UNITED STATESSECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

SCHEDULE 14A

ProxyStatementPursuanttoSection14(a)oftheSecuritiesExchangeActof1934(AmendmentNo.)

FiledbytheRegistrantýFiledbyaPartyotherthantheRegistrantoChecktheappropriatebox:o PreliminaryProxyStatemento Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2))ý DefinitiveProxyStatemento DefinitiveAdditionalMaterialso SolicitingMaterialunder§240.14a-12

Essent Group Ltd.(NameofRegistrantasSpecifiedInItsCharter)

(NameofPerson(s)FilingProxyStatement,ifotherthantheRegistrant)PaymentofFilingFee(Checktheappropriatebox):ý Nofeerequired.o FeecomputedontablebelowperExchangeActRules14a-6(i)(1)and0-11.

(1)

Titleofeachclassofsecuritiestowhichtransactionapplies:

(2)Aggregatenumberofsecuritiestowhichtransactionapplies:

(3)

PerunitpriceorotherunderlyingvalueoftransactioncomputedpursuanttoExchangeActRule0-11(setforththeamountonwhichthefilingfeeiscalculatedandstatehowitwasdetermined):

(4)Proposedmaximumaggregatevalueoftransaction:

(5)Totalfeepaid:

o Feepaidpreviouslywithpreliminarymaterials.o

CheckboxifanypartofthefeeisoffsetasprovidedbyExchangeActRule0-11(a)(2)andidentifythefilingforwhichtheoffsettingfeewaspaidpreviously.Identifythepreviousfilingbyregistrationstatementnumber,ortheFormorScheduleandthedateofitsfiling.

(1)AmountPreviouslyPaid:

(2)Form,ScheduleorRegistrationStatementNo.:

(3)FilingParty:

(4)DateFiled:

Clarendon House2 Church Street

Hamilton HM11, Bermuda

April3,2017

DearShareholder:

YouarecordiallyinvitedtoattendtheAnnualGeneralMeetingofShareholdersofEssentGroupLtd.tobeheldat8:00a.m.AtlanticDaylightTimeonWednesday,May3,2017,attheFairmontSouthamptonHotel,101SouthShoreRoad,SouthamptonSN02,Bermuda.

ThisProxyStatementprovidesyouwithdetailedinformationregardingthebusinesstobeconsideredatthemeeting.Pleasereaditcarefully.

OnlyholdersofrecordofourcommonsharesatthecloseofbusinessonMarch17,2017areentitledtovoteatthe2017AnnualGeneralMeetingofShareholdersoratanyadjournmentorpostponementofthemeeting.

Yourvoteisimportanttous.Toensurethatyoursharesarerepresentedatthemeeting,whetherornotyouplantoattendthe2017AnnualGeneralMeetingofShareholdersinperson,weencourageyoutovoteyourshareselectronicallyviatheInternet,bytelephoneor,ifyoureceiveapapercopyoftheproxymaterials,bysigning,datingandcompletingtheaccompanyingproxycardintheenclosedpostage-paidenvelope.VotingelectronicallyviatheInternet,bytelephone,orbyreturningyourproxycardinadvanceofthemeetingdoesnotdepriveyouofyourrighttoattendthemeeting.Ifyouattendthemeeting,youmayvoteyoursharesinperson,evenifyouhavepreviouslysubmittedaproxyinwriting,bytelephoneorviatheInternet.OurProxyStatementincludesadditionalinstructionsonvotingproceduresforshareholderswhosesharesareheldbyabrokeragefirmorothercustodian.

ThankyouforyourcontinuedsupportofEssent.

Sincerely,

MarkA.CasaleChairmanoftheBoardofDirectors,ChiefExecutiveOfficerandPresident

Clarendon House2 Church Street

Hamilton HM11, Bermuda

NOTICE OF ANNUAL GENERAL MEETING OF SHAREHOLDERSto be held on May 3, 2017

TIME AND DATE 8:00a.m.AtlanticDaylightTimeonWednesday,May3,2017.

PLACE FairmontSouthamptonHotellocatedat101SouthShoreRoad,SouthamptonSN02,Bermuda.

ITEMS OF BUSINESS(1)

ElectionofthreeClassIIIdirectorstoservethroughthe2020AnnualGeneralMeetingofShareholders;

(2)

Re-appointmentofPricewaterhouseCoopersLLPasourindependentregisteredpublicaccountingfirmfortheyearendingDecember31,2017anduntilour2018AnnualGeneralMeetingofShareholders,andreferralofthedeterminationoftheauditors'compensationtotheboardofdirectors;

(3)

Anon-binding,advisoryvotetoapprovethe2016compensationofournamedexecutiveofficers;

(4) ApprovaloftheEssentGroupLtd.AnnualIncentivePlan;

(5)

ApprovaloftheEssentGroupLtd.2013Long-TermIncentivePlan,asamendedandrestated;and

(6) Anyotherbusinessthatmayproperlycomebeforethemeeting.RECORD DATE Inordertovote,youmusthavebeenashareholderatthecloseofbusinessonMarch17,2017.

IMPORTANT NOTICE REGARDING THE AVAILABILITY OF PROXY MATERIALS FOR THE ANNUALMEETING OF SHAREHOLDERS TO BE HELD ON MAY 3, 2017: The Notice of Annual General Meeting ofShareholders, Proxy Statement and 2016 Annual Report to Shareholders are available at www.essentgroup.com. Thesedocuments are first being mailed to shareholders on or about April 3, 2017. Our 2016 Annual Report to Shareholders,including our Annual Report on Form 10-K for the year ended December 31, 2016, is not part of the proxy solicitingmaterial.

ByorderoftheBoardofDirectors,

ConyersCorporateServices(Bermuda)LimitedSecretary

TABLE OF CONTENTS

FREQUENTLYASKEDQUESTIONS 1BOARDOFDIRECTORS 6CORPORATEGOVERNANCE 9EXECUTIVEOFFICERSANDEXECUTIVECOMPENSATION 16CERTAINRELATIONSHIPSANDRELATEDTRANSACTIONS 41SECURITIESOWNERSHIP 43PROPOSALNO.1:ELECTIONOFDIRECTORS 46PROPOSALNO.2:RE-APPOINTMENTOFINDEPENDENTREGISTEREDPUBLICACCOUNTINGFIRMANDREFERRALOFTHEDETERMINATIONOFTHEAUDITORS'COMPENSATIONTOTHEBOARDOFDIRECTORS

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PROPOSALNO.3:ADVISORYVOTEONEXECUTIVECOMPENSATION 49PROPOSALNO.4:APPROVALOFESSENTGROUPLTD.ANNUALINCENTIVEPLAN 50PROPOSALNO.5:APPROVALOFESSENTGROUPLTD.2013LONG-TERMINCENTIVEPLAN,ASAMENDEDANDRESTATED 53ADDITIONALINFORMATION 65APPENDIXA-ESSENTGROUPLTD.ANNUALINCENTIVEPLAN A-1APPENDIXB-ESSENTGROUPLTD.2013LONG-TERMINCENTIVEPLAN,ASAMENDEDANDRESTATED B-1

ESSENT GROUP LTD.CLARENDON HOUSE2 CHURCH STREET

HAMILTON, HM11, BERMUDA(441) 297-9901

PROXY STATEMENTDATED APRIL 3, 2017

FOR THE ANNUAL GENERAL MEETING OF SHAREHOLDERSto be held on May 3, 2017

Weareprovidingtheseproxymaterialstoyouinconnectionwithour2017AnnualGeneralMeetingofShareholders,whichwerefertointhisproxystatementastheAnnualMeeting.TheAnnualMeetingwillbeheldattheFairmontSouthamptonHotel,101SouthShoreRoad,SouthamptonSN02,Bermuda,onWednesday,May3,2017at8:00a.m.AtlanticDaylightTime.Thisproxystatementandour2016AnnualReporttoShareholders,whichincludesourAnnualReportonForm10-KfortheyearendedDecember31,2016,arebeingmadeavailabletoourshareholdersbeginningonoraboutApril3,2017.ThisproxystatementcontainsimportantinformationforyoutoconsiderwhendecidinghowtovoteonthemattersbroughtbeforetheAnnualMeeting.Pleasereaditcarefully.

FREQUENTLY ASKED QUESTIONS

Where and when will the meeting take place?

TheAnnualMeetingwillbeheldat8:00a.m.AtlanticDaylightTimeonWednesday,May3,2017attheFairmontSouthamptonHotel,101SouthShoreRoad,SouthamptonSN02,Bermuda.

What is the purpose of the Annual Meeting and these materials?

WeareprovidingtheseproxymaterialsinconnectionwiththesolicitationbyourboardofdirectorsofmatterstobevotedonattheAnnualMeetingandanyadjournmentsorpostponementsofthemeeting.

AttheAnnualMeeting,youwillbeaskedtovoteonthefollowingmatters:

• theelectionofthreeClassIIIdirectorstoservethroughthe2020AnnualGeneralMeetingofShareholders;

• there-appointmentofPricewaterhouseCoopersLLPasourindependentregisteredpublicaccountingfirmfortheyearendingDecember31,2017anduntilour2018AnnualGeneralMeetingofShareholders,andthereferralofthedeterminationoftheauditors'compensationtoourboardofdirectors;

• anon-binding,advisoryvotetoapprovethe2016compensationofournamedexecutiveofficers;

• approvaloftheEssentGroupLtd.AnnualIncentivePlan;

• approvaloftheEssentGroupLtd.2013Long-TermIncentivePlan,asamendedandrestated;and

• anyotherbusinessthatmayproperlycomebeforethemeetingandanyadjournmentsorpostponementsthereof.

What is the board of directors' recommendations?

Ourboardofdirectorsrecommendsavote:

• FORtheelectionofeachofMarkA.Casale,DouglasJ.PaulsandWilliamSpiegeltoserveasClassIIIdirectorsthroughthe2020AnnualGeneralMeetingofShareholders;

• FORthere-appointmentofPricewaterhouseCoopersLLPasourindependentregisteredpublicaccountingfirmfortheyearendingDecember31,2017anduntilour2018AnnualGeneralMeetingofShareholders,andthereferralofthedeterminationoftheauditors'compensationtoourboardofdirectors;

• FORtheapproval,onanon-binding,advisorybasis,ofthe2016compensationofournamedexecutiveofficers;

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• FORtheapprovaloftheEssentGroupLtd.AnnualIncentivePlan;and

• FORtheapprovaloftheEssentGroupLtd.2013Long-TermIncentivePlan,asamendedandrestated.

Who is entitled to vote at the Annual Meeting?

OurboardofdirectorshassetMarch17,2017astherecorddatefortheAnnualMeeting.AllshareholderswhoownedcommonsharesatthecloseofbusinessonMarch17,2017mayvoteattheAnnualMeeting,eitherinpersonorbyproxy.Asoftherecorddate,therewere93,376,963commonsharesoutstandingandentitledtovote.

How many votes do I have?

Youhaveonevoteforeachcommonsharethatyouownedatthecloseofbusinessontherecorddate,providedthatontherecorddatethoseshareswereeitherhelddirectlyinyournameastheshareholderofrecordorwereheldforyouasthebeneficialownerthroughabroker,bankorotherintermediary.Thereisnocumulativevoting.

What is the difference between holding shares as a shareholder of record and as a beneficial owner?

Manyofourshareholdersholdtheirsharesthroughabroker,bankorotherintermediaryratherthandirectlyintheirownname.Assummarizedbelow,therearesomedistinctionsbetweensharesheldofrecordandthoseownedbeneficially.

ShareholderofRecord.Ifyoursharesareregistereddirectlyinyournamewithourtransferagent,AmericanStockTransfer&TrustCompany,LLC,youareconsideredtobetheshareholderofrecordwithrespecttothoseshares,andtheseproxymaterialsarebeingsentdirectlytoyoubyus.Asashareholderofrecord,youhavetherighttograntyourvotingproxydirectlytousortovoteinpersonattheAnnualMeeting.Wehaveenclosedaproxycardforyoutouse.

BeneficialOwner.Ifyoursharesareheldinastockbrokerageaccountorbyabankorotherintermediary,youareconsideredtobethebeneficialownerofsharesheldin"streetname,"andthisproxystatementandtheaccompanyingmaterialsarebeingforwardedtoyoubyyourbroker,bankorotherintermediary,whichisconsideredtobetheshareholderofrecordwithrespecttothoseshares.Asabeneficialowner,youhavetherighttodirectyourbroker,bankorotherintermediaryonhowtovoteandarealsoinvitedtoattendtheAnnualMeeting.Yourbroker,bankorotherintermediaryhasenclosedavotinginstructioncardforyoutouseindirectingthebroker,bankorotherintermediaryregardinghowtovoteyourshares.However,sinceyouarenottheshareholderofrecord,youmaynotvotethesesharesinpersonattheAnnualMeetingunlessyouobtainaproxy,executedinyourfavor,fromtheholderofrecordofsuchshares.

