News Details

HAMILTON, Bermuda--(BUSINESS WIRE)-- Essent Group Ltd. (NYSE: ESNT) today reported net income for the quarter ended December 31, 2014 of $28.9 million or $0.33 per diluted share. Net income for the full year 2014 was $88.5 million or $1.03 per diluted share.

Primary insurance in force as of December 31, 2014, was $50.8 billion, representing an increase of 58% compared to $32.0 billion of insurance in force as of December 31, 2013. As of December 31, 2014, consolidated stockholders’ equity was $955.7 million and combined statutory capital in the insurance subsidiaries was $705.9 million.

“2014 was another milestone year for Essent and our results reflect the solid progress we have made against our goals,” said Mark Casale, Chairman and Chief Executive Officer. “We continue to expand the breadth and depth of our franchise, both in terms of our domestic business and our reinsurance platform. As a result of our efforts this year, we believe Essent is well positioned and I remain optimistic about Essent’s prospects heading into 2015!”

Financial Highlights:

• New insurance written for the fourth quarter was $6.5 billion, compared to $8.8 billion in the third quarter and $4.5 billion in the fourth quarter of 2013. For the full year 2014, new insurance written was $24.8 billion, compared to $21.2 billion for 2013.
• Net premiums earned for the fourth quarter were $67.8 million, compared to $60.3 million in the third quarter and $40.3 million in the fourth quarter of 2013. For the full year 2014, net premiums earned were $223.2 million, compared to $123.4 million for 2013.
• Income before taxes for the fourth quarter was $44.0 million, compared to $38.8 million in the third quarter and $19.4 million in the fourth quarter of 2013. For the full year 2014, income before taxes was $135.9 million, compared to $58.0 million for 2013.
• The expense ratio for the fourth quarter was 37.8%, compared to 40.6% in the third quarter and 55.3% in the fourth quarter of 2013. For the full year 2014, the expense ratio was 43.6%, compared to 57.6% for 2013.
• The provision for losses and LAE for the fourth quarter was $3.0 million, compared to $1.4 million in the third quarter and $0.7 million in the fourth quarter of 2013. For the full year 2014, the provision for losses and LAE was $6.3 million, compared to $2.3 million for 2013.
• The percentage of loans in default as of December 31, 2014 was 0.20%, compared to 0.15% as of September 30, 2014 and 0.11% as of December 31, 2013.
• The combined ratio for the fourth quarter was 42.3%, compared to 42.9% in the third quarter and 57.0% in the fourth quarter of 2013. For the full year 2014, the combined ratio was 46.4%, compared to 59.5% for 2013.
• The consolidated balance of cash and investments at December 31, 2014 was $1.1 billion, including cash and investment balances at Essent Group Ltd. of $126.3 million.
• The combined risk to capital ratio of the US mortgage insurance business, which includes statutory capital for both Essent Guaranty, Inc. and Essent Guaranty of PA, Inc., was 16.2:1 as of December 31, 2014.
• Essent Group Ltd. contributed approximately $50 million of capital to Essent Reinsurance, Ltd.
• Essent Reinsurance, Ltd. was selected by Freddie Mac to participate in Freddie Mac’s Agency Credit Insurance Structure (“ACIS”) 2014-3 transaction and insure $15.5 million of risk that Freddie Mac had retained as part of its STACR2014-DN2 transaction.

Conference Call

Essent management will hold a conference call at 10:00 AM Eastern time today to discuss its results. The conference call will be broadcast live over the Internet at http://ir.essentgroup.com/investors/webcasts-and-presentations/event-calendar/default.aspx. The call may also be accessed by dialing 877-201-0168 inside the U.S., or 647-788-4901 for international callers, using passcode 67143840 or by referencing Essent.

A replay of the webcast will be available on the Essent website approximately two hours after the live broadcast ends for a period of one year. A replay of the conference call will be available approximately two hours after the call ends for a period of two weeks, using the following dial-in numbers and passcode: 855-859-2056 inside the U.S., or 404-537-3406 for international callers, passcode 67143840.

In addition to the information provided in the company's earnings news release, other statistical and financial information, which may be referred to during the conference call, will be available on Essent's website at http://ir.essentgroup.com/investors/financial-information/quarterly-financial-supplements/default.aspx.

Forward Looking Statements

This press release may include “forward-looking statements” which are subject to known and unknown risks and uncertainties, many of which may be beyond our control. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "plan," "seek," "comfortable with," "will," "expect," "intend," "estimate," "anticipate," "believe" or "continue" or the negative thereof or variations thereon or similar terminology. Actual events, results and outcomes may differ materially from our expectations due to a variety of known and unknown risks, uncertainties and other factors. Although it is not possible to identify all of these risks and factors, they include, among others, the following: changes in or to Fannie Mae and Freddie Mac (the “GSEs”), whether through Federal legislation, restructurings or a shift in business practices; failure to continue to meet the mortgage insurer eligibility requirements of the GSEs; competition for customers; lenders or investors seeking alternatives to private mortgage insurance; an increase in the number of loans insured through Federal government mortgage insurance programs, including those offered by the Federal Housing Administration; decline in new insurance written and franchise value due to loss of a significant customer; decline in the volume of low down payment mortgage originations; the definition of "Qualified Mortgage" reducing the size of the mortgage origination market or creating incentives to use government mortgage insurance programs; the definition of "Qualified Residential Mortgage" reducing the number of low down payment loans or lenders and investors seeking alternatives to private mortgage insurance; the implementation of the Basel III Capital Accord discouraging the use of private mortgage insurance; a decrease in the length of time that insurance policies are in force; uncertainty of loss reserve estimates; deteriorating economic conditions; non-U.S. operations becoming subject to U.S. Federal income taxation; becoming considered a passive foreign investment company for U.S. Federal income tax purposes; and other risks and factors described in Part I, Item 1A “Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2013 filed with the Securities and Exchange Commission on March 10, 2014. Any forward-looking information presented herein is made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking information to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.

