Company Overview - Essent Group Ltd has transformed its business model to a "Buy, Manage & Distribute" approach through programmatic reinsurance[2] - Essent Group Ltd's total Insurance In Force (IIF) was $197.1 billion as of March 31, 2021[2] - Essent Guaranty, Inc has a combined risk-to-capital ratio of 10.6:1 as of March 31, 2021[2] Financial Performance (Q1 2021) - The company's Net Income was $135.6 million[3] - The Combined Ratio was 34%[3] - The Return on Equity (ROE) was 13.9%[3] - Shareholders' Equity stood at $3.9 billion[3] - The PMIERs Sufficiency Ratio was 161%[3] Portfolio and Risk Management - 87% of the Insurance In Force (IIF) has reinsurance protection[3] - As of March 31, 2021, Essent has access to $2.0 billion in Insurance-Linked Notes (ILN)/Excess of Loss (XOL) reinsurance coverage[20] - As of March 31, 2021, Essent Guaranty, Inc had a PMIERs required asset amount of $1.9 billion and an excess asset amount of $1.1 billion, yielding a PMIERs sufficiency ratio of 161%[49]

PART I. FINANCIAL INFORMATION [Financial Statements (Unaudited)](index=5&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) The unaudited Q1 2021 financial statements detail assets, liabilities, and equity, showing net income impacted by increased COVID-19 related loss reserves [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets%20(Unaudited)) Condensed Consolidated Balance Sheet Highlights (Unaudited) | Account | March 31, 2021 (in thousands) | December 31, 2020 (in thousands) | | :--- | :--- | :--- | | **Total Assets** | **$5,331,846** | **$5,202,724** | | Total Investments | $4,801,869 | $4,654,277 | | Cash | $81,022 | $102,830 | | **Total Liabilities** | **$1,410,909** | **$1,340,091** | | Reserve for losses and LAE | $411,123 | $374,941 | | Unearned premium reserve | $235,730 | $250,436 | | **Total Stockholders' Equity** | **$3,920,937** | **$3,862,633** | [Condensed Consolidated Statements of Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Unaudited)) Condensed Consolidated Statements of Comprehensive Income (Unaudited) | Account | Three Months Ended March 31, 2021 (in thousands) | Three Months Ended March 31, 2020 (in thousands) | | :--- | :--- | :--- | | Net premiums earned | $219,067 | $206,496 | | Total revenues | $244,797 | $228,840 | | Provision for losses and LAE | $32,322 | $8,063 | | Total losses and expenses | $76,612 | $52,142 | | **Net income** | **$135,648** | **$149,523** | | **Diluted EPS** | **$1.21** | **$1.52** | | Comprehensive income | $76,445 | $139,449 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20(Unaudited)) Condensed Consolidated Statements of Cash Flows Highlights (Unaudited) | Activity | Three Months Ended March 31, 2021 (in thousands) | Three Months Ended March 31, 2020 (in thousands) | | :--- | :--- | :--- | | Net cash provided by operating activities | $187,771 | $163,131 | | Net cash used in investing activities | ($186,259) | ($381,426) | | Net cash (used in) provided by financing activities | ($23,320) | $178,000 | | **Net decrease in cash** | **($21,808)** | **($40,295)** | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) - Essent Guaranty reinsures a portion of its new insurance written (NIW) to its affiliate, Essent Re, with coverage increasing from **25% to 35%** for new business effective January 1, 2021[37](index=37&type=chunk) - The company utilizes both quota share and excess of loss reinsurance agreements with third-party reinsurers and special purpose insurers (Radnor Re Transactions) to manage risk and capital[64](index=64&type=chunk)[68](index=68&type=chunk)[69](index=69&type=chunk) - As of March 31, 2021, insured loans in default totaled **29,080**, including **26,874** classified as COVID-19 defaults, with a reserve for losses and LAE of **$362.9 million** for these defaults[80](index=80&type=chunk)[83](index=83&type=chunk) - For defaults reported between April and September 2020 ("Early COVID Defaults"), the company established a reserve equal to approximately **7%** of the risk in force, anticipating a lower claim rate due to forbearance programs, while resuming normal reserve methodology for defaults after September 2020[83](index=83&type=chunk) - In May 2021, the Board of Directors declared a quarterly cash dividend of **$0.17 per share** and approved a new share repurchase plan authorizing up to **$250 million** of its common shares through the end of 2022[91](index=91&type=chunk) - As