What if I don't vote for some of the items listed on my proxy card or voting instruction card?

Ifyouarearecordholderandreturnyoursignedproxycardintheenclosedenvelopebutdonotmarkselections,yourshareswillbevotedinaccordancewiththerecommendationsofourboardofdirectors.Ifyouindicateachoicewithrespecttoanymattertobeactedupononyourproxycard,yourshareswillbevotedinaccordancewithyourinstructions.

Ifyouareabeneficialownerandholdyoursharesinstreetnamethroughabrokeranddonotgivevotinginstructionstothebroker,thebrokerwilldetermineifithasthediscretionaryauthoritytovoteontheparticularmatter.Undertheapplicablerules,brokershavethediscretiontovoteonroutinematters,suchastheselectionofaccountingfirms,butdonothavediscretiontovoteonnon-routinematters,includingtheuncontestedelectionofdirectors.Asaresult,ifyouareabeneficialownerandholdyoursharesinstreetnamebutdonotgiveyourbrokerorothernomineeinstructionsonhowtovoteyourshareswithrespecttotheelectionofdirectors,novoteswillbecastonyourbehalfwithrespecttotheelectionofdirectors.

Ifyoudonotprovidevotinginstructionstoyourbrokerandyourbrokerindicatesonitsproxycardthatitdoesnothavediscretionaryauthoritytovoteonaparticularproposal,yourshareswillbeconsideredtobe"brokernon-votes"withregardtothatmatter.Proxycardsthatreflectabrokernon-votewithrespecttoatleastoneproposaltobeconsideredattheAnnualMeeting(solongastheydonotapplytoallproposalstobeconsidered)willbeconsideredtoberepresentedforpurposesofdeterminingaquorumbutwillnototherwisebecounted.

Weencourageyoutoprovidevotinginstructionstoyourbrokerbycarefullyfollowingintheinstructionsprovidedbyyourbroker.

What options are available to me to vote my shares?

Whetheryouholdsharesdirectlyastheshareholderofrecordorthroughabank,brokerorotherintermediary,yoursharesmaybevotedattheAnnualMeetingbyfollowinganyofthevotingoptionsavailabletoyoubelow:

YoumayvoteviatheInternet.YoumaysubmityourproxyorvotinginstructionsovertheInternetbyfollowingtheinstructionsontheproxycardorvotinginstructionform.

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Youmayvoteviathetelephone.

• Ifyouareashareholderofrecord,youcansubmityourproxybycallingthetelephonenumberspecifiedonthepapercopyoftheproxycardthatyoureceivedwiththeproxymaterials.Youmusthavethecontrolnumberthatappearsonyourproxycardavailablewhensubmittingyourproxyoverthetelephone.

• Mostshareholderswhoholdtheirsharesinstreetnamemaysubmitvotinginstructionsbycallingthenumberspecifiedonthepapercopyofthevotinginstructionformprovidedbytheirbank,brokerorotherintermediary.Thoseshareholdersshouldcheckthevotinginstructionformfortelephonevotingavailability.

Youmayvotebymail.Youcansubmityourproxyorvotinginstructionsbycompletingandsigningtheseparateproxycardorvotinginstructionformyoureceivedandmailingitintheaccompanyingprepaidandaddressedenvelope.

YoumayvoteinpersonattheAnnualMeeting.AllshareholdersofrecordmayvoteinpersonattheAnnualMeeting.WrittenballotswillbepassedouttoanyonewhowantstovoteattheAnnualMeeting.However,ifyouarethebeneficialownerofsharesheldinstreetnamethroughabank,brokerorotherintermediary,youmaynotvoteyoursharesattheAnnualMeetingunlessyouobtaina"legalproxy"fromthebank,brokerorintermediarythatholdsyourshares,givingyoutherighttovotethesharesattheAnnualMeeting.

EvenifyouplantoattendtheAnnualMeeting,werecommendthatyousubmityourproxyorvotinginstructionsinadvancetoauthorizethevotingofyoursharesattheAnnualMeetingtoensurethatyourvotewillbecountedifyoulaterareunabletoattend.

How many votes must be present to hold the Annual Meeting?

Thepresenceoftwopersonsinpersonandthroughoutthemeetingrepresenting,inpersonorbyproxy,morethanamajorityofthecommonsharesoutstandingandentitledtovoteonthematterstobeconsideredattheAnnualMeeting,isrequiredforthetransactionofbusinessattheAnnualMeeting.Thisiscalleda"quorum."YourshareswillbecountedasbeingpresentattheAnnualMeetingifeitheryouarepresentandvoteinpersonattheAnnualMeetingoraproxycardhasbeenproperlysubmittedbyyouoronyourbehalfandsuchproxycardindicatesavoteonatleastonemattertobeconsideredattheAnnualMeeting.Bothabstentionsand"brokernon-votes"(undercertaincircumstancesdescribedbelow)arecountedasbeingpresentforthepurposeofdeterminingthepresenceofaquorum.IfaquorumisnotpresentbyattendanceattheAnnualMeetingorrepresentedbyproxy,themeetingwillbeadjournedtothesamedateoneweeklater,atthesametimeandplace,ortosuchotherdate,timeandplaceastheSecretarymaydetermine.Ifanewrecorddateisfixedfortheadjournedmeeting,wewillprovidenoticeoftheadjournedmeetingtoeachshareholderofrecordentitledtovoteatthemeeting.

What is the vote required to pass each proposal to be presented at the Annual Meeting?

EachproposalormattervotedonattheAnnualMeetingwillbedecidedbyasimplemajorityofvotescastonsuchproposalormatter.

Withrespecttotheelectionofdirectors,youmayvote"For"allnominees,"Withhold"yourvoteastoanyorallofthenominees,orvote"For"somebutnotallofthenomineesand"Withhold"yourvotefortheremainingnominee(s).Aproperlyexecutedproxymarked"Withhold"withrespecttotheelectionofanyorallofthedirectorswillnotbevotedwithrespecttothedirectorordirectorsindicated.Withrespecttotheelectionofdirectors,proxiesmaynotbevotedformorethanthreenominees.Shareholdersmaynotcumulatevotesintheelectionofdirectors.

Withrespecttotheselectionofourauditorandthenon-binding,advisoryvoteonthecompensationofournamedexecutiveofficers,thevoteontheEssentGroupLtd.AnnualIncentivePlan,andthevoteontheEssentGroupLtd.2013Long-TermIncentivePlan,asamendedandrestated,youmayvote"For","Against"or"Abstain".Ifyou"Abstain"fromvotingontheselectionofourauditororthenon-binding,advisoryvoteonthecompensationofournamedexecutiveofficers,theabstentionwillnoeffectonthevoteforsuchmatter.

What does it mean if I receive more than one set of proxy materials?

Generally,itmeansthatyouholdcommonsharesregisteredinmorethanoneaccount.Toensurethatallofyoursharesarevoted,pleasevoteinthemannerdescribedabovewithrespecttoeachproxycardorvotinginstructioncardaccompanyingtheproxymaterials.

Can I change or revoke my vote after I return my proxy card or voting instruction card?

Yes.AnyshareholderofrecordhasthepowertochangeorrevokeapreviouslysubmittedproxyatanytimebeforeitisvotedattheAnnualMeetingby:

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• submittingtoourSecretary,beforethevotingattheAnnualMeeting,awrittennoticeofrevocationbearingalaterdatethantheproxy;

• timelydeliveryofavalid,later-datedproxy(onlythelastproxysubmittedbyashareholderbyInternet,telephoneormailwillbecounted);or

• attendingtheAnnualMeetingandvotinginperson(providedthatattendanceattheAnnualMeetingwillnotbyitselfconstitutearevocationofaproxy).

Forsharesheldinstreetname,youmayrevokeanypreviousvotinginstructionsbysubmittingnewvotinginstructionstothebank,brokerorotherintermediaryholdingyoursharesbythedeadlineforvotingspecifiedinthevotinginstructionsprovidedbyyourbank,brokerorotherintermediary.Alternatively,ifyoursharesareheldinstreetnameandyouhaveobtainedalegalproxyfromthebank,brokerorotherintermediarygivingyoutherighttovotethesharesattheAnnualMeeting,youmayrevokeanypreviousvotinginstructionsbyattendingtheAnnualMeetingandvotinginperson.

How can I attend the Annual Meeting?

TheAnnualMeetingisopentoallshareholdersholdingcommonsharesasoftherecorddate.

Ifyouareashareholderofrecord,youwillhavetopresentvalidpictureidentification.Ifyouareabeneficialowner,youwillneedtoobtainalegalproxyfromyourbankorbroker.Thislegalproxywillserveasanadmissionticketandauthorizeyoutovoteyourcommonshares(ortochangeyourvote)attheAnnualMeeting.Youwillalsoberequiredtopresentvalidpictureidentification.

Shareholderswhodonothavevalidpictureidentificationandalegalproxy(ifrequired)maynotbeadmittedtotheAnnualMeeting.

AdmissiontotheAnnualMeetingwillbeginat7:30a.m.AtlanticDaylightTimeonWednesday,May3,2017.Seatingwillbelimited.InordertoensurethatyouareseatedbythecommencementoftheAnnualMeetingat8:00a.m.,werecommendthatyouarriveearly.TheAnnualMeetingwillbeheldattheFairmontSouthamptonHotellocatedat101SouthShoreRoad,SouthamptonSN02,Bermuda.Whenyouarrive,signswilldirectyoutotheappropriatemeetingroom.Pleasenotethatduetosecurityreasons,allbagswillbesubjecttosearch.Wewillbeunabletoadmitanyonewhodoesnotcomplywiththesesecurityprocedures.Camerasandotherrecordingdeviceswillnotbepermittedinthemeetingroom.

Weencourageallshareholders,eventhosewhoplantoattendtheAnnualMeeting,tovoteinadvance.IfyouintendtovoteattheAnnualMeeting,youmustprovideourSecretarywithoralorwrittennoticeeitheratorpriortothemeeting.

What is a proxy? How do I appoint a proxy and instruct that individual how to vote on my behalf?

Aproxyisyourlegaldesignationofanotherpersontovoteonyourbehalfthecommonsharesthatyouhold.

Youcanappointtheproxiesrecommendedbyourboardofdirectors(i.e.,MarkA.CasaleandLawrenceE.McAlee;see"Whatdoessolicitationofproxiesmean?"below)tovoteonyourbehalf,andgivethoseindividualsvotinginstructionsbyfollowingthedirectionsontheproxycard.

Ifyouareashareholderofrecord,youmayalsoappointanotherindividualtorepresentyouattheAnnualMeetingbynotifyingourSecretaryinwritingbeforetheAnnualMeetingbegins.YourappointedproxymustprovidevalidpictureidentificationtobeadmittedtotheAnnualMeeting.

Ifyouareabeneficialowner,pleasecontactthebrokerthatholdsyourcommonsharesifyouintendtoappointaproxythatisdifferentfromthoserecommendedbyourboardofdirectors.

What does solicitation of proxies mean?

Inasolicitationofproxies,oneparty(inthiscase,ourboardofdirectors)encouragesshareholderstoappointoneormoreparticularindividuals(inthiscase,MarkA.Casale,ourChairmanoftheBoardofDirectors,ChiefExecutiveOfficerandPresident,andLawrenceE.McAlee,ourSeniorVicePresidentandChiefFinancialOfficer)tovoteontheirbehalf(i.e.,tovoteastheirproxyinaccordancewiththeirinstructions).

Wewillbeartheexpenseofprintingandmailingproxymaterials.Inadditiontothissolicitationofproxiesbymail,ourdirectors,officersandotheremployeesmaysolicitproxiesbypersonalinterview,telephone,facsimileore-mail.Theywillnotbepaidanyadditionalcompensationforsuchsolicitation.Wewillrequestbrokersandintermediarieswhoholdourcommonsharesintheirnamestofurnishproxymaterialstobeneficialownersoftheshares.Wewillreimbursesuchbrokersandintermediariesfortheirreasonableexpensesincurredinforwardingsolicitationmaterialstosuchbeneficialowners.

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Beneficialownerswillbeaskedtoforwardtheproxymaterialstothebrokerthatholdstheircommonshares.Thatentitywillbereimbursedforitsreasonableexpensesincurredinconnectionwithdistributingandcollectingproxymaterials.

What else will happen at the Annual Meeting?

AttheAnnualMeeting,theonlyitemcurrentlyontheagenda,otherthantheelectionofdirectors,there-appointmentofourindependentregisteredpublicaccountingfirm,considerationofthe2016compensationofournamedexecutiveofficers,approvaloftheEssentGroupLtd.AnnualIncentivePlanandapprovaloftheEssentGroupLtd.2013Long-TermIncentivePlan,asamendedandrestated,isfortheshareholderstoreceiveourfinancialstatementsandthereportofourindependentregisteredpublicaccountingfirmthereonfortheyearendedDecember31,2016.

