News Details

HAMILTON, Bermuda--(BUSINESS WIRE)-- Essent Group Ltd. (NYSE: ESNT) today reported net income for the quarter ended March 31, 2017 of $66.6 million or $0.72 per diluted share, compared to $48.0 million or $0.52 per diluted share for the quarter ended March 31, 2016. As of March 31, 2017, Essent had insurance in force of $88.0 billion and consolidated stockholders’ equity of $1.4 billion.

“We had another strong quarter of operating performance and producing high quality and growing earnings for our shareholders,” said Mark Casale, Chairman and Chief Executive Officer. “During the quarter, we grew insurance in force 30% compared to March 31^st a year ago, while also generating a 19% annualized return on average equity in the first quarter of 2017.”

Financial Highlights:

• Insurance in force as of March 31, 2017 was $88.0 billion, compared to $83.3 billion as of December 31, 2016 and $67.7 billion as of March 31, 2016.
• Flow new insurance written for the first quarter was $8.0 billion, compared to $10.5 billion in the fourth quarter of 2016 and $5.4 billion in the first quarter of 2016.
• Net premiums earned for the first quarter were $117.7 million, compared to $116.8 million in the fourth quarter of 2016 and $94.4 million in the first quarter of 2016.
• The expense ratio for the first quarter was 30.9%, compared to 29.8% in the fourth quarter of 2016 and 33.2% in the first quarter of 2016.
• The provision for losses and LAE for the first quarter was $3.7 million, compared to $3.9 million in the fourth quarter of 2016 and $3.7 million in the first quarter of 2016.
• The percentage of loans in default as of March 31, 2017 was 0.45%, compared to 0.47% as of December 31, 2016 and 0.34% as of March 31, 2016.
• The combined ratio for the first quarter was 34.0%, compared to 33.1% in the fourth quarter of 2016 and 37.2% in the first quarter of 2016.
• The consolidated balance of cash and investments at March 31, 2017 was $1.7 billion, including cash and investment balances at Essent Group Ltd. of $41.1 million.
• The combined risk to capital ratio of the U.S. mortgage insurance business, which includes statutory capital for both Essent Guaranty, Inc. and Essent Guaranty of PA, Inc., was 14.6:1 as of March 31, 2017.
• Essent Reinsurance Ltd. reinsured a total of $62.8 million of risk in GSE risk share transactions in the first quarter of 2017.
• Net income for the first quarter includes an income tax benefit of $3.0 million, or $0.03 per diluted share, related to the vesting of common shares and common share units.

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 4824281 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: 800-585-8367 inside the U.S., or 416-621-4642 for international callers, passcode 4824281.

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," "will," “should,” “expect,” "plan," "anticipate," "believe," “estimate,” “predict,” or "potential" 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; our 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, 2016 filed with the Securities and Exchange Commission on February 16, 2017. 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 (collectively with its subsidiaries, “Essent”) which, through its wholly-owned subsidiary Essent Guaranty, Inc., 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, 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, reinsurance and advisory services through its Bermuda-based subsidiary, Essent Reinsurance Ltd. Additional information regarding Essent may be found at www.essentgroup.com and www.essent.us.

Source: Essent Group Ltd.

Essent Group Ltd. and Subsidiaries
Financial Results and Supplemental Information (Unaudited)
Quarter Ended March 31, 2017
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		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 March 31,
(In thousands, except per share amounts)		2017				2016
Revenues:
Net premiums written		$	119,297			$	100,466
Increase in unearned premiums		(1,646		)		(6,063		)
Net premiums earned		117,651				94,403
Net investment income		8,435				6,183
Realized investment gains, net		655				471
Other income		851				1,409
Total revenues		127,592				102,466
Losses and expenses:
Provision for losses and LAE		3,693				3,731
Other underwriting and operating expenses		36,332				31,388
Interest expense		716				—
Total losses and expenses		40,741				35,119
Income before income taxes		86,851				67,347
Income tax expense		20,253				19,396
Net income		$	66,598			$	47,951
Earnings per share:
Basic		$	0.73			$	0.53
Diluted		0.72				0.52
Weighted average shares outstanding:
Basic		91,258				90,785
Diluted		93,023				91,859
Net income		$	66,598			$	47,951
Other comprehensive income (loss):
Change in unrealized appreciation of investments		4,850				13,359
Total other comprehensive income		4,850				13,359
Comprehensive income		$	71,448			$	61,310
Loss ratio		3.1		%		4.0		%
Expense ratio		30.9		%		33.2		%
Combined ratio		34.0		%		37.2		%