Non-GAAP Financial Measures

In presenting Essent Group Ltd.’s results, management has included financial measures, including adjusted book value per share, that are not calculated under standards or rules that comprise accounting principles generally accepted in the United States (“GAAP”). Such measures are referred to as “non-GAAP measures.” These non-GAAP measures may be defined or calculated differently by other companies. Management believes these measures allow for a more complete understanding of the underlying business. These measures are used to monitor our results and should not be viewed as a substitute for those determined in accordance with GAAP. Reconciliations of such measures to the most comparable GAAP figures are included in the attached financial supplement in accordance with Regulation G.

About the Company

Essent Group Ltd. (NYSE: ESNT) is a Bermuda-based holding company which, through its wholly-owned subsidiary Essent Guaranty, Inc., (collectively, “Essent”) offers private mortgage insurance for single-family mortgage loans in the United States. Essent provides private capital to mitigate mortgage credit risk, allowing lenders to make additional mortgage financing available to prospective homeowners. Headquartered in Radnor, Pennsylvania and rated BBB+ by Standard & Poor’s and Baa2 by Moody’s, Essent Guaranty, Inc. is licensed to write mortgage insurance in all 50 states and the District of Columbia, and is approved by Fannie Mae and Freddie Mac. Essent also offers mortgage-related insurance and reinsurance through its Bermuda-based subsidiary, Essent Reinsurance Ltd. Additional information regarding Essent may be found at www.essentgroup.com.

Essent Group Ltd. and Subsidiaries
Financial Results and Supplemental Information (Unaudited)
Quarter and Year ended December 31, 2014
Exhibit A:				Condensed Consolidated Statements of Comprehensive Income (Unaudited)
Exhibit B:				Condensed Consolidated Balance Sheets (Unaudited)
Exhibit C:				Historical Quarterly Data
Exhibit D:				New Insurance Written
Exhibit E:				Insurance in Force and Risk in Force
Exhibit F:				Other Risk in Force
Exhibit G:				Portfolio Vintage Data
Exhibit H:				Portfolio Geographic Data
Exhibit I:				Defaults, Reserve for Losses and LAE, and Claims
Exhibit J:				Investment Portfolio
Exhibit K:				Insurance Company Capital
Exhibit L:				Earnings per Share
Exhibit M:				Reconciliation of Non-GAAP Financial Measure - Adjusted Book Value per Share

Exhibit A
Essent Group Ltd. and Subsidiaries
Condensed Consolidated Statements of Comprehensive Income (Unaudited)
			Three Months Ended December 31,										Year Ended December 31,
(In thousands, except per share amounts)			2014					2013					2014					2013
Revenues:
Net premiums written			$	83,219				$	52,878				$	276,778				$	186,200
Increase in unearned premiums				(15,405	)				(12,534	)				(53,549	)				(62,829	)
Net premiums earned				67,814					40,344					223,229					123,371
Net investment income				3,902					1,228					12,285					4,110
Realized investment gains, net				306					21					925					116
Other income				720					760					3,028					3,806
Total revenues				72,742					42,353					239,467					131,403
Losses and expenses:
Provision for losses and LAE				3,049					692					6,308					2,321
Other underwriting and operating expenses				25,656					22,299					97,232					71,055
Total losses and expenses				28,705					22,991					103,540					73,376
Income before income taxes				44,037					19,362					135,927					58,027
Income tax expense (benefit)				15,171					345					47,430					(7,386	)
Net income			$	28,866				$	19,017				$	88,497				$	65,413
Earnings per Common Share:
Basic			$	0.34				$	0.23				$	1.05				$	0.90
Diluted				0.33					0.22					1.03					0.70
Weighted average Common Shares outstanding:
Basic				86,134					51,741					83,986					14,044
Diluted				87,950					55,130					85,602					18,103
Net income			$	28,866				$	19,017				$	88,497				$	65,413
Other comprehensive income (loss):
Change in unrealized appreciation (depreciation) of investments, net of tax expense (benefit) of $854 and ($236) in the three months ended December 31, 2014 and 2013 and $2,825 and ($2,080) in the year ended December 31, 2014 and 2013				2,125					(439	)				6,114					(3,861	)
Total other comprehensive income (loss)				2,125					(439	)				6,114					(3,861	)
Comprehensive income			$	30,991				$	18,578				$	94,611				$	61,552
Loss ratio				4.5	%				1.7	%				2.8	%				1.9	%
Expense ratio				37.8	%				55.3	%				43.6	%				57.6	%
Combined ratio				42.3	%				57.0	%				46.4	%				59.5	%