How can I access Essent Group Ltd.'s proxy materials and annual report electronically?

Thisproxystatementandour2016AnnualReporttoShareholders,includingourAnnualReportonForm10-KfortheyearendedDecember31,2016,areavailableonourwebsiteatwww.essentgroup.com.

How do I find out the voting results?

PreliminaryvotingresultswillbeannouncedattheAnnualMeeting,andfinalvotingresultswillbefiledwiththeSECwithin4businessdaysfollowingtheAnnualMeeting.

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BOARD OF DIRECTORS

General

Ourboardofdirectorsiscomposedofninedirectors.OurBye-lawsprovidethatourdirectorsbedividedintothreeclassesconsisting,asnearlyaspossible,ofone-thirdofthetotalnumberofdirectorsconstitutingtheentireboard.Ourdirectorsholdofficeuntiltheirsuccessorshavebeenelectedandqualified,ortheearlieroftheirdeath,resignationorremoval.Vacanciesontheboardofdirectorsmaybefilledbytheshareholdersorbytheboardofdirectors.AvacancycausedbythelossofthePineBrookdesignee,asdescribedinmoredetailbelow,willbefilledatthedirectionofPineBrook.OursystemofelectingandremovingdirectorsmaydelayorpreventachangeofourmanagementorachangeincontrolofourCompany.

Inadditiontotheinformationpresentedbelowregardingeachdirector'sspecificexperiences,qualifications,attributesandskills,webelievethatallofourdirectorshaveareputationforintegrityandadherencetohighethicalstandards.Eachofourdirectorshasdemonstratedbusinessacumenandanabilitytoexercisesoundjudgment,aswellasacommitmentofservicetousandourboard.Therearenofamilyrelationshipsamonganyofourdirectorsorexecutiveofficers.

Nominees for Election as Class III Directors for a Three Year Term Continuing Until the 2020 Annual General Meeting of Shareholders

ThefollowingtableidentifiesthemembersofourboardofdirectorsnominatedforelectionattheAnnualMeetingasClassIIIdirectorstoservethroughthe2020AnnualGeneralMeetingofShareholdersoruntilhissuccessorisdulyelectedandqualified:

Name Age Position

MarkA.Casale

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ChairmanoftheBoardofDirectors,ChiefExecutiveOfficerandPresident

DouglasJ.Pauls 58 DirectorWilliamSpiegel 54 Director

ThenomineesforelectionasClassIIIdirectorswererecommendedfornominationtoourboardofdirectorsbythenominatingandcorporategovernancecommittee.Unlessotherwisespecifiedintheaccompanyingproxy,thesharesvotedpursuanttheretowillbecastforeachofMarkA.Casale,DouglasJ.PaulsandWilliamSpiegeltoserveasClassIIIdirectorsthroughthe2020AnnualGeneralMeetingofShareholders.If,foranyreason,anynomineeisunableorunwillingtoserve,thepersonsnamedintheproxywillusetheirbestjudgmentinselectingandvotingforasubstitutecandidateorourboardofdirectorsmayreducethenumberofdirectors.Ourboardofdirectors,however,hasnoreasontobelievethatanyofthenomineeswillbeunableorunwillingtobeacandidateforelectionatthetimeoftheAnnualMeeting.

PineBrookhasdesignatedWilliamSpiegelasthePineBrookdesigneeunderashareholdersagreement,andaccordinglyMr.Spiegelhasbeennominatedforre-electionattheAnnualMeetingtotheboardofdirectorasaClassIIIdirectortoserveuntilthe2020AnnualGeneralMeetingofShareholders.See"—VotingArrangements"below.

ThefollowingbiographicalinformationisfurnishedastoeachnomineeforelectionasadirectorattheAnnualMeeting:

MarkA.CasaleisourfounderandhasservedasourChiefExecutiveOfficerandasamemberofourboardofdirectorssince2008,includingasitsChairmansince2013.Mr.Casalehasmorethan25yearsoffinancialservicesmanagementexperience,withseniorrolesintheareasofmortgagebanking,mortgageinsurance,bondinsuranceandcapitalmarkets.From2001to2007,Mr.CasaleheldvariousseniormanagementpositionswithRadianGroupInc.,includingmostrecentlyservingasthepresidentofitsmortgageinsurancesubsidiary,RadianGuarantyInc.Priortothat,Mr.CasaleoversawcapitalmarketsandstrategicinvestmentsforRadianandmanageditsjointventurebusinesses.Mr.CasalealsoheldvariousmanagementpositionswithAdvantaCorp.,afinancialservicescompany,includingservingasitsseniorvicepresidentofcorporatefinanceservices.Mr.CasaleholdsaBSinaccountingfromSt.Joseph'sUniversityandanMBAinfinancefromNewYorkUniversity.Mr.CasalecurrentservesontheBoardofTrusteesofSt.Joseph'sUniversity.WebelievethatMr.Casaleisqualifiedtoserveonourboardofdirectorsbecauseofhisexperienceinthemortgageandmortgageinsuranceindustriesaswellashisextensiveknowledgeofouroperations.

DouglasJ.PaulshasservedasamemberofourboardofdirectorssinceDecember2013.Mr.Paulshasover30yearsofexperienceintheareasoffinance,accounting,internalcontrols,andfinancialreportingforpubliccompanies,includingmostrecentlyseniorroleswithfinancialinstitutions.Mr.PaulsservedaschieffinancialofficerofBankUnited,Inc.,abankholdingcompany,from2009untilhisretirementin2013.From2008until2009,Mr.PaulsservedasexecutivevicepresidentoffinanceforTDBank,NAfollowingTDBank'sacquisitionofCommerceBancorp,Inc.inMarch2008.Priortothat,Mr.PaulsheldseveralpositionswithCommerce,includingservingasitschieffinancialofficerfrom2002untilitsacquisitionbyTDBankanditschiefaccountingofficerfrom1995to2002.Earlierinhiscareer,Mr.Paulswasaseniormanagerintheaudit

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departmentofErnst&YounginPhiladelphiaandPittsburgh,Pennsylvania.HeiscurrentlyadirectorofBankUnited,Inc.Mr.PaulsholdsaBAineconomicsfromDickinsonCollegeandservesonDickinson'sBoardofTrustees.WebelievethatMr.Paulsisqualifiedtoserveonourboardofdirectorsbecauseofhismorethan30yearsofexperienceasacorporateexecutiveandhisexperienceasachieffinancialofficerofpubliclytradedcompanies.

WilliamSpiegelhasservedasamemberofourboardofdirectorssince2008.Mr.Spiegelisco-presidentandafoundingpartnerofPineBrookRoadPartners,LLC,aninvestmentfirm,whereheisresponsibleformanagingitsfinancialservicesinvestingactivities.HeisalsoamemberofPineBrook'sinvestmentcommittee.Mr.SpiegelcurrentlyrepresentsPineBrookasadirectorofAurigenCapitalLimited,FairSquareFinancialHoldingsLLC,FidelisInsuranceHoldingsLimited,GlobalAtlanticFinancialGroup,SyndicateHoldingCorpandTunbridgePartnersLLC.Mr.Spiegelhasover27yearsofprivateequityinvestmentexperience.PriortojoiningPineBrook,Mr.SpiegelwaswithTheCypressGroupfromitsinceptionin1994until2006.PriortojoiningTheCypressGroup,Mr.SpiegelworkedintheMerchantBankingGroupatLehmanBrothers.Hehasservedontheboardofdirectorsofnumerouscompanies,includingsevenpubliclytradedcorporations.Mr.SpiegelholdsaBScineconomicsfromTheLondonSchoolofEconomicsandPoliticalScience,anMAineconomicsfromtheUniversityofWesternOntarioandanMBAfromTheUniversityofChicago.Mr.SpiegeliscurrentlyamemberofTheUniversityofChicagoPolskyCenterforEntrepreneurshipandInnovationAdvisoryBoardandthePrivateEquityCounsel.WebelievethatMr.Spiegelisqualifiedtoserveonourboardofdirectorsbecauseofhisexperienceinprivateequityfundmanagementandhisfinancialexpertise,aswellashisexperienceasadirectorofpublicandprivatecompanies.

Directors Whose Terms Do Not Expire at the Annual Meeting

Thefollowingtablesetsforthinformationwithrespecttotheremainingmembersofourboardofdirectors:

Name Age Position

Annual Meeting atWhich Term

ExpiresAdityaDutt 41 Director 2018RoyJ.Kasmar 61 Director 2018AndrewTurnbull 48 Director 2018RobertGlanville 50 Director 2019AllanLevine 48 Director 2019AdolfoF,Marzol 56 DirectorandSeniorPolicyAdvisoronHousingFinance 2019

Thefollowingbiographicalinformationisfurnishedastoeachoftheremainingmembersofourboardofdirectors:

AdityaDutthasservedasamemberofourboardofdirectorssince2010.Mr.DuttcurrentlyservesastheseniorvicepresidentandcorporatetreasurerofRenaissanceReHoldingsLtd.,areinsurancecompany,presidentofRenaissanceUnderwritingManagers,Ltd.andamemberofRenaissanceRe'sexecutivecommittee.Mr.Dutt'sresponsibilitiesincludemanagingallofRenaissanceRe'sstrategicinvestments,insurance-linkedsecuritiesinvestmentsandcatastrophicreinsurancejointventures,includingDaVinciRe,TopLayerRe,UpsilonFundandMediciFund.PriortojoiningRenaissanceRein2008,Mr.DuttservedasexecutivedirectorinMorganStanley'sinvestmentbankingdivisioninNewYorkandHongKong,responsibleforexecutingstrategictransactionsincludingmergers,acquisitions,divestituresandcapital-raisingfortheinsuranceandreinsuranceindustry.PriortoMorganStanley,Mr.DuttworkedatSalomonBrothersinthecorporatefinanceandfixedincomedepartmentsinHongKong.Mr.DuttholdsaBAinmathematicsfromDartmouthCollege.WebelievethatMr.Duttisqualifiedtoserveonourboardofdirectorsbecauseofhisexperienceintheinsuranceandreinsuranceindustry.

RoyJ.KasmarhasservedasamemberofourboardofdirectorssincetheconsummationofourinitialpublicofferinginNovember2013.Mr.Kasmarhasbeenamemberoftheboardofdirectorsofourmortgageinsurancesubsidiary,EssentGuaranty,Inc.,since2012.Mr.KasmariscurrentlythepresidentofKazmarCo.LLC,whichprovidesadvisoryservicestothemortgageandmortgageinsuranceindustry.Mr.Kasmarhasover30yearsofexperienceinthemortgageandmortgageinsuranceindustry.PriortoformingKazmarCo.LLC,Mr.KasmarservedasthepresidentofRadianGroupInc.andRadianGuarantyInc.,aprivatemortgageinsurer,from1999to2007.PriortojoiningRadian,Mr.KasmarservedasthepresidentandchiefoperatingofficerofAmerinGuarantyCorporation,amortgageinsurer,from1996to1999.Additionally,Mr.KasmarhasheldseniormanagementpositionswithPrudentialHomeMortgage,FirstBostonCapitalGroupandChaseHomeMortgage.Mr.KasmarholdsaBSineconomicsandbusinessadministrationfromDruryCollegeandanMBAinfinancefromFairleighDickinsonUniversity.WebelievethatMr.Kasmarisqualifiedtoserveonourboardofdirectorsbecauseofhisexperienceinthemortgageandmortgageinsuranceindustries,includinghispriorroleaspresidentofRadianGroupInc.andRadianGuarantyInc.

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AndrewTurnbullhasservedasamemberofourboardofdirectorssince2013.Mr.Turnbullhasover25yearsofinsuranceandreinsuranceexperience,includingtheunderwriting,pricingandriskmanagementofalternativerisktransferproductsandderivatives.Mr.TurnbullhasservedasaconsultanttoEverestRe,areinsurancecompany,since2016.From2011to2015,Mr.TurnbullservedasgroupstrategyandbusinessdevelopmentofficerofPartnerReLtd.,areinsurancecompany,andgeneralmanagerofthegroup'sBermudacarrier.From2008to2011,Mr.TurnbullheldvariousroleswithTorusInsuranceHoldingsLimited,includingservingasgroupchiefactuary.PriortojoiningTorus,Mr.Turnbullmanagedthenon-traditionalinsuranceandreinsurancebusinessofXLCapitalLtd.,andservedasexecutivevicepresidentofXLInsurance(Bermuda)LtdandXLReLtd.HeholdsajointBSc(Hons)degreeinmathematicsandstatisticsfromtheUniversityofEdinburghandisaFellowoftheCasualtyActuarialSociety,theSocietyofActuaries,theInstituteandFacultyofActuariesandisamemberoftheAmericanAcademyofActuaries.WebelievethatMr.Turnbullisqualifiedtoserveonourboardofdirectorsbecauseofhisexperienceintheinsuranceandreinsuranceindustry.