of March 31, 2021, Essent Guaranty was in compliance with the Private Mortgage Insurer Eligibility Requirements (PMIERs 2.0) set by the GSEs[130](index=130&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=27&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2021 performance, highlighting decreased net income due to higher loss provisions from COVID-19 defaults, despite increased net premiums earned and strong capital position [Overview and COVID-19 Impact](index=27&type=section&id=Overview%20and%20COVID-19%20Impact) - The company generated new insurance written (NIW) of **$19.3 billion** for Q1 2021, up from **$13.5 billion** in Q1 2020, with total insurance in force (IIF) at **$197.1 billion** as of March 31, 2021[140](index=140&type=chunk) - Due to COVID-19, the company experienced a significant increase in new defaults in 2020, with "Early COVID Defaults" from Q2 and Q3 2020 reserved differently due to expected higher cure rates from forbearance programs and government stimulus[142](index=142&type=chunk) - For new defaults reported after September 30, 2020, the company reverted to its normal loss reserving methodology as their credit characteristics trended towards pre-pandemic levels[142](index=142&type=chunk) [Key Performance Indicators](index=32&type=section&id=Key%20Performance%20Indicators) Insurance In Force (IIF) Summary (in thousands) | Metric | Q1 2021 (in thousands) | Q1 2020 (in thousands) | | :--- | :--- | :--- | | IIF, beginning of period | $198,882,352 | $164,005,853 | | NIW - Flow | $19,254,014 | $13,549,299 | | Cancellations | ($21,045,175) | ($11,939,800) | | **IIF, end of period** | **$197,091,191** | **$165,615,503** | - The average net premium rate was **0.42%** for Q1 2021, down from **0.48%** for Q1 2020, due to increased ceded premiums, changes in business mix, and pricing changes[178](index=178&type=chunk) - The persistency rate, measuring the percentage of IIF remaining after 12 months, was **56.1%** at March 31, 2021[153](index=153&type=chunk) - The combined risk-to-capital ratio for U.S. insurance companies was **10.6 to 1** as of March 31, 2021, well below the maximum permitted ratio of **25.0 to 1**[179](index=179&type=chunk)[226](index=226&type=chunk) [Results of Operations](index=34&type=section&id=Results%20of%20Operations) - Net income decreased to **$135.6 million** in Q1 2021 from **$149.5 million** in Q1 2020, primarily due to a higher provision for losses and LAE[184](index=184&type=chunk) - Net premiums earned increased by **6%** to **$219.1 million** in Q1 2021, driven by a higher average IIF, though the average net premium rate declined[185](index=185&type=chunk) - The provision for losses and LAE increased significantly to **$32.3 million** in Q1 2021 from **$8.1 million** in Q1 2020, mainly due to an increase in defaults related to COVID-19[191](index=191&type=chunk) Default Inventory Summary | Metric | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Beginning default inventory | 31,469 | 5,947 | | New defaults | 7,422 | 3,933 | | Cures | (9,737) | (3,914) | | **Ending default inventory** | **29,080** | **5,841** | - Other underwriting and operating expenses remained stable at **$42.2 million** in Q1 2021 compared to **$41.9 million** in Q1 2020[205](index=205&type=chunk) [Liquidity and Capital Resources](index=38&type=section&id=Liquidity%20and%20Capital%20Resources) - As of March 31, 2021, the company had substantial liquidity, including **$81.0 million** in cash, **$449.3 million** in short-term investments, and **$300 million** available under its revolving credit facility[212](index=212&type=chunk) - Net cash and investments at the holding company level were **$540.3 million** at March 31, 2021[212](index=212&type=chunk) - Essent Guaranty's Available Assets under PMIERs 2.0 were **$3.00 billion**, exceeding the Minimum Required Assets of **$1.86 billion** as of March 31, 2021[229](index=229&type=chunk) - On May 5, 2021, Essent Guaranty paid a **$100 million** dividend to its parent, Essent US Holdings, Inc., after receiving required GSE approval[216](index=216&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=50&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's investment portfolio faces market risks including interest rate, credit, concentration, and prepayment risks, with an effective duration of **3.9 years** as of March 31, 2021 - The primary market risks managed by the company