Director Compensation Summary

We currently pay our non-management directors an annual retainer of $265,000 per year, $120,000 of which is paid in cash and $145,000 of which is paid in restricted stock. A director may elect to receive his or her entire annual retainer (plus the additional annual retainer amounts described below) in restricted stock.

Restricted stock vests on the day immediately prior to the first annual general meeting of shareholders at which directors are elected following the grant of the stock. However, if, prior to such vesting date, either (i) a change in control (as defined in the Assured Guaranty Ltd. 2004 Long-Term Incentive Plan, as amended) of Assured Guaranty Ltd. occurs before the director terminates service on the Board or (ii) the director terminates service on the Board as a result of such director’s death or disability, then the restricted stock will vest on the date of such change in control or the date of the director’s termination of service, whichever is applicable. Grants of restricted stock receive cash dividends and have voting rights.

Our Share Ownership Guidelines require that each director own the greater of (i) at least 25,000 Common Shares or (ii) Common Shares with a market value of at least five times the maximum cash portion of the annual director retainer (which is currently 5 x $120,000 = $600,000), before being permitted to dispose of any shares acquired as compensation from the Company. Once a director has reached the Share Ownership Guideline, for so long as he or she serves on the Board, such director may not dispose of any Common Shares if such disposition would cause the director to be below the Share Ownership Guideline. Vested restricted stock, vested restricted stock units (i.e., units for which Common Shares will be received by a director six months after termination of such director’s service on the Board), and purchased shares will all count toward the Stock Ownership Guideline.

In addition to the annual retainer described above:

Members of the Executive Committee do not receive any additional compensation.

The Company generally will not pay a fee for attendance at board or committee meetings, although the Chairman of the Board has the discretion to pay attendance fees of $2,000 for extraordinary or special meetings.