RobertGlanvillehasservedasamemberofourboardofdirectorssince2008.Mr.GlanvillecurrentlyservesasthemanagingmemberofREGConsultingLLC,afinancialadvisorybusiness.Mr.GlanvillewasafoundingpartnerandservedasamanagingdirectoronthefinancialservicesinvestmentteamofPineBrookRoadPartners,LLC,aninvestmentfirm,from2006to2015.From2003to2006,Mr.Glanvillewasseniorvicepresident,financialandtreasuryservicesforArchCapitalGroup,Ltd.,aninsuranceandreinsurancecompany.From1999to2003,Mr.GlanvillewasemployedbyWarburgPincus,aprivateequityfirm.BeforejoiningWarburgPincus,Mr.GlanvillefoundedFAServices,anemergingmarketsfinancialservicesandinvestmentboutiquebasedinMoscow.From1988to1992,Mr.GlanvilleworkedinNewYorkandTokyoforMorganStanley,aninvestmentbankingfirm,specializingincorporatefinanceandM&A.Mr.GlanvilleholdsanABinAmericanhistoryfromPrincetonUniversity.WebelievethatMr.Glanvilleisqualifiedtoserveonourboardofdirectorsbecauseofhisexperienceinprivateequityfundmanagementandhisfinancialexpertise,aswellashismanagementexperiencewithfinancialservicesandinsuranceandreinsurancecompanies.

AllanLevinehasservedasamemberofourboardofdirectorssince2008.Mr.LevinecurrentlyisthechairmanandchiefexecutiveofficerofGlobalAtlanticFinancialGroup,aglobalfinancialservicescompany,formerlytheGoldmanSachsReinsuranceGroupwhichheinitiallyjoinedin1997.Priortothespin-offofGlobalAtlanticfromGoldmanSachsin2013,Mr.LevinewasapartnerandmanagingdirectorofGoldman,Sachs&Co.andglobalheadoftheGoldmanSachsReinsuranceGroup,andpriortoassumingthatrole,wasco-headofthefirm'sstrategygroup.Mr.LevineholdsaBSfromMiamiUniversityandanMBAfromColumbiaBusinessSchool.WebelievethatMr.Levineisqualifiedtoserveonourboardofdirectorsbecauseofhisextensiveexperienceinthefinancialservicesandinsuranceandreinsuranceindustriesaswellashisfinancialexpertise.

AdolfoF.MarzolhasservedasamemberofourboardofdirectorssinceMay2016andhasservedasourSeniorPolicyAdvisoronHousingFinancesinceSeptember2016.Previously,Mr.MarzolservedasourExecutiveVicePresidentandexecutiveViceChairmanfrom2009until2015.Mr.Marzolhasmorethan30yearsofexperienceintheareasoffinancialmanagement,capitalmarkets,creditrisk,operationsriskandmortgageservicing.From2006to2009,Mr.Marzolservedasasenioradvisortocompaniesintheareasofmortgageriskmanagement,policyandgovernanceasthemanagingmemberofMarzolEnterprises,LLC,aconsultingbusiness.Mr.MarzolpreviouslyheldleadershippositionsattheFederalNationalMortgageAssociation(FannieMae)between1996and2006,includingservingasitsexecutivevicepresidentandchiefcreditofficer.Priortothat,Mr.MarzolheldaseriesofseniorpositionswithChaseManhattanMortgagefrom1988to1995,includingservingasitsexecutivevicepresidentandchieffinancialofficer.Mr.MarzolholdsaBSineconomicsandanMAinfinancefromtheUniversityofFlorida.WebelievethatMr.Marzolisqualifiedtoserveonourboardofdirectorsbecauseofhisexperienceinthemortgageandmortgageinsuranceindustries,includinghispastserviceasourExecutiveVicePresidentandexecutiveViceChairmanandhiscurrentserviceasourSeniorPolicyAdvisorforHousingFinance.

Voting Arrangements

UpontheconsummationofourinitialpublicofferinginNovember2013,weenteredintoashareholdersagreementwithEssentIntermediate,L.P.andPineBrookEssentCo-Invest,L.P.(whichwerefertocollectivelyas"PineBrook"),pursuanttowhich,forsolongasPineBrookholdsatleast35%ofthecommonsharesheldbyitattheconsummationofourinitialpublicoffering,PineBrookwillhavetherighttonominateoneClassIIIdirector(the"PineBrookdesignee")totheboardofdirectorsateachannualgeneralmeetingofshareholdersatwhichthetermofthePineBrookdesigneeexpires.Inaddition,wearerequiredundertheshareholdersagreementtousecommerciallyreasonableeffortstotakeallnecessaryanddesirableactionswithinourcontroltocausetheelection,removalandreplacementofthePineBrookdesigneeinaccordancewiththeagreementandapplicablelaw.IntheeventthatthePineBrookdesigneeceasestoserveonourboardofdirectors,theresultingvacancymaybefilledbyanindividualdesignatedbyPineBrook.See"CertainRelationshipsandRelatedPartyTransactions—PineBrookShareholdersAgreement"elsewhereinthisproxystatement.PineBrookhasnominatedMr.SpiegelasthePineBrookdesigneeforelectionattheAnnualMeeting.

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CORPORATE GOVERNANCE

Our Commitment to Corporate Governance

Ourboardofdirectorsandmanagementhaveastrongcommitmenttoeffectivecorporategovernance.Webelievethatwemaintainacomprehensivecorporategovernanceframeworkforouroperationswhich,amongotherthings,takesintoaccounttherequirementsoftheSecuritiesandExchangeCommission(SEC),theNewYorkStockExchange(NYSE),theSarbanes-OxleyActof2002andtheDodd-FrankWallStreetReformandConsumerProtectionAct.Thekeycomponentsofthisframeworkaresetforthin:

• ourBye-laws;

• ourCorporateGovernanceGuidelines;

• ourCodeofBusinessConductandEthics;

• ourRelatedPartyTransactionPolicy;

• ourAuditCommitteeCharter;

• ourCompensationCommitteeCharter;

• ourNominatingandCorporateGovernanceCommitteeCharter;and

• ourRiskCommitteeCharter.

Acopyofeachofthesedocumentsispublishedonourwebsiteatwww.essentgroup.com,exceptourBye-laws,whicharefiledwiththeSECandcanbefoundontheSEC'swebsiteatwww.sec.gov.EachofthesedocumentsisavailableinprinttoanyshareholderuponrequestbywritingtoourSecretaryatEssentGroupLtd.,ClarendonHouse,2ChurchStreet,HamiltonHM11,Bermuda.Ourboardofdirectorsregularlyreviewscorporategovernancedevelopmentsandmodifiesourcommitteechartersandkeypracticesandpoliciesasourboardbelievestobewarranted.

Corporate Governance Guidelines

OurboardofdirectorshasadoptedCorporateGovernanceGuidelinesthatserveasaflexibleframeworkwithinwhichourboardofdirectorsanditscommitteesoperate.Theseguidelinescoveranumberofareasincludingthesizeandcompositionoftheboard,boardmembershipcriteriaanddirectorqualifications,directorresponsibilities,boardagenda,rolesofthechairmanoftheboardandchiefexecutiveofficer,meetingsofindependentdirectors,committeeresponsibilitiesandassignments,boardmemberaccesstomanagementandindependentadvisors,directorcommunicationswiththirdparties,directorcompensation,directororientationandcontinuingeducation,evaluationofseniormanagementandmanagementsuccessionplanning.

Code of Business Conduct and Ethics

OurCodeofBusinessConductandEthicsincludesinformationregardingproceduresestablishedbytheauditcommitteeforthesubmissionofcomplaintsaboutouraccountingorauditingmatters.OurCodeofBusinessConductandEthicsisapplicabletoourdirectors,executivesandemployees,andreflectsandreinforcesourcommitmenttointegrityintheconductofourbusiness.AmendmentstoourCodeofBusinessConductandEthicsandanygrantofawaiverfromaprovisionofourCodeofBusinessConductandEthicswillbeincludedinacurrentreportonForm8-Kwithinfourdaysofthedateoftheamendmentorwaiver,unlesspostingsuchinformationonourwebsitewillthensatisfytherulesoftheNYSE.

Ourauditcommittee,onbehalfofitselfandourothernon-managementdirectors,hasestablishedprocedurestoenableemployeesorotherpartieswhomayhaveaconcernaboutourconductorpoliciestocommunicatethatconcern.OuremployeesareencouragedandexpectedtoreportanyconductwhichtheybelieveingoodfaithtobeanactualorapparentviolationofourCodeofBusinessConductandEthics.Inaddition,ourauditcommitteehasestablishedprocedurespertainingtoreceiving,retaining,andtreatingcomplaintsreceivedregardingaccounting,internalaccountingcontrols,orauditingmatters,andwithrespecttotheconfidential,anonymoussubmissionbyouremployeesofconcernsregarding,amongotherthings,questionableaccountingorauditingmatters.Suchcommunicationsmaybeconfidentialoranonymous,andmaybee-mailed,submittedinwriting,orreportedbyphonethroughvariousinternalandexternalmechanismsasprovidedontheourinternalwebsite.Additionalproceduresbywhichinternalcommunicationsmaybemadeareprovidedtoeachemployee.

OurCodeofBusinessConductandEthicsprohibitsanyemployeeordirectorfromretaliatingortakinganyadverseactionagainstanyoneforraisingorhelpingtoresolveanintegrityconcern.

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Board Leadership Structure

Ourboardofdirectorsdoesnothaveapolicyregardingtheseparationoftherolesofchiefexecutiveofficerandchairmanofourboardofdirectors,asourboardofdirectorsbelievesitisinourbestintereststomakethatdeterminationbasedonthepositionanddirectionoftheCompanyandthemembershipofourboardofdirectors.

BoththechairmanandchiefexecutiveofficerpositionsarecurrentlyheldbyMr.Casale.PursuanttoourCorporateGovernanceGuidelines,intheeventthattheroleofchairmanisheldbyamemberofourmanagement,theindependentmembersofourboardofdirectorsmaydesignateoneindependentdirectortoserveastheleadindependentdirector.Mr.Spiegelcurrentlyservesasourleadindependentdirector.UnderthetermsofourCorporateGovernanceGuidelines,theleadindependentdirectorhasbroadresponsibilityandauthority,including:

• organizingandpresidingoverallmeetingsofourboardofdirectorsatwhichthechairmanisnotpresent,includingallexecutivesessionsofournon-managementandindependentdirectors;

• servingastheliaisonbetweenthechairmanandthenon-managementdirectors;

• overseeingtheinformationsenttoourboardofdirectorsbymanagement;

• approvingmeetingagendasandschedulesforourboardofdirectors;

• facilitatingcommunicationbetweenourboardofdirectorsandmanagement;and

• performingsuchotherdutiesasrequestedbyourboardofdirectors.

OurboardofdirectorshasdeterminedthathavingMr.Casaleserveasbothourchiefexecutiveofficerandthechairmanofourboardofdirectors,alongwithaleadindependentdirector,isinthebestinterestsoftheCompanyandourshareholdersatthistime.

Anumberoffactorssupporttheleadershipstructurechosenbyourboard,including,amongothers:

• Mr.Casalehasextensiveknowledgeofallaspectsofusandourbusinessandrisks,ourindustryandourcustomers,isintimatelyinvolvedinourday-to-dayoperationsandisbestpositionedtoelevatethemostcriticalbusinessissuesforconsiderationbyourboardofdirectors;

• ourboardofdirectorsbelievesthathavingMr.Casaleserveinbothcapacitiesallowshimtomoreeffectivelyexecuteourstrategicinitiativesandbusinessplansandconfrontourchallenges;

• thecombinedroleisbothcounterbalancedandenhancedbytheeffectiveoversightandindependenceofourboardofdirectorsandtheindependentleadershipprovidedbyourleadindependentdirectorandindependentcommitteechairs;and

• ourboardofdirectorsbelievesthattheappointmentofastrongleadindependentdirectorandtheuseofregularexecutivesessionsofthenon-managementdirectors,alongwiththeboard'sstrongcommitteesystemandalldirectorsbeingindependentexceptforMr.Casale,allowittomaintaineffectiveoversightofmanagement.

Determination of Director Independence

Ourboardofdirectorshasconsideredwhetherourdirectorsqualifyas"independent"directorsinaccordancewithNYSElistingrequirements.TheNYSEindependencedefinitionincludeaseriesofobjectivetests,suchasthatthedirectorisnot,andhasnotbeenforatleastthreeyears,oneofouremployeesandthatneitherthedirectornoranyofhisfamilymembershasengagedinvarioustypesofbusinessdealingswithus.