Exhibit B
Essent Group Ltd. and Subsidiaries
Condensed Consolidated Balance Sheets (Unaudited)
			December 31,				December 31,
(In thousands, except per share amounts)			2014				2013
Assets
Investments available for sale, at fair value
Fixed maturities			$	846,925			$	318,476
Short-term investments				210,688				14,079
Total investments				1,057,613				332,555
Cash				24,411				477,655
Accrued investment income				5,748				1,978
Accounts receivable				15,810				10,006
Deferred policy acquisition costs				9,597				6,173
Property and equipment (at cost, less accumulated depreciation of $39,260 in 2014 and $36,796 in 2013)				5,841				4,411
Prepaid federal income tax				59,673				8,000
Net deferred tax asset				-				10,346
Other assets				2,768				2,846
Total assets			$	1,181,461			$	853,970
Liabilities and Stockholders' Equity
Liabilities
Reserve for losses and LAE			$	8,427			$	3,070
Unearned premium reserve				156,948				103,399
Amounts due under Asset Purchase Agreement				-				4,949
Accrued payroll and bonuses				14,585				13,076
Net deferred tax liability				37,092				-
Other accrued liabilities				8,671				7,335
Total liabilities				225,723				131,829
Commitments and contingencies
Stockholders' Equity
Common Shares, $0.015 par value:
Authorized - 233,333; issued - 92,546 shares in 2014 and 86,491 shares in 2013				1,388				1,297
Additional paid-in capital				893,285				754,390
Accumulated other comprehensive income (loss)				4,667				(1,447	)
Retained earnings (accumulated deficit)				56,398				(32,099	)
Total stockholders' equity				955,738				722,141
Total liabilities and stockholders' equity			$	1,181,461			$	853,970

Exhibit C
Essent Group Ltd. and Subsidiaries
Supplemental Information
Historical Quarterly Data
			2014																				2013
Selected Income Statement Data			December 31					September 30					June 30					March 31					December 31					September 30					June 30					March 31
(In thousands, except per share amounts)
Revenues:
Net premiums written			$	83,219				$	77,862				$	63,505				$	52,192				$	52,878				$	55,026				$	44,923				$	33,373
Net premiums earned				67,814					60,323					50,342					44,750					40,344					34,282					27,481					21,264
Other revenues				4,928					4,298					3,941					3,071					2,009					2,173					2,083					1,767
Total revenues				72,742					64,621					54,283					47,821					42,353					36,455					29,564					23,031
Losses and expenses:
Provision for losses and LAE				3,049					1,391					966					902					692					319					580					730
Other underwriting and operating expenses				25,656					24,469					23,648					23,459					22,299					18,237					15,557					14,962
Total losses and expenses				28,705					25,860					24,614					24,361					22,991					18,556					16,137					15,692
Income before income taxes				44,037					38,761					29,669					23,460					19,362					17,899					13,427					7,339
Income tax expense (benefit)				15,171					13,691					10,114					8,454					345					2,280					(10,150	)				139
Net income			$	28,866				$	25,070				$	19,555				$	15,006				$	19,017				$	15,619				$	23,577				$	7,200
Earnings per share:
Basic:
Common Shares			$	0.34				$	0.30				$	0.23				$	0.18				$	0.23					N/A					N/A					N/A
Class A common shares				N/A					N/A					N/A					N/A					N/A				$	0.36				$	0.63				$	0.23
Class B-2 common shares				N/A					N/A					N/A					N/A					N/A					0.07					0.40					-
Diluted:
Common Shares			$	0.33				$	0.29				$	0.23				$	0.18				$	0.22					N/A					N/A					N/A
Class A common shares				N/A					N/A					N/A					N/A					N/A				$	0.35				$	0.62				$	0.23
Class B-2 common shares				N/A					N/A					N/A					N/A					N/A					0.02					0.09					-
Weighted average common shares outstanding:
Basic:
Common Shares				86,134					83,640					83,276					82,864					51,741					N/A					N/A					N/A
Class A common shares				N/A					N/A					N/A					N/A					N/A					43,616					36,793					31,805
Class B-2 common shares				N/A					N/A					N/A					N/A					N/A					1,822					1,334					853
Diluted:
Common Shares				87,950					85,028					84,706					84,696					55,130					N/A					N/A					N/A
Class A common shares				N/A					N/A					N/A					N/A					N/A					43,788					36,901					31,864
Class B-2 common shares				N/A					N/A					N/A					N/A					N/A					6,054					5,994					6,009
Other Data:
($ in thousands)
Loss ratio (1)				4.5	%				2.3	%				1.9	%				2.0	%				1.7	%				0.9	%				2.1	%				3.4	%
Expense ratio (2)				37.8	%				40.6	%				47.0	%				52.4	%				55.3	%				53.2	%				56.6	%				70.4	%
Combined ratio				42.3	%				42.9	%				48.9	%				54.4	%				57.0	%				54.1	%				58.7	%				73.8	%

(1)			Loss ratio is calculated by dividing the provision for loss and loss adjustment expenses by net premiums earned.
(2)			Expense ratio is calculated by dividing other underwriting and operating expenses by net premiums earned.

