We demonstrate the application of the circular cumulant approach for thermodynamically large populations of phase elements, where the Ott-Antonsen properties are violated by a multiplicative intrinsic noise. The infinite cumulant equation chain is derived for the case of a sinusoidal sensitivity of the phase to noise. For inhomogeneous populations, a Lorentzian distribution of natural frequencies is adopted. Two-cumulant model reductions, which serve as a generalization of the Ott-Antonsen ansatz, are reported. The accuracy of these model reductions and the macroscopic collective dynamics of the system are explored for the case of a Kuramototype global coupling. The Ott-Antonsen ansatz and the Gaussian approximation are found to be not uniformly accurate for non-high frequencies.