Baseduponthesestandards,ourboardofdirectorshasdeterminedthatonlyMessrs.CasaleandMarzolarenotconsideredtobeindependent,aseachisacurrentemployeeoftheCompany.Inmakingthisdetermination,ourboardofdirectorsreviewedanddiscussedinformationprovidedbythedirectorsanduswithregardtoeachdirector'sbusinessandpersonalactivitiesandrelationshipsastheymayrelatetousandourmanagement.

Meetings and Committees of our Board of Directors

Ourboardofdirectorsmetfourtimesduring2016.Eachincumbentdirectorattendedatleast75%oftheaggregatemeetingsofourboardofdirectorsduring2016thatwereheldfollowinghiselectionandofthemeetingsheldbyallboard

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committeesonwhichheserved.Althoughwedonothaveapolicyregardingtheattendanceofourboardmembersatourannualgeneralmeetingsofshareholders,weencouragealldirectorstoattendourannualgeneralmeetingsofshareholders.Allofourdirectorsatthetimeofour2016AnnualGeneralMeetingofShareholderswerepresentatthatmeeting.

Ournon-managementandindependentdirectorsalsoholdregularmeetingswithoutourmanagementbeingpresent.Ournon-managementandindependentdirectorsheldfoursuchmeetingsin2016.

Ourboardofdirectorsmaintainsstandingaudit,compensation,nominatingandcorporategovernance,andriskcommittees.Eachcommitteehasacharterthat,amongotherthings,reflectswhatwebelievetobethebestcurrentpracticesincorporategovernance.

AuditCommittee

Theauditcommitteehastheresponsibilityfor,amongotherthings,assistingtheboardofdirectorsinreviewingourfinancialreportingandotherinternalcontrolprocesses,ourfinancialstatements,theindependentauditors'qualifications,independenceandcompensation,theperformanceofourinternalauditfunctionandindependentauditors,andourcompliancewithlegalandregulatoryrequirementsandourCodeofBusinessConductandEthics.

OurauditcommitteeconsistsofMessrs.Pauls,Dutt,GlanvilleandTurnbull.Mr.Paulsservesasthechairmanoftheauditcommittee.Ourboardofdirectorshasdeterminedthatallofthemembersoftheauditcommitteeareindependent,andmeettherequirementsforfinancialliteracy,underapplicablerulesandregulationsoftheSECandtheNYSE.OurboardofdirectorshasdeterminedthateachofMessrs.PaulsandGlanvilleisan"auditcommitteefinancialexpert"asdefinedundertheapplicablerulesoftheSECandhastherequisitefinancialsophisticationasdefinedundertheapplicablerulesandregulationsoftheNYSE.

Theauditcommitteemetfourtimesduring2016.

CompensationCommittee

Thecompensationcommitteehastheresponsibilityfor,amongotherthings,determiningthecompensationofourexecutiveofficersanddirectors,reviewingourexecutivecompensationpoliciesandplans,administeringandimplementingourequitycompensationplans,andpreparingareportonexecutivecompensationforinclusioninourproxystatementforourannualmeeting.

OurcompensationcommitteeconsistsofMessrs.Kasmar,LevineandSpiegel.Mr.Kasmarservesasthechairmanofourcompensationcommittee.OurboardofdirectorshasdeterminedthatallofthemembersofthecompensationcommitteeareindependentunderapplicablerulesandregulationsoftheSECandtheNYSE.Eachofthemembersofourcompensationcommitteeisan"outsidedirector"asthattermisdefinedinSection162(m)oftheInternalRevenueCode.

Thecompensationcommitteemetfourtimesduring2016.

NominatingandCorporateGovernanceCommittee

Thenominatingandcorporategovernancecommitteehastheresponsibilityfor,amongotherthings,reviewingboardstructure,compositionandpractices,andmakingrecommendationsonthesematterstoourboardofdirectors,reviewing,solicitingandmakingrecommendationstoourboardofdirectorsandshareholderswithrespecttocandidatesforelectiontotheboardofdirectors,overseeingourboardofdirectors'performanceandself-evaluationprocess,anddevelopingandreviewingasetofcorporategovernanceprinciplesfortheCompany.

OurnominatingandcorporategovernancecommitteeconsistsofMessrs.Spiegel,LevineandKasmar.Mr.Spiegelservesasthechairpersonofournominatingandcorporategovernancecommittee.OurboardofdirectorshasdeterminedthatallofthemembersofthenominatingandcorporategovernancecommitteeareindependentunderapplicablerulesandregulationsoftheSECandtheNYSE.

Thenominatingandcorporategovernancecommitteemetfourtimesduring2016.

RiskCommittee

Theriskcommitteehastheresponsibilityfor,amongotherthings,assistingwiththeoversightofkeyrisksthatwefaceandthereviewofourinvestingactivities.

OurriskcommitteeconsistsofMessrs.Glanville,Dutt,PaulsandTurnbull.Mr.Glanvilleservesasthechairmanofourriskcommittee.

Theriskcommitteemetfourtimesduring2016.

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Board of Directors' Role in Risk Oversight

Ourboardofdirectorsasawholehasresponsibilityforriskoversight,withreviewsofcertainareasbeingconductedbytherelevantcommitteesoftheboardthatreportontheirdeliberationstotheboard.Theoversightresponsibilityofourboardofdirectorsanditscommitteesisenabledbymanagementreportingprocessesthataredesignedtoprovidevisibilitytotheboardabouttheidentification,assessmentandmanagementofcriticalrisksandmanagement'sriskmitigationstrategies.Theseareasoffocusincludecompetitive,economic,operational,financial(accounting,credit,liquidityandtax),legal,regulatory,complianceandreputationalrisks.Ourboardofdirectorsanditscommitteesoverseerisksassociatedwiththeirrespectiveprincipalareasoffocus,assummarizedbelow.

Committee Primary Areas of Risk Oversight

AuditCommittee

Risksandexposuresassociatedwithfinancialmatters,particularlyfinancialreporting,tax,accounting,disclosures,compliance,internalcontroloverfinancialreporting,financialpoliciesandcreditandliquiditymattersandourenterpriseriskmanagementprogram.

NominatingandCorporateGovernanceCommitteeRisksandexposuresassociatedwithleadershipandsuccessionplanningandcorporategovernance.

CompensationCommitteeRisksandexposuresassociatedwithexecutivecompensationprogramsandarrangements,includingincentiveplans.

RiskCommittee

Risksassociatedwithinsuranceandinvestmentportfoliosandinvestmentguidelines,includingcredit,underwriting,pricingrisk,marketriskandliquidityrisk.

Director Nominations

Thenominatingandcorporategovernancecommitteeisresponsibleforrecommendingtoourboardofdirectorscandidatesfornominationandelectionasdirectorsatannualgeneralmeetingsofshareholdersorforappointmenttofillvacanciesontheboard.Thecommitteeannuallyreviewswiththeboardtheapplicableskillsandcharacteristicsrequiredofboardnomineesinthecontextofcurrentboardcompositionandcompanycircumstances.Inmakingitsrecommendationstoourboardofdirectors,thenominatingandcorporategovernancecommitteeconsiders,amongotherthings,thequalificationsofindividualdirectorcandidatesinlightofthecriteriadescribedbelow.Inaccordancewithitscharter,thecommitteemayuseavarietyofsources,includingbutnotlimitedtoexecutivesearchfirms,toidentifydirectorcandidates,andhastheauthoritytoretainandapprovecompensationforsuchfirms.

Inevaluatingacandidate,ourcorporategovernanceandnominatingcommitteeandourboardofdirectorstakesintoaccountavarietyoffactorsasitdeemstobeappropriate,includingthefollowing:

• highpersonalandprofessionalethics,valuesandintegrity;

• soundbusinessjudgmentandfinanciallyliteracy;

• diversityofpointofview,includingthecandidate'seducation,skill,professionalbackground,personalaccomplishments,geography,race,gender,age,ethnicbackground,nationalorigin,experiencewithmortgage,insurance,reinsuranceorotherbusinessesandorganizationsthatourboarddeemsrelevantanduseful,includingwhethersuchattributesorbackgroundwouldcontributetothediversityoftheboardasawhole;

• abilityandwillingnesstoserveonanycommitteesofourboardofdirectors;

• abilityandwillingnesstocommitadequatetimetotheproperfunctioningofourboardofdirectorsanditscommittees;and

• anycriteriaregardingindependenceandothermattersrequiredbytheNYSEorotherapplicablelaworregulations.

Basedontheinformationavailabletothecorporategovernanceandnominatingcommitteeaboutapotentialnominee,thecommitteewillmakeaninitialdeterminationwhethertoconductafullevaluationofacandidate.Aspartofthefullevaluationprocess,thecorporategovernanceandnominatingcommitteemayconductinterviews,obtainadditionalbackgroundinformationandconductreferencechecksofpotentialnominees.Thecorporategovernanceandnominatingcommitteemayalsoaskpotentialnomineestomeetwithmanagementandothermembersofourboardofdirectors.Aftercompletingthis

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evaluationprocess,thecorporategovernanceandnominatingcommitteemakesarecommendationtothefullboardofdirectors,whichmakesthefinaldeterminationwhethertonominatethecandidateasadirector.

Ourboardofdirectorsevaluateseachindividualinthecontextoftheboardasawhole,withtheobjectiveofrecommendingagroupthatcanperpetuatethesuccessofourbusinessandrepresentshareholderintereststhroughtheexerciseofsoundjudgment,usingitsdiversityofexperience.

Eachdirectorisexpectedtomaintainanacceptablelevelofattendance,preparednessandparticipationwithrespecttomeetingsoftheboardofdirectorsanditscommittees.Indeterminingwhethertorecommendadirectorforre-election,thenominatingandcorporategovernancecommitteealsoconsidersthedirector'spastattendanceatmeetings,participationinandcontributionstotheactivitiesofourboardofdirectors,andtheresultsofthemostrecentboardself-evaluation.

ShareholdersdesiringtorecommendnomineesshouldsubmittheirrecommendationsinwritingtoourSecretaryatEssentGroupLtd.,ClarendonHouse,2ChurchStreet,HamiltonHM11,Bermuda.Recommendationsfromshareholdersshouldincludepertinentinformationconcerningtheproposednominee'sbackgroundandexperience.Thecorporategovernanceandnominatingcommitteemayconsider,asoneofthefactorsinitsevaluationofshareholderrecommendednominees,thesizeanddurationoftheinterestoftherecommendingshareholderorshareholdergroupinourcapitalstock.Thecorporategovernanceandnominatingcommitteemayalsoconsidertheextenttowhichtherecommendingshareholderintendstocontinueholdingitsinterestinourcapitalstock,including,inthecaseofnomineesrecommendedforelectionatanannualgeneralmeetingofshareholders,whethertherecommendingshareholderintendstocontinueholdingitsinterestatleastthroughthetimeofsuchannualgeneralmeetingofshareholders.

Communications with our Board of Directors and Non-Management Directors

Anyshareholderorotherinterestedpartythatdesirestocommunicatedirectlywithourboardofdirectors,anycommitteeoftheboardofdirectorsorournon-managementdirectorsasagroupmaydosobyaddressingthecommunicationincareofourSecretaryatEssentGroupLtd.,ClarendonHouse,2ChurchStreet,HamiltonHM11,Bermudawitharequesttoforwardthecommunicationtotheintendedrecipient.TheSecretary'sofficeopensallsuchcorrespondenceandforwardsittotherelevantdirectororgroupofdirectors,exceptforitemsunrelatedtothefunctionsoftheboard,includingbusinesssolicitationsoradvertisements.

Director Compensation

Thecompensationcommitteereviewsandestablishesthecompensationofournon-employeedirectors.Ourdirectorcompensationprogramisdesignedtocompensateournon-employeedirectorsfortheirservicetotheCompanyandthelevelofresponsibilitytheyhaveassumedintoday'scorporategovernanceenvironment.

Ourcompensationcommitteeretainstheservicesofanindependentcompensationconsultant,KornFerryHayGroup,toreviewournon-employeedirectorcompensationprogramincomparisonwithmarketdata.InconnectionwithourinitialpublicofferinginNovember2013,thecompensationcommitteeofourboardofdirectors,basedoninformationprovidedbyKornFerryHayGroup,setthetotalannualcompensationofthenon-employeedirectorstopositionitatthemedianofourpeergroupatthattime(foradditionalinformationregardingourpeergroupseebelowunder"ExecutiveOfficersandExecutiveCompensation—CompensationDiscussionandAnalysis—PeerGroupComposition"onpage21).Inlate2016,thecompensationcommitteeaskedKornFerryHayGrouptore-evaluatethecompensationthatwepaytoourboardofdirectors.BasedoninformationprovidedbyKornFerryHayGroup,thecompensationcommitteeapprovedmodestchangestoournon-employeedirectorcompensationprogramcommencingin2017inordertobringcertainelementsoftheprogramcloserinlinewithcompetitivemarketpracticeswhilecontinuingtopositiontotalannualcompensationatthemedianofourpeergroup.