Exhibit C, continued
Essent Group Ltd. and Subsidiaries
Supplemental Information
Historical Quarterly Data
			2014																				2013
Other Data, continued:			December 31					September 30					June 30					March 31					December 31					September 30					June 30					March 31
($ in thousands)
Flow:
New insurance written			$	6,204,821				$	7,283,169				$	5,874,334				$	3,630,573				$	4,527,900				$	6,408,055				$	5,895,127				$	4,321,556
New risk written				1,523,527					1,802,408					1,477,547					907,257					1,147,560					1,584,267					1,409,905					991,011
Bulk:
New insurance written			$	300,008				$	1,506,529				$	-				$	-				$	-				$	-				$	-				$	-
New risk written				35,007					30,131					-					-					-					-					-					-
Consolidated:
Average premium rate (3)				0.56	%				0.55	%				0.54	%				0.54	%				0.54	%				0.54	%				0.55	%				0.55	%
New insurance written			$	6,504,829				$	8,789,698				$	5,874,334				$	3,630,573				$	4,527,900				$	6,408,055				$	5,895,127				$	4,321,556
New risk written			$	1,558,534				$	1,832,539				$	1,477,547				$	907,257				$	1,147,560				$	1,584,267				$	1,409,905				$	991,011
Insurance in force (end of period)			$	50,762,594				$	46,428,526				$	39,379,879				$	34,778,057				$	32,028,196				$	28,198,722				$	22,576,300				$	17,430,810
Risk in Force (end of period)			$	12,227,270				$	11,152,497				$	9,700,549				$	8,493,862				$	7,768,605				$	6,764,997				$	5,348,917				$	4,100,835
Policies in force				229,721					209,841					175,773					154,451					141,417					123,737					98,818					76,455
Weighted-average coverage (4)				24.1	%				24.0	%				24.6	%				24.4	%				24.3	%				24.0	%				23.7	%				23.5	%
Annual persistency				86.4	%				88.5	%				89.1	%				87.9	%				86.1	%				83.1	%				80.1	%				80.9	%
Loans in default (count)				457					312					235					192					159					116					90					75
Percentage of loans in default				0.20	%				0.15	%				0.13	%				0.12	%				0.11	%				0.09	%				0.09	%				0.10	%

(3)			Average premium rate is calculated by dividing net premium earned by average insurance in force for the period.
(4)			Weighted average coverage is calculated by dividing end of period risk in force by insurance in force.

Exhibit D
Essent Group Ltd. and Subsidiaries
Supplemental Information
New Insurance Written: Flow
NIW by Credit Score
					Three months ended																		Year ended
					December 31, 2014									December 31, 2013									December 31, 2014									December 31, 2013
($ in thousands)
		>=760			$	2,618,070				42.2	%			$	2,135,772				47.2	%			$	10,045,373				43.7	%			$	10,989,279				51.9	%
		740-759				1,017,384				16.4					802,262				17.7					3,808,163				16.6					3,775,108				17.8
		720-739				868,254				14.0					651,269				14.4					3,314,333				14.4					2,909,199				13.8
		700-719				692,036				11.2					465,611				10.3					2,475,271				10.8					1,851,773				8.8
		680-699				576,830				9.3					341,968				7.5					2,020,177				8.8					1,231,297				5.8
		<=679				432,247				6.9					131,018				2.9					1,329,580				5.7					395,982				1.9
Total					$	6,204,821				100.0	%			$	4,527,900				100.0	%			$	22,992,897				100.0	%			$	21,152,638				100.0	%
Weighted-average credit score						745									752									747									756
NIW by LTV
					Three months ended																		Year ended
					December 31, 2014									December 31, 2013									December 31, 2014									December 31, 2013
($ in thousands)
		85.00% and below			$	931,067				15.0	%			$	488,218				10.8	%			$	2,991,324				13.0	%			$	2,963,619				14.0	%
		85.01% to 90.00%				2,057,770				33.2					1,528,857				33.8					7,694,465				33.5					7,627,333				36.1
		90.01% to 95.00%				3,176,124				51.2					2,372,909				52.4					12,147,728				52.8					10,189,658				48.1
		95.01% and above				39,860				0.6					137,916				3.0					159,380				0.7					372,028				1.8
					$	6,204,821				100.0	%			$	4,527,900				100.0	%			$	22,992,897				100.0	%			$	21,152,638				100.0	%
Weighted-average LTV						91	%								92	%								92	%								91	%
NIW by Product
					Three months ended																		Year ended
					December 31, 2014									December 31, 2013									December 31, 2014									December 31, 2013
Single Premium policies										22.8	%								19.2	%								20.1	%								20.0	%
Monthly Premium policies										77.2									80.8									79.9									80.0
										100.0	%								100.0	%								100.0	%								100.0	%
NIW by Purchase vs. Refinance
					Three months ended																		Year ended
					December 31, 2014									December 31, 2013									December 31, 2014									December 31, 2013
Purchase										77.7	%								86.9	%								82.9	%								72.1	%
Refinance										22.3									13.1									17.1									27.9
										100.0	%								100.0	%								100.0	%								100.0	%

