BUZZ-CommBank's non-renewal of contract to hit Australia's Helia hard, says Jefferies and Morningstar

** Lenders Mortgage Insurance (LMI) provider Helia HLI.AX said it anticipates its current supply and service contract with Commonwealth Bank of Australia CBA.AX might not get renewed after this year ** Morningstar says, "even multiple new agreements will not fill the void likely to be left by Commonwealth Bank" ** Morningstar lowers its fair value estimate by 14% to A$3.60, reflecting a 40% drop in gross written premiums from 2026 ** Jefferies adds that HLI's business has been shrinking since 2015 because its partners are either insuring themselves or finding other insurance options, leading to contract losses ** QBE Insurance QBE.AX is likely an alternative provider for CBA, as they already offer LMI services to CBA's unit — Jefferies ** Jefferies maintains a "hold" rating at PT of A$3.14 ** HLI down 10.9% YTD (Reporting by Kumar Tanishk in Bengaluru) ((Tanishk.Kumar@thomsonreuters.com; X: @thatstanishk))