Thecompensationarrangementsforthenon-employeedirectorsoftheboardfor2016and2017aredescribedbelow.Mr.Casale,thechairmanoftheboardofdirectors,andourchiefexecutiveofficerandpresident,doesnotreceiveadditionalcompensationforservingasamemberofourboardofdirectors.AsaresultofthecommencementofhisemploymentwithusonSeptember1,2016asourseniorpolicyadvisoronhousingfinance,Mr.Marzolnolongerqualifiedtoreceivecompensationforservingasamemberofourboardofdirectorsasofsuchdate.Wedid,however,payMr.Marzolforhisserviceasadirectorbetweenthedateofhiselectiontotheboardofdirectors,May3,2016,andthecommencementofhisemploymentwiththeCompanyonSeptember1,2016.

Ournon-employeedirectorswereentitledtoreceivefor2016,andeffectiveasofJanuary1,2017currentlyreceive,thefollowingcompensationinconsiderationoftheirboardservice:

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2016 2017AnnualCashRetainer $ 70,000 $ 80,000AdditionalAnnualCashRetainerforBoardCommitteeChairpersons AuditCommittee $ 10,000 $ 15,000CompensationCommittee $ 7,500 $ 10,000NominatingandCorporateGovernanceCommittee $ 5,000 $ 5,000RiskCommittee $ — $ 5,000

AdditionalAnnualCashRetainerforBoardCommitteeMembers AuditCommittee $ 10,000 $ 10,000CompensationCommittee $ 7,500 $ 7,500NominatingandCorporateGovernanceCommittee $ 5,000 $ 5,000RiskCommittee $ — $ 5,000

AdditionalAnnualCashRetainerforLeadIndependentDirector $ 15,000 $ 20,000

Inaddition,eachnon-employeedirectorwasentitledtoreceivein2016,andwillcontinuetoreceivein2017,anannualequityawardvaluedat$110,000intheformofrestrictedcommonshareunitsgrantedundertheEssentGroupLtd.2013Long-TermIncentivePlan,or2013Plan,thatvestsonthefirstanniversaryofthegrantdate(whichisthedateofournextannualgeneralmeetingofshareholders).Ifanon-employeedirectorjoinsourboardofdirectorsafterthegrantdatefortheannualequityaward,suchdirectorwillreceiveaproratedawardbasedonthedatethatheorshejoinedourboard.

Ournon-executivedirectorsarerequiredtomaintaincertainownershiplevelsofourcommonsharesduringtheirserviceasdescribedbelowonpage28.

Thefollowingtablesetsforthcompensationearnedbyournon-employeedirectorsduringtheyearendedDecember31,2016:

Name

FeesEarned

orPaid in

Cash ($) Stock

Awards ($)(1) Option

Awards ($)

Non-EquityIncentive

PlanCompensation

($)

Change inPension

Value andNon-qualified

DeferredCompensationEarnings ($)

All OtherCompensation

($) Total ($)

AdityaDutt 80,000 110,000 — — — — 190,000RobertGlanville 80,000 110,000 — — — — 190,000RoyJ.Kasmar 92,500 110,000 — — — — 202,500AllanLevine 82,500 110,000 — — — — 192,500AdolfoF.Marzol(2) 23,334 110,000 — — — — 133,334DouglasJ.Pauls 95,000 110,000 — — — — 205,000WilliamSpiegel 102,500 110,000 — — — — 212,500VipulTandon(3) 33,333 — — — — — 33,333AndrewTurnbull 80,000 110,000 — — — — 190,000

_______________________________________________________________________________(1) Theamountsreportedinthiscolumnrepresenttheaggregategrantdatefairvalueoftherestrictedcommonshareunitsgrantedin2016computedin

accordancewithFinancialAccountingStandardsBoard(FASB)AccountingStandardsCodification(ASC)Topic718,disregardingforthispurposetheestimateofforfeituresrelatedtoservice-basedvestingconditions.Foradditionalinformation,includingadiscussionoftheassumptionsusedtocalculatethesevalues,seeNote10toourconsolidatedfinancialstatementsincludedinourAnnualReportonForm10-KfortheyearendedDecember31,2016OnMay3,2016,eachofournon-employeedirectorsreceived5,545restrictedshareunitsinrespectoftheirboardservicethroughour2017AnnualGeneralMeetingofShareholders.AllofsuchstockawardsremainedoutstandingonDecember31,2016.

(2) RepresentscompensationpaidtoMr.Marzolbetweenthedateofhiselectiontotheboardofdirectors,May3,2016,andthecommencementofhisemploymentwithus,September1,2016,afterwhichtimeMr.Marzolwasnolongereligibletoreceivecompensationunderournon-employeedirectorcompensationprogram.Underthetermsofhisemploymentwith

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us,Mr.Marzolreceivesanannualsalaryof$100,000andiseligibletoreceiveanannualrestrictedcommonshareunitawardvaluedat$110,000.

(3) Mr.Tandon'sserviceonourboardofdirectorsterminatedonMay3,2016whenhedidnotstandforreelectionatour2016AnnualGeneralMeetingofShareholders.

Succession Planning

Ourboardofdirectors,primarilythroughthenominatingandcorporategovernancecommittee,assessessuccessionplanningformanagementandleadership,withaprimaryfocusonsuccessionintheeventoftheunexpectedincapacityofourchairmanoftheboardofdirectors,chiefexecutiveofficerandpresident.OurCorporateGovernanceGuidelinesprovidethatourchairman,chiefexecutiveofficerandpresidentshouldatalltimesmakeavailabletoourboard,onaconfidentialbasis,hisrecommendationsandevaluationsofpotentialsuccessors.

Indemnification

OurBye-lawsprovidethatwearerequiredtoindemnifyourdirectorsandofficers,ineachcasetothefullestextentpermittedbyBermudalaw.

Wehaveenteredintoagreementstoindemnifyeachofourdirectorsandofficers.TheseagreementsprovideforindemnificationofourdirectorsandofficerstothefullestextentpermittedbyapplicableBermudalawagainstallexpenses,includingattorneys'fees,judgments,finesandsettlementamountsincurredbyanysuchpersoninactionsorproceedings,includingactionsbyusorinourright,arisingoutofsuchperson'sservicesasourdirectororofficer,anyofoursubsidiariesoranyothercompanyorenterprisetowhichthepersonprovidedservicesatourrequest.

Webelievethatthesebye-lawprovisionsandindemnificationagreementsarenecessarytoattractandretainqualifiedpersonsasdirectorsandofficers.

Wealsomaintainstandardpoliciesofinsurancethatprovidecoverage(i)toourdirectorsandofficersagainstlossesarisingfromclaimsmadebyreasonofbreachofdutyorotherwrongfulactand(ii)touswithrespecttoindemnificationpaymentsthatwemaymaketosuchdirectorsandofficers.

Compensation Committee Interlocks and Insider Participation

RoyJ.Kasmar,AllanLevineandWilliamSpiegelservedasthemembersofourcompensationcommitteein2016.NomemberofourcompensationcommitteeisanofficeroremployeeofourCompany.Noneofourexecutiveofficersserves,orinthepastyearhasserved,asamemberoftheboardofdirectorsorcompensationcommitteeofanyentitythathasoneormoreexecutiveofficersservingonourboardofdirectorsorcompensationcommittee.

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EXECUTIVE OFFICERS AND EXECUTIVE COMPENSATION

Executive Officers

Thefollowingtableidentifieseachofourexecutiveofficers:

Name Age Position

MarkA.Casale 52 ChairmanoftheBoardofDirectors,ChiefExecutiveOfficerandPresidentLawrenceE.McAlee 53 SeniorVicePresidentandChiefFinancialOfficerVijayBhasin 52 SeniorVicePresidentandChiefRiskOfficerJeffR.Cashmer 46 SeniorVicePresident,BusinessDevelopmentMaryLourdesGibbons 55 SeniorVicePresident,ChiefLegalOfficerandAssistantSecretaryJosephHissong 53 SeniorVicePresidentandPresident,EssentReinsuranceLtd.DavidB.Weinstock 52 VicePresidentandChiefAccountingOfficer

Thefollowingarebiographicalsummariesofourexecutiveofficers,exceptforMr.Casale,whosebiographyisincludedinthesectionentitled"BoardofDirectors"above.

LawrenceE.McAleehasservedasourSeniorVicePresidentandChiefFinancialOfficersince2009.Mr.McAleehasover25yearsofexperienceintheareasoffinance,accounting,controlsandriskmanagement.Between2002and2009,Mr.McAleeheldaseriesofseniormanagementpositionsatSovereignBancorp,Inc.,includingservingasitschiefaccountingofficer,generalauditorandchiefenterpriseriskmanagementofficer.PriortojoiningSovereign,Mr.McAleewasapartnerwithArthurAndersenLLP.Mr.McAleeholdsaBSinaccountingfromSt.Joseph'sUniversityandisacertifiedpublicaccountant.

VijayBhasinhasservedasourSeniorVicePresidentandChiefRiskOfficersince2009.Mr.Bhasinhassignificantmortgagefinanceindustryexpertise,includingmultipleseniormanagementpositionsspecializinginmortgagerisk.From2006to2008,Mr.BhasinservedasamanagingdirectorofCountrywideFinancialCorporationandBankofAmerica,withresponsibilityforeconomiccapitalassessment,assetliabilitymanagement,counterpartycreditriskmeasurementandstructuredcreditanalytics.Earlierinhiscareer,Mr.BhasinheldmanagementpositionswiththeFederalHomeLoanMortgageCorporation(FreddieMac),includingservingasvicepresidentoverseeingdevelopmentandimplementationofavarietyofmortgagecreditandprepaymentmodels.HehasalsoheldresearchpositionswiththeFederalNationalMortgageAssociation(FannieMae)andtheBoardofGovernorsoftheFederalReserveSystem.Mr.BhasinholdsaBSinmechanicalengineeringfromtheNationalInstituteofTechnology,Kurukshetra,India,anMBAinfinanceandmarketingfromSouthernIllinoisUniversity,andaPhDinfinancefromIndianaUniversity,Bloomington.

JeffR.CashmerhasservedastheSeniorVicePresidentandChiefBusinessOfficerofEssentGuaranty,Inc.,ourmortgageinsurancesubsidiary,since2009.Mr.Cashmerhasmorethan20yearsofexperienceinmortgagefinance,mortgageinsuranceandbusinessdevelopment.From2006to2009,Mr.CashmerheldseveralmanagementpositionswithRadianGuarantyInc.,amortgageinsurancecompany,includingmostrecentlyasRadian'sexecutivevicepresidentandchiefoperatingofficer,withresponsibilityforalloperations,pricingandsalesfunctions.Hehasalsoheldothermanagementpositionswithinthemortgageinsuranceindustry,includingbusinessdevelopment,capitalmarkets,internationalbusinessandstrategicplanning.Mr.CashmeralsoworkedatHouseholdFinanceCorporation,withrolesinunderwritingandquantitativemarketinganalytics.Mr.CashmerholdsaBSinfinancefromIllinoisStateUniversityandanMBAfromDePaulUniversity’sKellstadtGraduateSchoolofBusiness.

MaryLourdesGibbonshasservedasourSeniorVicePresident,ChiefLegalOfficerandAssistantSecretarysince2008.Ms.Gibbonshasmorethan25yearsofexperienceinthemortgageindustry.From2003to2008,Ms.GibbonsservedaschieflegalofficerofWilmingtonFinance,Inc.,amortgagelender.Ms.GibbonsbeganhercareerattheU.S.BankruptcyCourtandWhiteandWilliamsLLP,alawfirm.Ms.Gibbons'mortgage-relatedexperienceincludesseniorrolesatContiMortgageCorp.andAdvantaMortgageCorp.Ms.GibbonsholdsaBSinmarketingfromSt.Joseph'sUniversityandaJDfromTheDelawareLawSchool.

JosephHissonghasservedasourSeniorVicePresidentandthePresidentofEssentReinsuranceLtd.,ourBermuda-basedreinsurancecompany,since2015.Mr.Hissonghasover25yearsofexperience,specializinginstrategydevelopmentandexecutinguponnewbusinessinitiativesassociatedwithinternationalreinsurancetransactionsandstrategicinvestmentopportunities.From2013to2015,Mr.HissongwaspresidentofCartesianReManagementCompany,aninsurancelinkedsecuritiesmanager.PriortojoiningCartesianRe,Mr.HissongworkedforParnterRe,Ltd.from2003to2013,mostrecentlyasitsexecutivedirectorandheadofprivateequity/strategicinvestments,wherehesponsoredPartnerRe’soriginalinvestmentinEssent.Earlierinhiscareer,Mr.HissongservedasamanagingdirectorofSwissReFinancialServices

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GroupandasapartnerinthelawfirmLeBoeuf,Lamb,Greene&MacRaeLLP.Mr.HissongholdsaBSinmathematicsandphilosophyfromFordhamUniversityandaJDfromtheUniversityofChicagoLawSchool.

