrion shall apply to all mortgage pool insurance written or reinsured on or after January 11, 1995 by mortgage insurers which are licensed in this State and have written mortgage guaranty insurance for a period of four or more years.
5. (c) Each mortgage insurer which writes or assumes mortgage pool insurance subject to this Part and which is subject to subdivision (b) of this section, shall annually report to the superintendent the respective percentages of mortgage pool business in each MSA, PMSA and region, determined in accirdance with paragraphs (a)(1) and (2) of this section. The report shall be filed no later than the 31st day of March of each year and shall reflect the business as of the preceeding December 31st. The initial report shall be filed no later than March 31, 1996. In the case of mortgage insurers which are members of the same holding company system, the report shall also include the information on a consolidated basis.
6. (d) For the purposes of this section, the definitions of MSA's and PMSA's set forth in OMB bulletin No. 94-07 dated July 5, 1994 issued by the Office of Management and Budget, Executive Office of the President of the United States, are hereby adopted and shall be utilized by mortgage insurers.

(a)