						Exhibit B
Essent Group Ltd. and Subsidiaries
Condensed Consolidated Balance Sheets (Unaudited)
		March 31,				December 31,
(In thousands, except per share amounts)		2017				2016
Assets
Investments available for sale, at fair value
Fixed maturities		$	1,612,153			$	1,482,754
Short-term investments		112,380				132,348
Total investments		1,724,533				1,615,102
Cash		19,713				27,531
Accrued investment income		10,191				9,488
Accounts receivable		23,479				21,632
Deferred policy acquisition costs		13,493				13,400
Property and equipment		8,205				8,119
Prepaid federal income tax		180,657				181,272
Other assets		7,429				6,454
Total assets		$	1,987,700			$	1,882,998
Liabilities and Stockholders' Equity
Liabilities
Reserve for losses and LAE		$	29,468			$	28,142
Unearned premium reserve		221,262				219,616
Net deferred tax liability		162,651				142,587
Revolving credit facility borrowings		125,000				100,000
Securities purchased payable		17,315				14,999
Other accrued liabilities		19,252				33,881
Total liabilities		574,948				539,225
Commitments and contingencies
Stockholders' Equity
Common shares		1,401				1,397
Additional paid-in capital		915,895				918,296
Accumulated other comprehensive loss		(7,405		)		(12,255		)
Retained earnings		502,861				436,335
Total stockholders' equity		1,412,752				1,343,773
Total liabilities and stockholders' equity		$	1,987,700			$	1,882,998
Return on average equity (1)		19.3		%		18.1		%

(1) The 2017 return on average equity is calculated by dividing annualized year-to-date 2017 net income by average equity. The 2016 return on average equity is calculated by dividing full year 2016 net income by average equity.

																		Exhibit C
Essent Group Ltd. and Subsidiaries
Supplemental Information
Historical Quarterly Data
		2017				2016
Selected Income Statement Data		March 31				December 31				September 30				June 30				March 31
(In thousands, except per share amounts)
Revenues:
Net premiums written		$	119,297			$	116,412			$	115,887			$	108,513			$	100,466
Net premiums earned		117,651				116,792				110,801				100,711				94,403
Other revenues (1)		9,941				9,581				10,453				7,454				8,063
Total revenues		127,592				126,373				121,254				108,165				102,466
Losses and expenses:
Provision for losses and LAE		3,693				3,865				4,965				2,964				3,731
Other underwriting and operating expenses		36,332				34,836				32,792				31,409				31,388
Interest expense		716				370				56				—				—
Total losses and expenses		40,741				39,071				37,813				34,373				35,119
Income before income taxes		86,851				87,302				83,441				73,792				67,347
Income tax expense (2)		20,253				24,616				23,730				21,534				19,396
Net income		$	66,598			$	62,686			$	59,711			$	52,258			$	47,951
Earnings per share:
Basic		$	0.73			$	0.69			$	0.66			$	0.57			$	0.53
Diluted		0.72				0.68				0.65				0.57				0.52
Weighted average shares outstanding:
Basic		91,258				90,991				90,961				90,912				90,785
Diluted		93,023				92,577				92,399				92,138				91,859
Other Data:
Loss ratio (3)		3.1		%		3.3		%		4.5		%		2.9		%		4.0		%
Expense ratio (4)		30.9		%		29.8		%		29.6		%		31.2		%		33.2		%
Combined ratio		34.0		%		33.1		%		34.1		%		34.1		%		37.2		%
Return on average equity (annualized)		19.3		%		18.9		%		18.7		%		17.2		%		16.7		%

(1) In 2016, other revenues included the change in the fair value of insurance and certain reinsurance policies issued by Essent Reinsurance Ltd. ("Essent Re") in connection with Freddie Mac's Agency Credit Insurance Structure ("ACIS") program that were accounted for as derivatives under GAAP. In the three months ended September 30, 2016, these contracts were amended and are now accounted for as insurance contracts. The change in fair values of these policies was $2,012, ($755) and $677 in the three months ended September 30, 2016, June 30, 2016 and March 31, 2016, respectively.

(2) Income tax expense for the quarter ended March 31, 2017 was calculated using an annualized effective tax rate of 26.8% and was reduced by $3,023 of excess tax benefits associated with the vesting of common shares and common share units during the quarter. Prior to January 1, 2017, excess tax benefits were recognized in additional paid-in-capital.