DavidB.WeinstockhasservedasourVicePresidentandChiefAccountingOfficersince2009.Mr.Weinstockhasover25yearsofexperienceintheareasoffinance,accountingandcontrols.Between1998and2009,Mr.WeinstockheldaseriesofseniormanagementpositionsatAdvantaCorp.,includingservingasitschiefaccountingofficerandvicepresidentofinvestorrelations.PriortojoiningAdvanta,Mr.WeinstockwasaseniormanageratArthurAndersenLLP.Mr.WeinstockholdsaBSinaccountingfromThePennsylvaniaStateUniversityandisacertifiedpublicaccountant.

Ourexecutiveofficersareappointedbyourboardofdirectorsandserveuntiltheirsuccessorshavebeendulyappointedandqualifiedortheirearlierresignationorremoval.

Compensation Discussion and Analysis

ThisCompensationDiscussionandAnalysisdescribesourexecutivecompensationprogramforournamedexecutiveofficers,whosecompensationissetforthintheSummaryCompensationTableelsewhereinthisproxystatement.

FortheyearendedDecember31,2016,ournamedexecutiveofficerswere:

• MarkA.Casale,ChairmanoftheBoardofDirectors,ChiefExecutiveOfficerandPresident;

• LawrenceE.McAlee,SeniorVicePresidentandChiefFinancialOfficer;

• VijayBhasin,SeniorVicePresidentandChiefRiskOfficer;• JeffR.Cashmer,SeniorVicePresident,BusinessDevelopment,EssentGuaranty,Inc.;and

• MaryLourdesGibbons,SeniorVicePresident,ChiefLegalOfficerandAssistantSecretary

Executive Summary

ThefollowingsummarizesourCompany'spay-for-performanceandkeycompensation-relatedactionsthatwetookin2016anddemonstratesthealignmentofourcompensationprogramwithCompanyperformance.

OverviewofOurPerformancein2016

During2016,wecontinuedtoexecuteonourcorefinancialandbusinessobjectives:

• newinsurancewrittenin2016was$34.9billion,comparedto$26.2billioninnewinsurancewrittenin2015—exceedingourtargetlevelfor2016by$7.9billion,orapproximately30%;

• earningspershareincreasedby40.1%year-over-year,to$2.41persharefortheyearendedDecember31,2016,ascomparedto$1.72persharefor2015—exceedingourtargetlevelfor2016by$0.31pershare;and

• returnonaverageequityfortheyearendedDecember31,2016was18.1%,exceedingour16%targetlevelfortheyear.

Inaddition,during2016,ourBermudareinsurancesubsidiary,EssentReinsuranceLtd.("EssentRe")continuedtoexecutethird-partyreinsurancetransactions.AsofDecember31,2016,EssentReprovidedinsuranceandreinsuranceinconnectionwithGSErisk-sharetransactionscoveringapproximately$384.1millionofriskonmortgageloansinreferencepoolsassociatedwithFreddieMac'sAgencyCreditInsuranceStructure(ACIS)andFannieMae'sCreditInsuranceRiskTransfer(CIRT)programs.EssentRealsocontinuestoreinsure25%ofourUS-basedmortgageinsurancebusiness.

ExecutiveCompensationHighlights

BasedinlargepartontheCompany'scontinuedstrongperformancein2016andconsistentwithouremphasisonperformance-basedcompensation(see"—CompensationPhilosophy"below),theactualincentivecompensationpaidtoournamedexecutiveofficersfor2016wasabovetarget.Thecompensationcommitteeofourboardofdirectors,whichwerefertoasthe"compensationcommittee"orthe"committee"inthisCompensationDiscussionandAnalysis,awardedeachofournamedexecutiveofficersabove-targetincentivecompensationunderourannualbonusplanfor2016,ineachcaserepresenting175%ofhisorherrespectiveannualincentivecompensationtarget.Asdiscussedbelow,effectivefortheyearendedDecember31,2016,alloftheannualbonusesforeachofournamedexecutiveofficersarepayablesolelyincash(ratherthaninacombinationofcashandshares,ashadbeenthecaseinprioryears).

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Thecompensationcommittee,withtheassistanceofitsindependentcompensationconsultant,engagesinanongoingreviewofourexecutivecompensationprogramtodeterminethatitsupportsthecompetitivecompensationphilosophyestablishedbythecommitteeandultimatelyservestheinterestsofourshareholders.For2016,thecommitteefollowedasimilarprocessasithasusedinprioryears:

• Processusedforcompensationdeterminations.Thecommitteereviewedexternalmarketdatapresentedbyitsindependentcompensationconsultanttoaiditinsettingmarket-basedcompensationlevels.ThecommitteealsoconsideredindividualandCompanyperformance,skillsets,experience,leadership,growthpotentialandotherbusinessneedsaswellascurrentbestpracticesanddevelopmentswhenmakingcompensationdecisions.

• Totaltargetcashcompensation.Totaltargetcashcompensationfor2016wastargetedaroundthe25thpercentileofourpeergroup(see"—CompensationProcessesandDecisionsDuring2016"onpage22foradditionalinformation).

• Annualequitycompensation.Asdiscussedbelow,commencingin2016,thecommitteehaselectedtomakeannuallong-termincentiveawardstoourchiefexecutiveofficer(who,priorto2016,hadnotreceivedanylong-termincentiveawardssinceourinitialpublicofferingin2013).In2016,wecontinuedtomakerelativelymodestannuallong-termequityincentivegrantstoourothernamedexecutiveofficers.

BaseduponitsongoingreviewoftheCompany'scompensationprogram,thecompensationcommitteeapprovedinFebruary2016thefollowingchangestothecompensationofcertainofournamedexecutiveofficers:

• annualbasesalariesofeachofMessrs.Casale,BhasinandCashmerwereincreasedto$900,000,$400,000and$400,000(from$700,000,$350,000and$350,000),respectively,effectiveJanuary1,2016;

• thetargetannualbonusawardforMr.Casalewasincreasedto150%ofhisannualbasesalaryfrom125%;

• thetargetannuallongtermequityincentiveawardforMr.Casalewassetat400%ofhisannualbasesalary,with75%ofsuchawardbeingsubjecttoperformance-andtime-basedvestingand25%beingsubjecttotime-basedvestingoverathree-yearperiod;

• thetargetannuallongtermequityincentiveawardsforMessrs.BhasinandCashmerweresetat75%ofhisrespectiveannualbasesalary,with50%ofeachawardbeingsubjecttoperformance-andtime-basedvestingand50%beingsubjecttotime-basedvestingoverathree-yearperiod;and

• commencingwiththeannualbonusespayabletoeachofournamedexecutiveofficersfortheyearendedDecember31,2016,allsuchbonuseswillbepaidincash(ratherthaninacombinationofcashandshares,ashadbeenthecaseinprioryears).

InFebruary2017,thecompensationcommitteemadethefollowingadditionalchangestothecompensationofeachofournamedexecutivesofficersotherthanourchiefexecutiveofficer:

• theannualbasesalariesofeachofMessrs.McAlee,BhasinandCashmerandMs.Gibbonswereincreasedto$400,000,$450,000,$450,000and$400,000(from$350,000,$400,000,$400,000and$350,000),respectively,effectiveJanuary1,2017;and

• thetargetannuallongtermequityincentiveawardsforMessrs.McAlee,BhasinandCashmerandMs.Gibbonsweresetat150%,200%,200%and150%,respectively,ofhisorherannualbasesalary,with50%ofeachawardbeingsubjecttoperformance-andtime-basedvestingand50%beingsubjecttotime-basedvestingoverathree-yearperiod.

OurcompensationcommitteemadetheforegoingchangestothecompensationofournamedexecutiveofficersinordertobetteraligntheircompensationwiththoseholdingsimilarpositionswithinourpeergroupandinrecognitionoftheperformanceoftheCompanyasawholeandthecontributionsofournamedexecutiveofficerstoourgrowth.

AdvisoryVoteonCompensation

Atour2016AnnualGeneralMeetingofShareholders,our“sayonpay”proposalresultedinafavorablevotefromapproximately99%ofthesharescast.Webelievethishighpercentageprimarilywasduetotheappropriatenessoftheoveralldesignofourcompensationprogramsandourregularcommunicationswithourshareholdersandresponsivenesstoshareholderfeedbackobtainedthroughourregularengagementprocess.Afterconsiderationoftheshareholderinputwereceived,whichingeneralsupportedthestructureanddesignofourcompensationplansandprograms,particularlyour

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emphasisonlong-termequityawards,aswellasourstrongperformanceandmanagement’sandthecompensationcommittee’sassessmentofthecontinuingsuccessofourcompensationprograms,thecompensationcommitteedeterminedthattheoveralldesignofourcompensationprogramsduring2016wouldbemaintainedconsistentwithimmediatepastyears.Thecompensationcommitteewillcontinuetoworktoensurethatournamedexecutiveofficers’interestsarealignedwithourshareholders’intereststosupportlong-termvaluecreationandcontinuetostrengthentheCompany.

Consistentwiththeshareholderresolutiononthefrequencyofthevotetoapproveournamedexecutiveofficer’scompensation,ourboardofdirectorshasdeterminedthatwewillholdanon-binding,advisoryvoteonourexecutivecompensationonanannualbasisuntilthenextrequiredvoteonthefrequencyofsuchvotesonourexecutivecompensation.

ExecutiveCompensationBestPractices

Wemaintainstrongcompensationgovernancepracticesthatwebelievesupportourpay-for-performanceprinciplesandalignmanagementincentiveswiththeinterestsofourshareholders.Wehaveadoptedanumberof"bestpractices"withrespecttoexecutivecompensation,including:

What We Do What We Don't Do

üAsignificantportionoftargetannualcompensationforournamedexecutiveofficersis"at-risk"compensation,includingperformance-basedincentiveandlong-termequity-basedawards.

x Nosignificantperquisites.

üMaintainrobustshareownershipguidelines. x Nospecialretirementplansforournamedexecutiveofficers.

üDouble-triggerequityvestinginrespectoftime-basedrestrictedcommonsharesuponachangeincontrol.

x Nore-pricingofstockoptionswithoutshareholderapproval.

üProhibitemployeesfromhedgingthevalueofourcommonshares. x Notaxgross-upsonexcisetaxes.

üRetainanindependentcompensationconsultanttoreviewourexecutivecompensationprogramandpractices.

x Nodividendsordividendequivalentsarepaidinrespectofunearnedperformance-basedrestrictedcommonshares.

üEngagewithourshareholders.

üDesignourexecutivecompensationprogramstomanagebusinessandoperationalriskandtodiscourageshort-termrisktakingattheexpenseoflong-termresults.

CompensationPhilosophy

Ourcompensationphilosophycentersupon:

• attractingandretainingindustry-leadingtalenttomaximizeshareholdervaluecreationoverthelong-termbytargetingcompensationlevelsthatarecompetitivewhenmeasuredagainstothercompanieswithinourindustry;

• emphasizingperformance-basedcompensationthatappropriatelyrewardsourexecutivesfordeliveringfinancial,operationalandstrategicresultsthatmeetorexceedpre-establishedgoals,asreflectedinourannualincentiveprogramaswellasthroughtheuseofrestrictedcommonsharessubjecttoperformance-basedvestinginourlong-termincentiveprogram;

• rewardingindividualperformanceandcontributiontooursuccess;and

• aligningtheinterestsofourexecutiveswiththoseofourshareholdersandthelong-terminterestsoftheCompanythroughequityownershiprequirementsandgrantsofequity-basedawards.

Executive Compensation Participants

CompensationCommittee—RoleandPermittedMembers

Thecompensationcommitteeoverseesthecompensationandbenefitprogramsofourexecutiveofficers.Thecommitteeisresponsibleforensuringthatourcompensationpoliciesandpracticessupportthesuccessfulrecruitment,development,andretentionofexecutivetalentandleadershiprequiredtoachieveourbusinessobjectives.Theresponsibilitiesofthecompensationcommitteeinclude:

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• approvingthegoalsandobjectivesrelatingtoourchiefexecutiveofficer'scompensation,evaluatingtheperformanceofourchiefexecutiveofficerinlightofsuchgoalsandobjectives,andsettingthecompensationofourchiefexecutiveofficerbasedonthisevaluation;

• approvingthesalariesandannualincentiveawardsofourotherexecutiveofficerswhoreportdirectlytoourchiefexecutiveofficer,includingeachofourseniorvicepresidentsaswellasourvicepresidentandchiefaccountingofficer,takingintoaccounttherecommendationofourchiefexecutiveofficerandsuchotherinformationasthecompensationcommitteebelievesappropriate;

• administeringourequityincentiveplans,includingauthorizingrestrictedcommonshares,restrictedcommonshareunits,performanceunits,optionsandotherequity-basedawardsundertheseplans;

• retainingandterminating,initssolediscretion,thirdpartyconsultantstoassistintheevaluationofdirectorandexecutivecompensation(withsoleauthoritytoapproveanysuchconsultant'sfeesandothertermsofengagement);and

• assessingtheappropriatestructureandamountofcompensationforourdirectors.