Exhibit D, continued
Essent Group Ltd. and Subsidiaries
Supplemental Information
New Insurance Written: Bulk
NIW by Credit Score
					Three months ended																	Year ended
					December 31, 2014									December 31, 2013								December 31, 2014									December 31, 2013
($ in thousands)
		>=760			$	203,901				68.0	%			$	-			0.0	%			$	694,882				38.5	%			$	-			0.0	%
		740-759				51,590				17.2					-			-					286,790				15.9					-			-
		720-739				34,077				11.4					-			-					269,065				14.9					-			-
		700-719				10,440				3.4					-			-					244,314				13.5					-			-
		680-699				-				-					-			-					190,009				10.5					-			-
		<=679				-				-					-			-					121,477				6.7					-			-
Total					$	300,008				100.0	%			$	-			0.0	%			$	1,806,537				100.0	%			$	-			0.0	%
Weighted-average credit score						771									N/A								742									N/A
NIW by LTV
					Three months ended																	Year ended
					December 31, 2014									December 31, 2013								December 31, 2014									December 31, 2013
($ in thousands)
		85.00% and below			$	10,706				3.6	%			$	-			0.0	%			$	62,316				3.4	%			$	-			0.0	%
		85.01% to 90.00%				151,608				50.5					-			-					273,390				15.1					-			-
		90.01% to 95.00%				137,694				45.9					-			-					855,547				47.4					-			-
		95.01% and above				-				-					-			-					615,284				34.1					-			-
					$	300,008				100.0	%			$	-			0.0	%			$	1,806,537				100.0	%			$	-			0.0	%
Weighted-average LTV						91	%								N/A								93	%								N/A
NIW by Product
					Three months ended																	Year ended
					December 31, 2014									December 31, 2013								December 31, 2014									December 31, 2013
Single Premium policies										100.0	%							0.0	%								16.6	%							0.0	%
Monthly Premium policies										-								-									83.4								-
										100.0	%							0.0	%								100.0	%							0.0	%
NIW by Purchase vs. Refinance
					Three months ended																	Year ended
					December 31, 2014									December 31, 2013								December 31, 2014									December 31, 2013
Purchase										90.0	%							0.0	%								86.5	%							0.0	%
Refinance										10.0								-									13.5								-
										100.0	%							0.0	%								100.0	%							0.0	%

Exhibit E
Essent Group Ltd. and Subsidiaries
Supplemental Information
Insurance in Force and Risk in Force: Consolidated
Portfolio by Credit Score
Total IIF by FICO score					December 31, 2014									September 30, 2014									December 31, 2013
($ in thousands)
		>=760			$	24,546,571				48.4	%			$	22,859,418				49.2	%			$	17,102,961				53.3	%
		740-759				8,804,454				17.3					8,102,165				17.5					5,724,933				17.9
		720-739				7,185,175				14.2					6,561,002				14.1					4,380,452				13.7
		700-719				4,849,412				9.6					4,342,161				9.4					2,646,717				8.3
		680-699				3,540,811				7.0					3,102,261				6.7					1,665,196				5.2
		<=679				1,836,171				3.5					1,461,519				3.1					507,937				1.6
Total					$	50,762,594				100.0	%			$	46,428,526				100.0	%			$	32,028,196				100.0	%
Weighted-average credit score						753									754									758
Total RIF by FICO score					December 31, 2014									September 30, 2014									December 31, 2013
($ in thousands)
		>=760			$	5,900,373				48.3	%			$	5,490,591				49.2	%			$	4,106,913				52.9	%
		740-759				2,135,891				17.4					1,960,787				17.6					1,399,308				18.0
		720-739				1,750,232				14.3					1,593,492				14.3					1,081,286				13.9
		700-719				1,145,431				9.4					1,019,259				9.1					637,086				8.2
		680-699				859,436				7.0					745,744				6.7					415,414				5.3
		<=679				435,907				3.6					342,624				3.1					128,598				1.7
Total					$	12,227,270				100.0	%			$	11,152,497				100.0	%			$	7,768,605				100.0	%
Portfolio by LTV
Total IIF by LTV					December 31, 2014									September 30, 2014									December 31, 2013
($ in thousands)
		85.00% and below			$	6,100,274				12.0	%			$	5,581,330				12.0	%			$	4,322,612				13.5	%
		85.01% to 90.00%				17,719,816				34.9					16,358,760				35.2					12,171,460				38.0
		90.01% to 95.00%				25,832,106				50.9					23,383,926				50.4					15,121,279				47.2
		95.01% and above				1,110,398				2.2					1,104,510				2.4					412,845				1.3
					$	50,762,594				100	%			$	46,428,526				100.0	%			$	32,028,196				100.0	%
Weighted-average LTV						92	%								92	%								91	%
Total RIF by LTV					December 31, 2014									September 30, 2014									December 31, 2013
($ in thousands)
		85.00% and below			$	681,908				5.6	%			$	621,083				5.6	%			$	474,763				6.1	%
		85.01% to 90.00%				4,174,743				34.1					3,859,783				34.6					2,858,683				36.8
		90.01% to 95.00%				7,203,270				58.9					6,502,875				58.3					4,296,135				55.3
		95.01% and above				167,349				1.4					168,756				1.5					139,024				1.8
					$	12,227,270				100	%			$	11,152,497				100.0	%			$	7,768,605				100.0	%
Portfolio by Loan Amortization Period
Total IIF by Loan Amortization Period					December 31, 2014									September 30, 2014									December 31, 2013
($ in thousands)
		FRM 30 years and higher			$	44,503,607				87.7	%			$	40,633,185				87.5	%			$	27,364,633				85.4	%
		FRM 20-25 years				1,273,086				2.5					1,208,777				2.6					1,086,120				3.4
		FRM 15 years				2,637,970				5.2					2,555,323				5.5					2,354,656				7.4
		ARM 5 years and higher				2,347,931				4.6					2,031,241				4.4					1,222,787				3.8
		Total			$	50,762,594				100.0	%			$	46,428,526				100.0	%			$	32,028,196				100.0	%