(3) Loss ratio is calculated by dividing the provision for losses and LAE by net premiums earned.

(4) 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
		2017				2016
Other Data, continued:		March 31				December 31				September 30				June 30				March 31
($ in thousands)
U.S. Mortgage Insurance Portfolio
Flow:
New insurance written		$	8,034,153			$	10,475,258			$	10,299,161			$	8,715,171			$	5,366,675
New risk written		1,929,832				2,498,831				2,536,734				2,167,333				1,340,588
Bulk:
New insurance written		$	—			$	—			$	—			$	—			$	93,054
New risk written		—				—				—				—				8,480
Total:
Average premium rate (5)		0.53		%		0.56		%		0.58		%		0.57		%		0.56		%
New insurance written		$	8,034,153			$	10,475,258			$	10,299,161			$	8,715,171			$	5,459,729
New risk written		$	1,929,832			$	2,498,831			$	2,536,734			$	2,167,333			$	1,349,068
Insurance in force (end of period)		$	87,993,227			$	83,265,522			$	77,614,373			$	72,267,099			$	67,716,741
Risk in force (end of period)		$	21,801,667			$	20,627,317			$	19,289,387			$	17,937,364			$	16,745,819
Policies in force		397,650				375,898				350,600				328,441				308,779
Weighted average coverage (6)		24.8		%		24.8		%		24.9		%		24.8		%		24.7		%
Annual persistency		78.2		%		77.7		%		79.4		%		81.0		%		81.0		%
Loans in default (count)		1,777				1,757				1,453				1,174				1,060
Percentage of loans in default		0.45		%		0.47		%		0.41		%		0.36		%		0.34		%
Other Risk in Force
GSE Risk Share (7)		$	436,991			$	384,103			$	302,211			$	305,357			$	188,766
Revolving Credit Facility
Borrowings outstanding		$	125,000			$	100,000			$	50,000			$	—			N/A
Undrawn committed capacity		$	75,000			$	100,000			$	150,000			$	200,000			N/A
Weighted average interest rate		2.96		%

(5) Average premium rate is calculated by dividing net premiums earned by average insurance in force for the period.

(6) Weighted average coverage is calculated by dividing end of period risk in force by insurance in force.

(7) Essent Re provides insurance or reinsurance relating to the risk in force on loans in reference pools acquired by Freddie Mac and Fannie Mae, including in connection with Freddie Mac's Agency Credit Insurance Structure ("ACIS") and Fannie Mae's Credit Insurance Risk Transfer ("CIRT") programs.

																Exhibit D
Essent Group Ltd. and Subsidiaries
Supplemental Information
New Insurance Written: Flow
NIW by Credit Score
		Three Months Ended
		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
>=760		$	3,399,754			42.3	%		$	4,642,666			44.3	%		$	2,287,903			42.6	%
740-759		1,243,278				15.5			1,636,508				15.6			839,808				15.6
720-739		1,149,215				14.3			1,456,147				13.9			779,556				14.5
700-719		958,015				11.9			1,212,922				11.6			582,731				10.9
680-699		694,814				8.7			879,907				8.4			486,852				9.1
<=679		589,077				7.3			647,108				6.2			389,825				7.3
Total		$	8,034,153			100.0	%		$	10,475,258			100.0	%		$	5,366,675			100.0	%
Weighted average credit score		745							747							745
NIW by LTV
		Three Months Ended
		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
85.00% and below		$	1,218,800			15.2	%		$	1,808,741			17.3	%		$	663,998			12.4	%
85.01% to 90.00%		2,498,907				31.1			3,242,535				30.9			1,803,776				33.6
90.01% to 95.00%		3,511,603				43.7			4,525,547				43.2			2,730,564				50.9
95.01% and above		804,843				10.0			898,435				8.6			168,337				3.1
Total		$	8,034,153			100.0	%		$	10,475,258			100.0	%		$	5,366,675			100.0	%
Weighted average LTV		92		%					91		%					92		%
NIW by Product
		Three Months Ended
		March 31, 2017							December 31, 2016							March 31, 2016
Single Premium policies						14.2	%						12.7	%						24.6	%
Monthly Premium policies						85.8							87.3							75.4
						100.0	%						100.0	%						100.0	%
NIW by Purchase vs. Refinance
		Three Months Ended
		March 31, 2017							December 31, 2016							March 31, 2016
Purchase						78.9	%						73.9	%						81.6	%
Refinance						21.1							26.1							18.4
						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
		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
>=760		$	—			0.0	%		$	—			0.0	%		$	45,625			49.0	%
740-759		—				—			—				—			18,154				19.5
720-739		—				—			—				—			11,475				12.3
700-719		—				—			—				—			8,220				8.8
680-699		—				—			—				—			6,453				7.0
<=679		—				—			—				—			3,127				3.4
Total		$	—			0.0	%		$	—			0.0	%		$	93,054			100.0	%
Weighted average credit score		N/A							N/A							750
NIW by LTV
		Three Months Ended
		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
85.00% and below		$	—			0.0	%		$	—			0.0	%		$	755			0.8	%
85.01% to 90.00%		—				—			—				—			27,757				29.8
90.01% to 95.00%		—				—			—				—			64,542				69.4
95.01% and above		—				—			—				—			—				—
Total		$	—			0.0	%		$	—			0.0	%		$	93,054			100.0	%
Weighted average LTV		N/A							N/A							91		%
NIW by Product
		Three Months Ended
		March 31, 2017							December 31, 2016							March 31, 2016
Single Premium policies						0.0	%						0.0	%						100.0	%
Monthly Premium policies						—							—							—
						0.0	%						0.0	%						100.0	%
NIW by Purchase vs. Refinance
		Three Months Ended
		March 31, 2017							December 31, 2016							March 31, 2016
Purchase						0.0	%						0.0	%						100.0	%
Refinance						—							—							—
						0.0	%						0.0	%						100.0	%

