The 'A+' rating on Genworth Financial Mortgage Insurance Pty Ltd. (Genworth Australia) reflects S&P Global Ratings' view of the insurer's leading market position and strong capital position while also factoring in a lack of diversity in its product offering. We consider Genworth Australia to be an insulated and nonstrategic subsidiary of Genworth Financial Inc. (GFI; B/Watch Neg/B), and the rating on Genworth Australia does not benefit from, nor is it constrained by, any extraordinary group support. The negative outlook reflects the continued pressure on Genworth Australia's competitive position and, consequently, its earnings profile and represents a one-in-three chance we may lower the ratings over the next two years. We would consider a downward rating action if we see: A material