include interest rate changes, credit quality deterioration, concentration risk, and prepayment risk[257](index=257&type=chunk)[258](index=258&type=chunk)[259](index=259&type=chunk) - As of March 31, 2021, the effective duration of the company's investments available for sale was **3.9 years**, implying a **3.9%** change in fair value for every **100 basis point** change in interest rates[261](index=261&type=chunk) [Controls and Procedures](index=50&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of March 31, 2021, with no material changes to internal control over financial reporting - Based on an evaluation as of the end of the reporting period, the CEO and CFO concluded that the company's disclosure controls and procedures were effective[262](index=262&type=chunk) - No changes occurred in the company's internal control over financial reporting during the most recent fiscal quarter that materially affected, or are reasonably likely to materially affect, these controls[263](index=263&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=51&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently subject to any material legal proceedings - The company is not currently subject to any material legal proceedings[266](index=266&type=chunk) [Risk Factors](index=51&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors have occurred since the 2020 Annual Report on Form 10-K - There have been no material changes in risk factors from those disclosed in the company's 2020 Annual Report on Form 10-K[267](index=267&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=51&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company repurchased **70,521** common shares at an average price of **$43.39** per share in Q1 2021, primarily for employee tax withholding, not a formal buyback program Repurchases of Securities (Q1 2021) | Period | Total Number of Shares Purchased | Average Price Paid Per Share | | :--- | :--- | :--- | | Jan 1 - Jan 31, 2021 | — | N/A | | Feb 1 - Feb 28, 2021 | — | N/A | | Mar 1 - Mar 31, 2021 | 70,521 | $43.39 | | **Total** | **70,521** | **N/A** | - All repurchased shares were tendered by employees to satisfy tax withholding obligations related to the vesting of restricted shares and were not part of a publicly announced buyback program[268](index=268&type=chunk) [Other Information](index=51&type=section&id=Item%205.%20Other%20Information) The 2021 Annual General Meeting of Shareholders saw the election of directors, ratification of auditors, and a non-binding advisory vote on executive compensation that did not pass - The 2021 Annual General Meeting of Shareholders was held on May 5, 2021[270](index=270&type=chunk) - Shareholders elected three Class I directors: Jane P. Chwick, Aditya Dutt, and Roy J. Kasmar[272](index=272&type=chunk) - The appointment of PricewaterhouseCoopers LLP as the independent registered public accounting firm for 2021 was ratified[276](index=276&type=chunk) - A non-binding, advisory vote on executive compensation did not receive majority approval, with **54.9 million** votes against and **46.9 million** votes for[276](index=276&type=chunk) [Exhibits](index=52&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including CEO and CFO certifications and financial statements in Inline XBRL format - Exhibits filed with the report include CEO and CFO certifications under Sarbanes-Oxley Sections 302 and 906[275](index=275&type=chunk) - The financial statements and notes were also submitted in Inline XBRL format as required[275](index=275&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-36157 ESSENT GROUP LTD. (Exact name of registrant as specified in its charter) Bermuda Not Applicable (State or other jurisdiction of in ...

Essent Group Ltd. (NYSE:ESNT) Q4 2020 Earnings Conference Call February 19, 2021 10:00 AM ET Company Participants Chris Curran - Senior Vice President of Investor Relations Mark Casale - Chairman and Chief Executive Officer Larry McAlee - Chief Financial Officer Conference Call Participants Phil Stefano - Deutsche Bank Mark DeVries - Barclays Doug Harter - Credit Suisse Jack Micenko - SIG Bose George - KBW Rick Shane - JPMorgan Ryan Gilbert - BTIG Operator Thank you for standing by, and welcome to the Essen ...

ESSENT GROUP LTD. INVESTOR PRESENTATION 4Q & FY 2020 NYSE: ESNT FEBRUARY 19, 2021 DISCLAIMER This presentation 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 thereo ...