																				Exhibit E
Essent Group Ltd. and Subsidiaries
Supplemental Information
Insurance in Force and Risk in Force
Portfolio by Credit Score
Total IIF by FICO score		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
>=760		$	39,724,096			45.1	%		$	37,858,422			45.5	%		$	31,032,734			45.8	%
740-759		14,460,034				16.4			13,760,610				16.5			11,383,450				16.8
720-739		12,550,737				14.3			11,855,648				14.2			9,783,221				14.5
700-719		9,325,770				10.6			8,712,971				10.5			6,816,087				10.1
680-699		7,051,155				8.0			6,611,166				7.9			5,310,252				7.8
<=679		4,881,435				5.6			4,466,705				5.4			3,390,997				5.0
Total		$	87,993,227			100.0	%		$	83,265,522			100.0	%		$	67,716,741			100.0	%
Weighted average credit score		748							749							750
Total RIF by FICO score		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
>=760		$	9,791,036			44.9	%		$	9,319,522			45.2	%		$	7,616,124			45.5	%
740-759		3,609,590				16.6			3,434,392				16.7			2,835,832				16.9
720-739		3,146,943				14.4			2,970,941				14.4			2,451,777				14.6
700-719		2,303,107				10.6			2,151,657				10.4			1,677,361				10.0
680-699		1,762,997				8.1			1,656,791				8.0			1,330,183				8.0
<=679		1,187,994				5.4			1,094,014				5.3			834,542				5.0
Total		$	21,801,667			100.0	%		$	20,627,317			100.0	%		$	16,745,819			100.0	%
Portfolio by LTV
Total IIF by LTV		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
85.00% and below		$	10,403,824			11.8	%		$	9,756,578			11.7	%		$	7,460,266			11.0	%
85.01% to 90.00%		28,744,011				32.7			27,409,202				32.9			23,115,372				34.1
90.01% to 95.00%		44,862,812				51.0			42,854,633				51.5			35,485,155				52.4
95.01% and above		3,982,580				4.5			3,245,109				3.9			1,655,948				2.5
Total		$	87,993,227			100.0	%		$	83,265,522			100.0	%		$	67,716,741			100.0	%
Weighted average LTV		92		%					92		%					92		%
Total RIF by LTV		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
85.00% and below		$	1,172,920			5.4	%		$	1,101,947			5.3	%		$	842,560			5.0	%
85.01% to 90.00%		6,821,725				31.3			6,512,613				31.6			5,498,657				32.8
90.01% to 95.00%		12,829,032				58.8			12,234,306				59.3			10,078,998				60.2
95.01% and above		977,990				4.5			778,451				3.8			325,604				2.0
Total		$	21,801,667			100.0	%		$	20,627,317			100.0	%		$	16,745,819			100.0	%
Portfolio by Loan Amortization Period
Total IIF by Loan Amortization Period		March 31, 2017							December 31, 2016							March 31, 2016
($ in thousands)
FRM 30 years and higher		$	79,647,327			90.5	%		$	75,428,964			90.6	%		$	60,857,001			89.9	%
FRM 20-25 years		2,298,806				2.6			2,113,529				2.5			1,546,759				2.3
FRM 15 years		3,290,900				3.8			3,066,893				3.7			2,629,322				3.9
ARM 5 years and higher		2,756,194				3.1			2,656,136				3.2			2,683,659				3.9
Total		$	87,993,227			100.0	%		$	83,265,522			100.0	%		$	67,716,741			100.0	%