Exhibit F
Essent Group Ltd. and Subsidiaries
Supplemental Information
Other Risk in Force
($ in thousands)			December 31, 2014				September 30, 2014				December 31, 2013
ACIS (A)			$	43,733			$	28,398			$	-

(A) Essent Reinsurance, Ltd. provides insurance or reinsurance in connection with Freddie Mac's Agency Credit Insurance Structure ("ACIS") program, and covers the risk in force on the loans in the reference pools associated with the STACR 2014 DN-1 notes issued by Freddie Mac in February 2014 and the STACR 2014 DN-2 notes issued by Freddie Mac in April 2014.

Exhibit G
Essent Group Ltd. and Subsidiaries
Supplemental Information
Portfolio Vintage Data: Consolidated
			Original				Remaining
			Insurance				Insurance				% Remaining of				Insurance in Force as of December 31, 2014
Origination year			Written ($ in thousands)				in Force ($ in thousands)				Original Insurance				% Purchase				>90% LTV				>95% LTV				FICO < 700				FICO >= 760				% FRM
2010			$	245,898			$	77,194			31.4	%			72.8	%			37.2	%			0.0	%			2.7	%			60.0	%			98.0	%
2011				3,229,720				1,298,063			40.2				72.1				40.5				0.2				4.3				57.5				93.5
2012				11,241,161				7,780,072			69.2				69.5				48.9				0.5				5.2				55.9				96.8
2013				21,152,638				17,907,693			84.7				74.2				52.0				1.8				7.7				51.4				96.5
2014				24,799,434				23,699,572			95.6				83.5				56.0				3.2				14.9				43.0				94.1
Total			$	60,668,851			$	50,762,594			83.7				77.8				53.1				2.2				10.6				48.4				95.4

Exhibit H
Essent Group Ltd. and Subsidiaries
Supplemental Information
Portfolio Geographic Data: Consolidated
IIF by State
			As of December 31, 2014			As of September 30, 2014			As of December 31, 2013
CA			10.2%			10.4%			11.1%
TX			8.3			8.3			8.2
FL			5.3			5.1			4.6
WA			4.3			4.1			3.6
NC			4.0			4.0			4.3
IL			3.9			3.8			4.0
MA			3.9			4.1			2.8
PA			3.4			3.5			3.6
NJ			3.4			3.4			3.8
GA			3.3			3.3			3.5
All Others			50.0			50.0			50.5
TOTAL			100.0%			100.0%			100.0%
RIF by State
			As of December 31, 2014			As of September 30, 2014			As of December 31, 2013
CA			9.8%			10.0%			10.5%
TX			8.5			8.4			8.0
FL			5.6			5.4			4.8
WA			4.4			4.2			3.6
NC			4.2			4.3			4.4
IL			4.0			4.0			4.0
GA			3.5			3.6			3.6
NJ			3.4			3.4			3.7
PA			3.2			3.3			3.6
AZ			3.2			3.3			3.3
All Others			50.2			50.1			50.5
TOTAL			100.0%			100.0%			100.0%

Exhibit I
Essent Group Ltd. and Subsidiaries
Supplemental Information
Defaults, Reserve for Losses and LAE, and Claims
Rollforward of Insured Loans in Default
			Three months ended										Year ended
			December 31,					December 31,					December 31,					December 31,
			2014					2013					2014					2013
Beginning default inventory				312					116					159					56
Plus: new defaults				349					108					904					327
Less: cures				(196	)				(57	)				(578	)				(208	)
Less: claims paid				(8	)				(8	)				(28	)				(16	)
Ending default inventory				457					159					457					159
Rollforward of Reserve for Losses and LAE
			Three months ended										Year ended
			December 31,					December 31,					December 31,					December 31,
($ in thousands)			2014					2013					2014					2013
Reserve for losses and LAE at beginning of period			$	5,682				$	2,727				$	3,070				$	1,499
Add provision for losses and LAE occurring in:
Current year				2,923					903					6,877					2,986
Prior years				126					(211	)				(569	)				(665	)
Incurred losses during the period				3,049					692					6,308					2,321
Deduct payments for losses and LAE occurring in:
Current year				137					144					138					239
Prior years				167					205					813					511
Loss and LAE payments during the period				304					349					951					750
Reserve for losses and LAE at end of period			$	8,427				$	3,070				$	8,427				$	3,070
Claims
			Three months ended										Year ended
			December 31,					December 31,					December 31,					December 31,
			2014					2013					2014					2013
Number of claims paid				8					8					28					16
Total amount paid for claims (in thousands)			$	292				$	343				$	929				$	720
Average amount paid per claim (in thousands)			$	37				$	43				$	33				$	45
Severity				98	%				87	%				79	%				90	%