ESSENT GROUP LTD. INVESTOR PRESENTATION 3Q20 NYSE: ESNT @ ESSENT® NOVEMBER 6, 2020 DISCLAIMER This presentation 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 there ...

Essent Group Ltd. (NYSE:ESNT) Q3 2020 Earnings Conference Call November 6, 2020 10:00 AM ET Company Participants Chris Curran - Senior Vice President of Investor Relations Mark Casale - Chairman and CEO Larry McAlee - Chief Financial Officer Conference Call Participants Douglas Harter - Credit Suisse Rick Shane - JPMorgan Bose George - KBW Mark DeVries - Barclays Jack Micenko - SIG Mihir Bhatia - Bank of America Phil Stefano - Deutsche Bank Geoffrey Dunn - Dowling and Partners Operator Ladies and gentlemen, ...

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements (Unaudited)](index=5&type=section&id=Item%201.%20Financial%20Statements%20%28Unaudited%29) The unaudited financial statements detail the company's financial position, operations, and cash flows, showing **$5.11 billion** in total assets and **$289.4 million** net income for the nine months ended September 30, 2020, impacted by increased loss provisions [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets increased to **$5.11 billion** as of September 30, 2020, driven by investments, while liabilities rose to **$1.36 billion** and equity grew to **$3.75 billion** Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | Sep 30, 2020 | Dec 31, 2019 | | :--- | :--- | :--- | | **Total Assets** | **$5,107,088** | **$3,873,425** | | Total investments | $4,585,412 | $3,429,620 | | **Total Liabilities** | **$1,360,544** | **$888,580** | | Reserve for losses and LAE | $307,737 | $69,362 | | Credit facility borrowings | $424,658 | $224,237 | | **Total Stockholders' Equity** | **$3,746,544** | **$2,984,845** | [Condensed Consolidated Statements of Comprehensive Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income) Net income for the nine months ended September 30, 2020, decreased to **$289.4 million** from **$408.8 million** due to a substantial increase in the provision for losses Statement of Comprehensive Income Highlights (in thousands, except per share data) | Metric | Nine Months Ended Sep 30, 2020 | Nine Months Ended Sep 30, 2019 | | :--- | :--- | :--- | | Net premiums earned | $640,225 | $569,754 | | Total revenues | $707,955 | $638,805 | | Provision for losses and LAE | $239,220 | $22,057 | | **Net income** | **$289,439** | **$408,755** | | **Diluted EPS** | **$2.77** | **$4.16** | | Comprehensive income | $365,686 | $500,475 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operating activities increased to **$548.5 million**, while investing activities used **$1.08 billion**, and financing activities provided **$582.2 million** for the nine months ended September 30, 2020 Cash Flow Summary (in thousands) | Activity | Nine Months Ended Sep 30, 2020 | Nine Months Ended Sep 30, 2019 | | :--- | :--- | :--- | | Net cash provided by operating activities | $548,506 | $424,579 | | Net cash used in investing activities | ($1,083,317) | ($416,414) | | Net cash provided by (used in) financing activities | $582,152 | ($23,529) | | **Net increase (decrease) in cash** | **$47,341** | **($15,364)** | [Notes to Condensed Consolidated Financial Statements (Unaudited)](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements%20%28Unaudited%29) Notes detail accounting policies, the **$4.5 billion** investment portfolio, extensive reinsurance use, a significant increase in **$307.7 million** loss reserves due to COVID-19, and compliance with PMIERs - The company offers private mortgage insurance and reinsurance for U.S. residential properties, primarily through its subsidiaries Essent Guaranty, Inc. and Essent Reinsurance Ltd[36](index=36&type=chunk) - The company adopted ASU 2016-13 (Credit Losses) on January 1, 2020, which did not have a material effect on its consolidated operating results or financial position[40](index=40&type=chunk) - The investment portfolio, valued at **$4.5 billion**, is primarily composed of corporate debt securities (**21.9%**), U.S. agency mortgage-backed securities (**21.2%**), and money market funds (**21.2%**); over **98%** of securities in an unrealized loss position had investment-grade ratings[47](index=47&type=chunk)[53](index=53&type=chunk) - The company utilizes both Quota Share Reinsurance (ceding **20-40%** of risk on new policies) and Excess of Loss Reinsurance through Radnor Re transactions to manage risk and capital, with total excess of loss reinsurance in force of approximately **$1.6 billion** as of September 30, 2020[63](index=63&type=chunk)[69](index=69&type=chunk) - Loss reserves increased