										Exhibit F
Essent Group Ltd. and Subsidiaries
Supplemental Information
Other Risk in Force
($ in thousands)		March 31, 2017				December 31, 2016				March 31, 2016
GSE Risk Share (1)		$	436,991			$	384,103			$	188,766
Weighted average credit score		750				749				753
Weighted average LTV		83		%		82		%		77		%

(1) Essent Reinsurance Ltd. ("Essent Re") provides insurance or reinsurance relating to the risk in force on loans in reference pools acquired by Freddie Mac and Fannie Mae, including in connection with Freddie Mac's Agency Credit Insurance Structure ("ACIS") and Fannie Mae's Credit Insurance Risk Transfer ("CIRT") programs.

																																					Exhibit G
Essent Group Ltd. and Subsidiaries
Supplemental Information
Portfolio Vintage Data
March 31, 2017
																Insurance in Force
		Original				Remaining																												Incurred
		Insurance				Insurance				% Remaining of			Number of																					Loss Ratio			Number of
		Written				in Force				Original			Policies in																					(Inception			Loans in
Origination Year		($ in thousands)				($ in thousands)				Insurance			Force			% Purchase			>90% LTV			>95% LTV			FICO <700			FICO >= 760			% FRM			to Date) (1)			Default
2010		$	245,898			$	26,764			10.9	%		173			78.7	%		48.6	%		0.0	%		4.2	%		58.3	%		99.2	%		2.7	%		1
2011		3,229,720				522,127				16.2			2,880			76.5			45.6			0.2			5.3			54.7			95.7			3.7			41
2012		11,241,161				3,553,612				31.6			17,894			75.7			54.3			0.5			5.4			55.8			97.8			2.4			130
2013		21,152,638				8,758,749				41.4			43,437			78.6			56.4			1.9			7.8			51.3			97.4			2.6			322
2014		24,799,434				13,669,734				55.1			68,094			87.1			61.2			3.8			15.3			42.1			94.2			3.8			637
2015		26,193,656				20,458,227				78.1			92,205			82.0			55.4			2.4			14.8			43.7			96.6			3.4			433
2016		34,949,319				33,018,253				94.5			138,401			79.3			53.7			6.0			14.1			45.1			98.0			3.0			209
2017 (through March 31)		8,034,153				7,985,761				99.4			34,566			78.9			53.8			10.1			16.0			42.2			96.5			0.5			4
Total		$	129,845,979			$	87,993,227			67.8			397,650			80.8			55.5			4.5			13.6			45.1			96.9			3.1			1,777

(1) Incurred loss ratio is calculated by dividing the sum of case reserves and cumulative amount paid for claims by cumulative net premiums earned.

