Form of Annual Leadership Bonus Program (Bonus Program) for Essent Group Ltd. and its subsidiaries

All Essent Group Ltd and its subsidiaries (“Company” or “Essent”) Senior Vice Presidents and above and other employees designated in writing as eligible to participate in the Bonus Program, who:

Are employed by the Company on or before [DATE] (those hired on or after [DATE] may participate on a pro rata basis calculated as of the first day of the month in which their date of hire falls);

Are eligible to participate in the Essent Group Ltd. 2013 Long-Term Incentive Plan (the “2013 LTIP”);

Are not on any form of written corrective counseling at the time payments are made; and

Are employed by Essent on the date the cash bonus payment is made and share bonus award is granted.

Each Participant was provided with an annual Target Bonus expressed as a percentage of his or her base salary. This is typically documented in an offer letter or other writing signed by the President and CEO, or another authorized officer, of Essent .

Each Participant’s target amount and cash/shares percentage is communicated individually.

All shares issuable under this Program are authorized under Section 10 of the 2013 LTIP, and are subject to the broader terms of that Plan.

The first factor is the achievement of Corporate Objectives as determined by Essent’s Board of Directors. The Corporate Scorecard identifying the level of achievement of Corporate Objectives will be published by management.

The second factor is based on the Participant’s overall performance rating on his/her Individual Scorecard (“Annual Performance Review Form”). The Annual Performance Review will take into consideration the level of the Participant’s achievement of Individual Objectives as well as other success factors. Each Participant will receive an Annual Performance Review in the first calendar quarter of each year reviewing the previous calendar year’s results. This process of combining both Company and individual achievement and rewarding success through the Bonus Program is designed to promote applicable desired conduct, including driving profitable business and balanced objectivity.

Please see Exhibit A which contains a sample of the Company Scorecard.

In order for any payments to be made under the Bonus Program, Essent’s FY Company Scorecard must equal or exceed 2.5 (the “Company Score”).

Potential payment amounts increase as Essent’s weighted average scorecard score goes up.

Each Participant will have an Annual Performance Review to determine the achievement of Individual Objectives and other success factors. Please see Exhibit B for a sample of an Annual Performance Review Form that may be used as a scorecard for the achievement of Individual Objectives and other success factors.

In order for a Participant to receive a bonus under the Bonus Plan, he or she must have an overall Performance Review Rating of 3 or higher on Essent’s 5-point scale at the time bonuses are paid (“Individual Score”), plus a Company Score of at least 2.5.

As a Participant’s Individual Score increases, his/her potential to reach the “Target” bonus or above also increases.

Each Participant has been assigned a weighting between the Company Score and Individual Score. Exhibit C provides an example of a possible correlation between the achievement of Company Score and Individual Score and its impact on the potential bonus awards. Actual weightings are communicated individually and are determined by position.

Any cash payment in respect of a bonus awarded under the Bonus Program is scheduled to occur as soon as practicable following the close of Fiscal Year [DATE], but in any case on or before March 15^th of the following year.

Form of Bonus Payments:

75% of any awarded bonus will be paid in cash and 25% will be paid in Essent Group Ltd. restricted common shares valued based on the closing price of such Essent Group Ltd. common stock on the date the bonus is approved by the Board of Directors. For the purposes of this Bonus Program, cash awards will be paid in cash (via check or direct deposit), less all applicable taxes and deductions. Unless otherwise provided in a Participant’s employment or award agreement, restricted share share awards will vest in 3 equal installments, on each of [DATE], [DATE] and [DATE]. Share awards are subject to the terms of the 2013 LTIP, including an award agreement pursuant to the 2013 LTIP to be entered into between the Participant and Essent in such form as may be adopted by Essent from time to time. All share awards are subject to withholding taxes on the date of vesting in accordance with applicable law and Company policy.

Necessary Approvals:

The President and CEO together with the Compensation Committee (the “Compensation Committee”) and Board of Directors will review and approve all Participants’ awards under this Bonus Program.

The President and CEO’s cash payments and share awards under this Bonus Program are approved by the Compensation Committee and the Board of Directors.

The Board of Directors has sole discretion and final review and approval authority over the award pool under the Bonus Program, and holds the responsibility for reviewing and approving recommended individual payments for all Participants.

If a Participant in this Program satisfies the “Covered Employee” definition in the Essent Group Ltd. Annual Incentive Plan (the “Annual Plan”), this Program document will serve as administrative guidelines for the Compensation Committee to apply in determining the cash and share bonus payout for that employee under the Bonus Program.

The Committee’s responsibilities include:

Providing information to the Compensation Committee and the Board of Directors;

Recommending eligibility rules, individual bonus target assignments and the relative weights of Company and Individual performance;

Establishing performance standards;

Adjusting financial accruals as necessary;

Facilitating the collection of aggregate and group payment recommendations for review by the President and CEO, according to the pool assigned by the Compensation Committee of the Board of Directors;

Reviewing and verifying all proposed payments before such payments are made;

Determining the extent to which internal transfers, promotions, changes in full-or-part-time status and approved leaves of absence impact accruals, targets and actual rewards; and

Interpreting the Bonus Program document and establishing, adopting, or amending any provisions as are necessary for proper administration, consulting where appropriate with the Compensation Committee and Board of Directors.

Essent is an employer at will. Participation in the Bonus Program or any enhancement of the Bonus Program does not impact this fact in any way. Neither the Bonus Program nor any future enhancement will be deemed a contract for employment.

The Bonus Program and Exhibits hereto may be amended, suspended or terminated at any time without notice upon the approval of the Compensation Committee and Board of Directors.

If a Participant’s employment is terminated (voluntarily or involuntarily) prior to the awarding or payment of any bonus under the Bonus Program, the Participant will not be entitled to any award or payment under the Bonus Program.

If a Participant’s employment is terminated (voluntarily or involuntarily) prior to payment of an awarded bonus under the Bonus Program, the Participant will not be entitled to any award or payment under the Bonus Program and will forfeit any such payment.

If a Participant’s employment is terminated (voluntarily or involuntarily) prior to the vesting of any shares issued as a portion of an award under the Bonus Program, such shares will be forfeited by the Participant.

The Committee and the Compensation Committee retain the right to make equitable judgments with regard to the awarding, funding and the distribution of awards under the Bonus Program.

Taxes and other deductions will be withheld as required by law and in compliance with Essent's internal policies. Cash payments will not be considered part of any Participant’s base salary.

Repurchase of Shares. As a condition to the receipt of shares upon vesting, the Participant will make such arrangements as the Committee may require for the satisfaction of any federal, state, local or foreign withholding obligations that may arise in connection with such shares. The Participant may satisfy the withholding requirement by making a payment in cash, or, by having shares withheld from the share award.

Leave of Absence. Participant’s bonus will be pro-rated for any time away from work for approved leave of absence in excess of two weeks.

409A Compliance. This Bonus Program is intended to comply with the short term deferral rule set forth in the regulations under section 409A of the Internal Revenue Code of 1986, as amended (“Code”) in order to avoid application of Section 409A to this Bonus Program. This Bonus Program shall be administered in accordance with Section 409A of the Code.

Conflict. In the event of a conflict between the terms of this Bonus Program and the terms of a Participant’s individual employment or award agreement, the terms of the applicable employment or award agreement shall control.