dramatically to **$307.7 million** at September 30, 2020, from **$69.4 million** at year-end 2019, driven by a surge in COVID-19 related defaults (**32,492** in inventory), for which a reserve of **$247.2 million** was established[77](index=77&type=chunk)[81](index=81&type=chunk) - In June 2020, the company completed a public offering of **13.8 million** common shares, raising net proceeds of approximately **$440.0 million**, and declared quarterly dividends of **$0.16 per share**[94](index=94&type=chunk)[95](index=95&type=chunk) - As of September 30, 2020, Essent Guaranty was in compliance with PMIERs 2.0, with Available Assets of **$2.72 billion** exceeding the Minimum Required Assets of **$1.74 billion**[143](index=143&type=chunk)[244](index=244&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the COVID-19 impact, leading to increased loss provisions and decreased net income despite strong new insurance written, while maintaining robust capital and liquidity [Overview and COVID-19 Impact](index=30&type=section&id=Overview%20and%20COVID-19%20Impact) New insurance written grew to **$78.4 billion**, increasing total insurance in force to **$190.8 billion**, despite significant COVID-19 impact on delinquencies and loss provisions - New insurance written (NIW) for the nine months ended Sep 30, 2020, was **$78.4 billion**, a significant increase from **$47.7 billion** in the same period of 2019[153](index=153&type=chunk) - Total insurance in force reached **$190.8 billion** as of September 30, 2020[153](index=153&type=chunk) - The COVID-19 pandemic and related economic restrictions have caused a significant increase in unemployment, leading to a higher number of delinquencies on insured mortgages[154](index=154&type=chunk) - The CARES Act provides forbearance for up to **360 days** on federally backed mortgages, expected to reduce defaults resulting in claims compared to historical experience[155](index=155&type=chunk) [Key Performance Indicators](index=35&type=section&id=Key%20Performance%20Indicators) Insurance in force grew to **$190.8 billion**, while the average net premium rate decreased to **0.47%**, and persistency fell to **64.2%**, with a healthy **11.6 to 1** risk-to-capital ratio Insurance in Force (IIF) (in thousands) | Period | IIF, end of period | | :--- | :--- | | Nine Months Ended Sep 30, 2020 | $190,811,292 | | Nine Months Ended Sep 30, 2019 | $160,962,192 | - The average net premium rate for the nine months ended Sep 30, 2020, was **0.47%**, down from **0.49%** in the prior year period, influenced by increased ceded premiums from reinsurance[192](index=192&type=chunk) - The persistency rate was **64.2%** at September 30, 2020, a decline from **77.5%** at December 31, 2019, indicating higher policy cancellations, likely due to refinancing[167](index=167&type=chunk) - The combined risk-to-capital ratio for U.S. insurance companies was **11.6 to 1** as of September 30, 2020, well below the general maximum permitted ratio of **25.0 to 1**[193](index=193&type=chunk) [Results of Operations](index=37&type=section&id=Results%20of%20Operations) Net income decreased to **$289.4 million** due to a significant increase in the provision for losses to **$239.2 million**, driven by COVID-19 related defaults, despite higher net premiums earned Results of Operations Comparison (in thousands) | Metric | Nine Months Ended Sep 30, 2020 | Nine Months Ended Sep 30, 2019 | | :--- | :--- | :--- | | Net premiums earned | $640,225 | $569,754 | | Provision for losses and LAE | $239,220 | $22,057 | | Other underwriting and operating expenses | $117,866 | $124,138 | | **Net income** | **$289,439** | **$408,755** | - The increase in provision for losses was primarily due to an increase in defaults related to COVID-19; the ending default inventory grew to **35,464** from **5,232** in the prior year[203](index=203&type=chunk)[204](index=204&type=chunk) - As of September 30, 2020, the default inventory included **32,492** defaults classified as COVID-19 related, with a corresponding loss reserve of **$247.2 million**[204](index=204&type=chunk)[206](index=206&type=chunk) - The average total reserve per default decreased from **$11,700** to **$8,700** year-over-year, reflecting a lower reserve rate applied to COVID-19 defaults due to expectations of higher cure rates from forbearance programs[205](index=205&type=chunk)[206](index=206&type=chunk) [Liquidity and Capital Resources](index=43&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintained strong liquidity with **$118.7 million** cash and **$4.5 billion** investments, bolstering capital through a **$440 million** equity offering and