								Exhibit H
Essent Group Ltd. and Subsidiaries
Supplemental Information
Portfolio Geographic Data
IIF by State
		March 31, 2017			December 31, 2016			March 31, 2016
CA		9.4	%		9.4	%		9.5	%
TX		8.2			8.2			8.4
FL		6.8			6.6			6.3
WA		4.8			4.8			4.7
IL		3.9			4.0			4.0
NC		3.6			3.7			3.9
NJ		3.6			3.5			3.4
GA		3.4			3.4			3.3
MN		3.2			3.2			2.9
AZ		3.2			3.2			3.2
All Others		49.9			50.0			50.4
Total		100.0	%		100.0	%		100.0	%
RIF by State
		March 31, 2017			December 31, 2016			March 31, 2016
CA		9.0	%		9.0	%		9.2	%
TX		8.5			8.5			8.6
FL		7.0			6.9			6.5
WA		4.9			4.8			4.7
IL		3.9			4.0			4.1
NC		3.7			3.7			4.0
NJ		3.5			3.5			3.3
GA		3.5			3.5			3.5
MN		3.3			3.3			3.0
OH		3.1			3.1			3.0
All Others		49.6			49.7			50.1
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
		March 31,				December 31,				March 31,
		2017				2016				2016
Beginning default inventory		1,757				1,453				1,028
Plus: new defaults		1,200				1,208				769
Less: cures		(1,114		)		(861		)		(706		)
Less: claims paid		(65		)		(39		)		(30		)
Less: rescissions and denials, net		(1		)		(4		)		(1		)
Ending default inventory		1,777				1,757				1,060
Rollforward of Reserve for Losses and LAE
		Three Months Ended
		March 31,				December 31,				March 31,
($ in thousands)		2017				2016				2016
Reserve for losses and LAE at beginning of period		$	28,142			$	25,731			$	17,760
Add provision for losses and LAE occurring in:
Current year		7,090				5,502				5,080
Prior years		(3,397		)		(1,637		)		(1,349		)
Incurred losses during the period		3,693				3,865				3,731
Deduct payments for losses and LAE occurring in:
Current year		1				460				1
Prior years		2,366				994				1,020
Loss and LAE payments during the period		2,367				1,454				1,021
Reserve for losses and LAE at end of period		$	29,468			$	28,142			$	20,470
Claims
		Three Months Ended
		March 31,				December 31,				March 31,
		2017				2016				2016
Number of claims paid		65				39				30
Total amount paid for claims (in thousands)		$	2,307			$	1,438			$	998
Average amount paid per claim (in thousands)		$	35			$	37			$	33
Severity		87		%		70		%		93		%

														Exhibit I, continued
Essent Group Ltd. and Subsidiaries
Supplemental Information
Defaults, Reserve for Losses and LAE, and Claims
		March 31, 2017
		Number of Policies in Default			Percentage of Policies in Default			Amount of Reserves			Percentage of Reserves			Defaulted RIF			Reserves as a Percentage of Defaulted RIF
($ in thousands)
Missed Payments:
Three payments or less		869			49	%		$	6,426		24	%		$	50,004		13	%
Four to eleven payments		690			39				13,428		50				38,252		35
Twelve or more payments		184			10				5,673		21				9,403		60
Pending claims		34			2				1,437		5				1,748		82
Total case reserves		1,777			100	%			26,964		100	%		$	99,407		27
IBNR									2,022
LAE									482
Total reserves for losses and LAE								$	29,468
Average reserve per default:
Case								$	15.2
Total								$	16.6
Default Rate		0.45	%
		December 31, 2016
		Number of Policies in Default			Percentage of Policies in Default			Amount of Reserves			Percentage of Reserves			Defaulted RIF			Reserves as a Percentage of Defaulted RIF
($ in thousands)
Missed Payments:
Three payments or less		914			52	%		$	6,615		26	%		$	50,737		13	%
Four to eleven payments		620			35				11,505		45				32,833		35
Twelve or more payments		179			10				5,678		22				9,575		59
Pending claims		44			3				1,960		7				2,272		86
Total case reserves		1,757			100	%			25,758		100	%		$	95,417		27
IBNR									1,932
LAE									452
Total reserves for losses and LAE								$	28,142
Average reserve per default:
Case								$	14.7
Total								$	16.0
Default Rate		0.47	%
		March 31, 2016
		Number of Policies in Default			Percentage of Policies in Default			Amount of Reserves			Percentage of Reserves			Defaulted RIF			Reserves as a Percentage of Defaulted RIF
($ in thousands)
Missed Payments:
Three payments or less		505			48	%		$	4,639		25	%		$	28,519		16	%
Four to eleven payments		426			40				9,689		52				23,147		42
Twelve or more payments		105			10				3,438		18				5,217		66
Pending claims		24			2				1,029		5				1,202		86
Total case reserves		1,060			100	%			18,795		100	%		$	58,085		32
IBNR									1,410
LAE									265
Total reserves for losses and LAE								$	20,470
Average reserve per default:
Case								$	17.7
Total								$	19.3
Default Rate		0.34	%