																		Exhibit I, continued
Essent Group Ltd. and Subsidiaries
Supplemental Information
Defaults, Reserve for Losses and LAE, and Claims
			As of December 31, 2014
			Number of			Percentage of			Amount of			Percentage of						Reserves as a
			Policies in Default			Policies in Default			Reserves			Reserves			Defaulted RIF			Percentage of RIF
($ in thousands)
Missed Payments:
	Three payments or less		247			54	%		$	2,381		31	%		$	13,059		18	%
	Four to eleven payments		167			37				3,748		49				8,132		46
	Twelve or more payments		34			7				1,147		15				1,510		76
	Pending claims		9			2				424		5				419		101
	TOTAL		457			100	%			7,700		100	%		$	23,120		33
	IBNR									578
	LAE									149
	TOTAL								$	8,427
Average reserve per default:
	Case								$	16.8
	Total								$	18.4
Default Rate			0.20	%
			As of December 31, 2013
			Number of			Percentage of			Amount of			Percentage of						Reserves as a
			Policies in Default			Policies in Default			Reserves			Reserves			Defaulted RIF			Percentage of RIF
($ in thousands)
Missed Payments:
	Three payments or less		88			56	%		$	841		30	%		$	3,972		21	%
	Four to eleven payments		56			35				1,497		53				2,672		56
	Twelve or more payments		10			6				300		11				447		67
	Pending claims		5			3				169		6				166		102
	TOTAL		159			100	%			2,807		100	%		$	7,257		39
	IBNR									211
	LAE									52
	TOTAL								$	3,070
Average reserve per default:
	Case								$	17.7
	Total								$	19.3
Default Rate			0.11	%

													Exhibit J
Essent Group Ltd. and Subsidiaries
Supplemental Information
Investment Portfolio
Investment Portfolio by Asset Class
Asset Class		December 31, 2014								December 31, 2013
($ in thousands)		Fair Value				Percent				Fair Value			Percent
U.S. Treasury securities		$	74,216				7.0	%		$	59,187		17.8	%
U.S. agency securities			4,520				0.4				14,839		4.5
U.S. agency mortgage-backed securities			83,540				7.9				22,241		6.7
Municipal debt securities			195,546				18.5				57,650		17.3
Corporate debt securities			296,829				28.1				125,593		37.8
Mortgage-backed securities			66,086				6.3				18,581		5.6
Asset-backed securities			126,188				11.9				20,385		6.1
Money market investments			210,688				19.9				14,079		4.2
Total Investments		$	1,057,613				100.0	%		$	332,555		100.0	%
Investment Portfolio by Credit Rating
Rating (1)		December 31, 2014								December 31, 2013
($ in thousands)		Fair Value				Percent				Fair Value			Percent
Aaa		$	545,807				51.6	%		$	147,862		44.5	%
Aa1			47,792				4.5				21,570		6.5
Aa2			51,958				4.9				15,464		4.6
Aa3			48,261				4.6				11,902		3.6
A1			74,161				7.0				26,541		8.0
A2			67,413				6.4				17,045		5.1
A3			71,964				6.8				29,886		9.0
Baa1			60,399				5.7				24,441		7.3
Baa2			79,727				7.5				30,782		9.3
Baa3			10,131				1.0				7,062		2.1
Below Baa3			-				-				-		-
Total Investments		$	1,057,613				100.0	%		$	332,555		100.0	%
(1) Based on ratings issued by Moody's, if available. S&P rating utilized if Moody's not available.
Portfolio by Duration and Book Yield
Effective Duration		December 31, 2014								December 31, 2013
($ in thousands)		Fair Value				Percent				Fair Value			Percent
< 1 Year		$	332,399				31.4	%		$	65,092		19.6	%
1 to < 2 Years			85,971				8.1				19,093		5.7
2 to < 3 Years			167,504				15.8				74,335		22.4
3 to < 4 Years			106,432				10.1				63,214		19.0
4 to < 5 Years			80,300				7.6				66,230		19.9
5 or more Years			285,007				27.0				44,591		13.4
Total Investments		$	1,057,613				100.0	%		$	332,555		100.0	%
Pre-tax investment income yield:
Three months ended December 31, 2014			1.71	%
Year ended December 31, 2014			1.51	%
Net cash and investments at holding company, Essent Group Ltd. ($ in thousands):
As of December 31, 2014						$	126,327
As of December 31, 2013						$	246,220

						Exhibit K
Essent Group Ltd. and Subsidiaries
Supplemental Information
Insurance Company Capital
			As of
			December 31, 2014			December 31, 2013
($ in thousands)
US Mortgage Insurance Business:
Combined statutory capital (A)			$	705,890		$	469,424
Combined net risk in force (B)			$	11,426,748		$	7,765,586
Risk to capital ratios: (C)
	Essent Guaranty, Inc.			16.4:1			16.6:1
	Essent Guaranty of PA, Inc.			14.6:1			17.1:1
	Combined (D)			16.2:1			16.5:1
Essent Reinsurance, Ltd. Mortgage Insurance Business:
Stockholder's equity (GAAP basis)			$	155,123		$	389
Net risk in force (B)			$	835,976			N/A

(A) Combined statutory capital equals the sum of statutory capital of Essent Guaranty, Inc. plus Essent Guaranty of PA, Inc., after eliminating the impact of intercompany transactions. Statutory capital is computed based on accounting practices prescribed or permitted by the Pennsylvania Insurance Department.