remaining PMIERs compliant - As of September 30, 2020, the company had **$118.7 million** in cash, **$1.0 billion** in short-term investments, and **$3.5 billion** in fixed maturity investments[223](index=223&type=chunk) - Completed a public offering of common shares in June 2020, raising net proceeds of approximately **$440 million** to strengthen capital resources[223](index=223&type=chunk) - In October 2020, the credit facility was amended to increase committed capacity from **$500 million** to **$625 million** and extend the maturity to October 2023[224](index=224&type=chunk) - Essent Guaranty was in compliance with PMIERs 2.0, with Available Assets of **$2.72 billion**, providing a significant buffer over the Minimum Required Assets of **$1.74 billion**[244](index=244&type=chunk) - The combined risk-to-capital ratio for U.S. insurance subsidiaries was **11.6:1**, based on **$2.6 billion** in statutory capital and **$29.8 billion** in net risk in force[239](index=239&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=55&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Primary market risk from the investment portfolio relates to interest rate changes, credit quality, and concentration, with an effective duration of **2.5 years** as of September 30, 2020 - The company is exposed to market risk from its investment portfolio, primarily driven by changes in interest rates, credit quality, and concentration[267](index=267&type=chunk)[268](index=268&type=chunk)[269](index=269&type=chunk)[270](index=270&type=chunk) - The effective duration of the investments available for sale was **2.5 years** at September 30, 2020; a **100 basis point** change in interest rates would result in a **2.5%** change in the portfolio's fair value[272](index=272&type=chunk) [Item 4. Controls and Procedures](index=55&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of September 30, 2020, with no material changes to internal controls over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of September 30, 2020[273](index=273&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that materially affected, or are reasonably likely to materially affect, internal controls[274](index=274&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=56&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently subject to any material legal proceedings - The company is not currently subject to any material legal proceedings[277](index=277&type=chunk) [Item 1A. Risk Factors](index=56&type=section&id=Item%201A.%20Risk%20Factors) The most significant risk factor change relates to the COVID-19 pandemic, which adversely affects business, operations, and financial condition, increasing uncertainty in loss reserves and claims - The COVID-19 pandemic is unprecedented and continues to disrupt the global economy, including the U.S. housing and mortgage markets, which is expected to materially adversely affect the company's business[279](index=279&type=chunk)[280](index=280&type=chunk) - Key risks from the pandemic include: uncertainty in loss reserve estimates, increased mortgage delinquencies and claims (especially after forbearance periods end), potential reduction in new business volume, and adverse impacts on capital and reinsurance markets[284](index=284&type=chunk)[285](index=285&type=chunk)[286](index=286&type=chunk)[287](index=287&type=chunk) - Governmental and GSE efforts, such as the CARES Act and forbearance plans, aim to assist borrowers but do not eliminate the risk of ultimate default and claims[281](index=281&type=chunk)[282](index=282&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=57&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No common shares were repurchased during the three months ended September 30, 2020 - No common shares were repurchased during the three months ended September 30, 2020[292](index=292&type=chunk) [Item 6. Exhibits](index=58&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including an amended credit agreement and CEO/CFO certifications - Exhibits filed include the Second Amended and Restated Credit Agreement, CEO and CFO certifications (Rule 13a-14(a) and Section 906), and Inline XBRL financial data[294](index=294&type=chunk)

Table of Contents Title of each class Trading Symbol(s) Name of each exchange on which registered Common Shares, $0.015 par value ESNT New York Stock Exchange Large accelerated filer ☒ Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the period ended June 30, 2020 ☐ TRANSITIO ...

AUGUST 7, 2020 ESSENT GROUP LTD. SECOND QUARTER 2020 EARNINGS PRESENTATION DISCLAIMER This presentation 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 si ...