												Exhibit J
Essent Group Ltd. and Subsidiaries
Supplemental Information
Investment Portfolio
Investment Portfolio by Asset Class
Asset Class		March 31, 2017							December 31, 2016
($ in thousands)		Fair Value				Percent			Fair Value			Percent
U.S. Treasury securities		$	178,743			10.4	%		$	191,548		11.9	%
U.S. agency securities			26,284			1.5				18,441		1.1
U.S. agency mortgage-backed securities			355,239			20.6				316,494		19.6
Municipal debt securities			361,392			21.0				334,324		20.7
Corporate debt securities			505,288			29.3				456,357		28.3
Residential and commercial mortgage securities			65,288			3.8				68,336		4.2
Asset-backed securities			134,911			7.8				127,172		7.9
Money market funds			97,388			5.6				102,430		6.3
Total Investments		$	1,724,533			100.0	%		$	1,615,102		100.0	%
Investment Portfolio by Credit Rating
Rating (1)		March 31, 2017							December 31, 2016
($ in thousands)		Fair Value				Percent			Fair Value			Percent
Aaa		$	809,229			46.9	%		$	780,513		48.3	%
Aa1			96,852			5.6				88,977		5.5
Aa2			102,056			5.9				101,772		6.3
Aa3			98,218			5.7				89,421		5.5
A1			156,350			9.1				143,938		8.9
A2			134,741			7.8				126,113		7.8
A3			99,307			5.8				95,926		6.0
Baa1			98,948			5.7				85,864		5.3
Baa2			82,677			4.8				71,950		4.5
Baa3			28,819			1.7				24,544		1.5
Below Baa3 / Unrated			17,336			1.0				6,084		0.4
Total Investments		$	1,724,533			100.0	%		$	1,615,102		100.0	%
(1) Based on ratings issued by Moody's, if available. S&P or Fitch rating utilized if Moody's not available.
Investment Portfolio by Duration and Book Yield
Effective Duration		March 31, 2017							December 31, 2016
($ in thousands)		Fair Value				Percent			Fair Value			Percent
< 1 Year		$	329,046			19.1	%		$	329,901		20.4	%
1 to < 2 Years			156,647			9.1				153,184		9.5
2 to < 3 Years			134,555			7.8				156,620		9.7
3 to < 4 Years			219,776			12.7				176,896		11.0
4 to < 5 Years			166,485			9.7				139,115		8.6
5 or more Years			718,024			41.6				659,386		40.8
Total Investments		$	1,724,533			100.0	%		$	1,615,102		100.0	%
Pre-tax investment income yield:
Three months ended March 31, 2017			2.15	%
Net cash and investments at holding company, Essent Group Ltd.:
($ in thousands)
As of March 31, 2017		$	41,060
As of December 31, 2016		$	46,561

					Exhibit K
Essent Group Ltd. and Subsidiaries
Supplemental Information
Insurance Company Capital
		March 31, 2017			December 31, 2016
($ in thousands)
U.S. Mortgage Insurance Subsidiaries:
Combined statutory capital (1)		$	1,202,569		$	1,144,279
Combined net risk in force (2)		$	17,611,301		$	16,801,992
Risk-to-capital ratios: (3)
Essent Guaranty, Inc.			15.2:1			15.3:1
Essent Guaranty of PA, Inc.			6.7:1			6.8:1
Combined (4)			14.6:1			14.7:1
Essent Reinsurance Ltd.:
Stockholder's equity (GAAP basis)		$	452,541		$	401,273
Net risk in force (2)		$	4,598,370		$	4,181,737

(1) 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 and the National Association of Insurance Commissioners Accounting Practices and Procedures Manual.
(2) 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.
(3) The risk-to-capital ratio is calculated as the ratio of net risk in force to statutory capital.
(4) 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
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 Share Units Outstanding is defined as total common shares outstanding plus all equity instruments (including restricted share 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 March 31, 2017, December 31, 2016 and March 31, 2016, 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 March 31, 2017, December 31, 2016 and March 31, 2016 in accordance with Regulation G:

(In thousands, except per share amounts)		March 31, 2017				December 31, 2016				March 31, 2016
Numerator:
Total Stockholders' Equity (Book Value)		$	1,412,752			$	1,343,773			$	1,181,495
Subtract: Accumulated Other Comprehensive (Loss) Income		(7,405		)		(12,255		)		13,260
Adjusted Book Value		$	1,420,157			$	1,356,028			$	1,168,235
Denominator:
Total Common Shares Outstanding		93,377				93,105				93,070
Add: Restricted Share Units Outstanding		598				493				484
Total Common Shares and Share Units Outstanding		93,975				93,598				93,554
Adjusted Book Value per Share		$	15.11			$	14.49			$	12.49

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Source: Essent Group Ltd.