(B) Net risk in force represents total risk in force, net of reinsurance ceded and net of exposures on policies for which loss reserves have been established.

(C) The risk to capital ratio is calculated as the ratio of net risk in force to statutory capital.

(D) The combined risk to capital ratio equals the sum of the net risk in force of Essent Guaranty, Inc. and Essent Guaranty of PA, Inc. divided by the combined statutory capital.

											Exhibit L
Essent Group Ltd. and Subsidiaries
Supplemental Information
Earnings per Share
		Three months ended December 31,						Year ended December 31,
		2014			2013			2014			2013
(In thousands, except per share amounts)
Net income		$	28,866		$	19,017		$	88,497		$	65,413
Less: Common Shares dividends declared			-			-			-			-
Less: Class A dividends declared			N/A			-			N/A			-
Less: Class B-2 dividends declared			N/A			-			N/A			-
Undistributed net income		$	28,866		$	19,017		$	88,497		$	65,413
Net income allocable to Common Shares		$	28,866		$	12,037		$	88,497		$	12,706
Net income allocable to Class A common shares			N/A		$	6,980			N/A		$	52,707
Earnings per Common Share:
Basic		$	0.34		$	0.23		$	1.05		$	0.90
Diluted			0.33			0.22			1.03			0.70
Weighted average Common Shares outstanding:
Basic			86,134			51,741			83,986			14,044
Diluted			87,950			55,130			85,602			18,103

Note:		Prior to the Company’s initial public offering on November 5, 2013 (“IPO”), the Company had two classes of common shares outstanding: Class A common shares and Class B-2 common shares. Upon the completion of the IPO, all of the Class A common shares and the Class B-2 common shares converted into a single class of common shares of the Company (the “Common Shares”), as more fully described in the Company’s prospectus dated October 30, 2013. Earnings Per Share (“EPS”) was calculated and presented prior to the IPO using the “two-class” method which provides that earnings and losses are allocated to each class of common shares according to the dividends declared or unpaid cumulative dividends earned, with the remaining undistributed earnings allocated according to each share’s respective participation rights.

						Exhibit M
Essent Group Ltd. and Subsidiaries
Supplemental Information
Reconciliation of Non-GAAP Financial Measure - Adjusted Book Value per Share
We believe that long-term growth in Adjusted Book Value per Share is an important measure of our financial performance and is a measure used to determine vesting on certain restricted stock granted to senior management under the Company’s long-term incentive plan. Adjusted Book Value per Share is a financial measure that is not calculated under standards or rules that comprise accounting principles generally accepted in the United States (GAAP) and is referred to as a non-GAAP measure. Adjusted Book Value per Share may be defined or calculated differently by other companies. Adjusted Book Value per Share is one measure used to monitor our results and should not be viewed as a substitute for those measures determined in accordance with GAAP.
Adjusted Book Value per Share is calculated by dividing Adjusted Book Value by Common Shares and Share Units Outstanding. Adjusted Book Value is defined as consolidated stockholders’ equity of the Company, excluding accumulated other comprehensive income (loss) plus the proceeds, if any, from the assumed exercise of all in the money options, warrants and similar instruments. Common Shares and Outstanding Restricted Share Units is defined as total common shares outstanding plus all equity instruments (including Restricted Stock Units) issued to management and the Board of Directors and any in the money options, warrants and similar instruments. Accumulated other comprehensive income (loss) includes unrealized gains and losses that arise from changes in the market value of the Company’s investments that are classified as available for sale. The Company does not view these unrealized gains and losses to be indicative of our fundamental operating performance. As of December 31, 2014 and 2013, the Company does not have any options, warrants and similar instruments outstanding.
The following table sets forth the reconciliation of adjusted book value to the most comparable GAAP amount as of December 31, 2014 and 2013 in accordance with Regulation G:

(In thousands, except per share amounts)			December 31, 2014			December 31, 2013
Numerator:
	Total Stockholders' Equity (Book Value)		$	955,738		$	722,141
	Subtract: Accumulated Other Comprehensive Income (Loss)			4,667			(1,447	)
	Adjusted Book Value		$	951,071		$	723,588
Denominator:
	Total Outstanding Common Shares			92,546			86,491
	Add: Outstanding Restricted Share Units			664			528
	Total Outstanding Common Shares and Restricted Share Units			93,210			87,019
	Adjusted Book Value per Share		$	10.20		$	8.32

Source: Essent Group Ltd.