Thecommitteeismadeupentirelyof"independent"directors,consistentwiththecurrentlistingstandardsoftheNYSE.Eachmemberofthecommitteealsoqualifiesasa"non-employeedirector"asdefinedunderSection16oftheSecuritiesExchangeActof1934andasan"outsidedirector"underSection162(m)oftheInternalRevenueCode.

RoleofManagementandChiefExecutiveOfficerinCompensationDecisions

Thecompensationcommitteestronglybelievesinaligningtheinterestsofourexecutiveswiththoseofourshareholdersthroughanexecutivecompensationprogramdesignedwithinputfromourchiefexecutiveofficerwhoisinregulardialoguewiththecommitteeand,asappropriate,thecommittee'sindependentcompensationconsultant,regardinginternal,external,cultural,businessandmotivationalchallengesandopportunitiesfacingusandourexecutivetalent.Tothatend,ourmanagementteamanalyzes,withassistancefromthecommittee'sindependentcompensationconsultant,trendsandmayrecommendimprovementstothecompensationprograms.

Ourcompensationcommitteeseekstheviewsofourchiefexecutiveofficerinsettingandadministeringourexecutivecompensationprograms.Inparticular,atthebeginningofeachyear,Mr.Casale,theChairmanofourboardofdirectorsandourChiefExecutiveOfficerandPresident,overseesthedevelopmentofcorporateandindividualgoalsforpurposesofannualandlongtermcompensationofeachofournamedexecutiveofficers(otherthanhimself).Thesegoalsarederivedfromourcorporatebusinessplanandincludebothquantitativemeasurementsandqualitativeconsiderationsselectedtoreinforceandenhanceachievementofouroperatingandgrowthobjectives.ThecompensationcommitteereviewsthesegoalswithMr.Casale,adoptsrevisionsitdeemsappropriateanddeterminesthefinalgoalsforcompensation.

Followingtheendofeachyear,Mr.Casalereviewswiththecompensationcommitteetheachievementofcorporate,businessunit/regionalandindividualgoalsandtheperformanceofeachnamedexecutiveofficer(otherthanhimself)andpresentshisrecommendations(withoutanyrecommendationastohisowncompensation)regardingbasesalaryadjustments,annualbonus,andlong-termequityawardsforournamedexecutiveofficers(otherthanhisown)toensurealignmentofshareholderinterestswitheachexecutive'sgoalsaswellastorewardtheexecutivefortheirperformance.Althoughthecommitteereceivesmanagement'sinputwithrespecttoexecutivecompensation,alldecisionsregardingcompensationforournamedexecutiveofficersaremadebythecommittee.Withrespecttothenon-quantitativeperformancemeasuresapplicabletoournamedexecutiveofficers,thecompensationcommitteereliesheavilyontheviewsofMr.Casale(otherthanastohimself).AsourChiefExecutiveOfficer,Mr.Casaleoverseesthedaytodayperformanceoftheothernamedexecutiveofficers.Assuch,ourcompensationcommitteebelievesthatheiswellpositionedtoevaluatetheirperformanceandmakerecommendationsastotheiroverallcompensation.

IndependentCompensationAdvisor

Thecompensationcommitteehasthepowertohireandfireindependentcompensationconsultants,legalcounsel,orfinancialorotheradvisorsasitmaydeemnecessarytoassistitintheperformanceofitsdutiesandresponsibilities,withoutconsultingorobtainingtheapprovalofmanagementoftheCompany.Thecompensationcommitteerecognizestheimportanceofobjective,independentexpertiseandadviceincarryingoutitsresponsibilities.ThecompensationcommitteehasretainedKornFerryHayGroupasitsindependentcompensationconsultantsincebeforeourinitialpublicofferingin2013.KornFerryHayGroupreportsdirectlyto,andisdirectlyaccountableto,thecommittee,andthecommitteehasthesoleauthoritytoretain,terminateandobtaintheadviceofKornFerryHayGroupattheCompany'sexpense.ThecompensationcommitteeselectedKornFerryHayGroupasitsconsultantbecauseofitsexpertiseandreputationandthe

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factthatKornFerryHayGrouphasnoothertiestomanagementthatcouldjeopardizeitsfullyindependentstatus,andhasstronginternalgovernancepoliciesthathelpensurethatitmaintainsitsindependence.ThecommitteepartneredwithKornFerryHayGroupthroughout2016onexecutivecompensationmatters,includingareviewoftheCompany'scompensationprogramswhichresultedinthechangesdiscussedabovetothecompensationofournamedexecutiveofficersfor2016andforearly2017.Thecommittee,withtheassistanceofitsindependentcompensationconsultant,monitorsmarketcompensationpracticesanddevelopments,aswellastheappropriatenessofthevariouscomponentsoftheexecutivepayprogram,asourbusinessprogressesandevolveswithanticipatedgrowthandchangingmarketconditions.

ThecompensationcommitteeannuallyassessestheindependenceofKornFerryHayGrouppursuanttotherulesoftheSECandthelistingstandardsoftheNYSErules.Inperformingtheannualindependenceassessment,thecommitteeconsidersvariousfactorsbearingonadviserindependence,includingthenatureandamountofworkperformedforthecommitteeduringtheyear,thenatureofanyunrelatedservicesperformedfortheCompany,theamountoffeespaidforthoseservicesinrelationtothefirm'stotalrevenues,theadviser'spoliciesandproceduresdesignedtopreventconflictsofinterest,andtheexistenceofanybusinessorpersonalrelationshipthatcouldimpacttheadviser'sindependence.PursuanttoSECandNYSErules,thecommitteeassessedtheindependenceofKornFerryHayGroupanddeterminedthatKornFerryHayGroup'sworkforthecommitteehasnotraisedanyconflictsofinterest.During2016,wepaidKornFerryHayGroupapproximately$43,062infeesforitsservicestothecompensationcommitteerelatingtoexecutiveanddirectorcompensation.

Peer Group Composition

Inmakingcompensationdecisions,thecompensationcommitteeconsideredcompetitivemarketdatapresentedbyitsindependentcompensationconsultant,includingdataderivedfromapeergroupofcompaniesapprovedbythecommittee.

Ourpeergroupconsistsofthefollowing15publiclytradedcompanies,whichthecommitteeinitiallyapprovedinOctober2014andreconfirmedinFebruary2016:

•ArchCapitalGroupLtd. •NationstarMortgageHoldingsInc.•Assurant,Inc. •NMIHoldings,Inc.•EverbankFinancialCorp. •OcwenFinancialCorp.•FidelityNationalFinancialInc. •PHHCorporation•FirstAmericanFinancialCorp. •RadianGroupInc.•GenworthFinancialInc. •StewartInformationServicesCorp.•MarkelCorporation •W.R.BerkleyCorp.•MGICInvestmentCorp.

Thispeergroupwasusedbythecommitteetoevaluateourexecutivecompensation,includingthechangesmadetoourexecutivecompensationin2016andinFebruary2017.Inselectingpeers,thecompensationcommitteeseekstomaintainconsistencyfromyeartoyear,totheextentappropriate,andthecompensationcommittee'sintentionistoupdateitspeergroupeveryotheryear(otherthanforeventspotentiallycallingfortheimmediateeliminationofapeergroupmember,suchasamerger,acquisitionorbankruptcyofapeergroupmember).Thecompensationcommitteeselectedthemembersofthispeergroupbasedontheconsiderationofthesize(measuredbybothrevenueandmarketcapitalization),industry,organizationalcomplexityofeachcompany,thecompaniesthatwecompetewithforexperiencedexecutives,andtherecommendationsofitsindependentcompensationconsultant.

Compensation Objectives and Principles

Thecompensationcommitteebelievesthattheestablishmentandmaintenanceofacompetitiveexecutivecompensationprogramisinthebestinterestsofourshareholders.Consistentwithourcompensationphilosophy,theexecutivecompensationprogramapprovedbythecompensationcommitteeisdesignedtofacilitatetheattractionandretentionoftop-calibertalentandtoaligntheinterestsofourexecutiveswiththoseofourshareholders.Forourfiscalyear2016:

• targetcashcompensationofournamedexecutiveofficerswasdeterminedtotargetgenerallythe25thpercentileofourpeergroup(see"—PeerGroupComposition"above);and

• annualincentiveopportunitiesforournamedexecutiveofficersasapercentageofbasesalaryweredeterminedtotargetthe50thpercentile(median)relativetoourpeergroup.

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Compensation Processes and Decisions During 2016

In2016,ourcompensationcommitteemadethefollowingchangestothecompensationofcertainofournamedexecutiveofficersinordertobetteraligntheircompensationwiththoseholdingsimilarpositionswithinourpeergroupandinrecognitionoftheperformanceoftheCompanyasawholeandthecontributionsofthosenamedexecutiveofficerstoourgrowth:

• Basesalariesandtargetannualincentiveopportunities(asapercentageofbasesalary)werereviewed.Asaresultofthatreview,theannualbasesalariesofeachofMessrs.Casale,BhasinandCashmerwereincreasedto$900,000$400,000and$400,000(from$700,000,$350,000and$350,000),respectively.ThecompensationcommitteeapprovedanincreaseinthetargetannualbonuspayabletoMr.Casaleto150%ofhisannualbasesalaryfrom125%.ThecompensationcommitteeelectedtomaintainthebasesalariesofeachofourothernamedexecutiveofficersatthelevelsetinconnectionwithourinitialpublicofferinginNovember2013,continuingtoreflecttotaltargetcashcompensationpositionedaroundthe25thpercentileofourpeergroup(see"—PeerGroupComposition"above).Thecommitteedeterminedthatsettingbasesalariesatthe25thpercentilewasappropriategivenourcurrentsizeincomparisontoothercompaniesinourpeergroup(see"—CompensationObjectivesandPrinciples"above).

• Thecompensationcommitteeexaminedtotaltargetcashcompensation(whichconsistsofanexecutive'sbasesalaryplustheportionofhisorhertargetannualincentivethatpriorto2016hadbeenmandatorilydeferredintorestrictedcommonshares).Effectivefor2016,thecommitteedecidedtodiscontinuetherequirementthat25%ofeachexecutive'searnedannualincentiveawardbedeferredintorestrictedcommonshares(subjecttoathree-yearvestingschedule),andaccordinglyallannualbonusespaidtoournamedexecutiveofficersfor2016andafterwillbepaidsolelyincash.

• Inordertomaintainthecompetitivenessourcompensationprogramsforcertainofournamedexecutiveofficersrelativetosimilarexecutivesemployedinourpeergroup,thecommitteemadeadjustmentstothelong-termincentiveawardstoeachofMessrs.Casale,BhasinandCashmereffectiveJanuary1,2016:

ThetargetannuallongtermequityincentiveawardforMr.Casalewassetat400%ofhisannualbasesalary,with75%ofsuchawardbeingsubjecttoperformance-andtime-basedvestingand25%beingsubjecttotime-basedvestingoverathree-yearperiod;and

ThetargetannuallongtermequityincentiveawardsforMessrs.BhasinandCashmerwassetat75%ofhisannualbasesalary,with50%ofeachawardbeingsubjecttoperformance-andtime-basedvestingand50%beingsubjecttotime-basedvestingoverathree-yearperiod.

Asdiscussedaboveunder"—ExecutiveSummary—ExecutiveCompensationHighlights,"inFebruary2017,thecompensationcommitteeapprovedadditionalchangestothecompensationofournamedexecutiveofficersotherthanourchiefexecutiveofficercommencingin2017,againinordertobetteraligntheircompensationwiththoseholdingsimilarpositionswithinourpeergroupandinrecognitionoftheCompany'soverallperformanceandthecontributionsofthosenamedexecutiveofficerstoourgrowth.

Elements of Compensation

Inaccordancewithouroverallcompensationphilosophyandprogram,executivesareprovidedwithamixofbasesalary,short-termincentives,long-termincentives,andretirementandwelfarebenefits.Ourcompensationphilosophyplacesagreaterportionofthepotentialcompensationforeachnamedexecutiveofficer"atrisk"suchthatcompensationwillvarybasedonperformance.Thefollowingtabledescribeskeyelementsofcompensationandthephilosophybehindprovidingforeachsuchelement:

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Compensation Element Description Philosophy Behind

Providing Compensation ElementAnnual Compensation:AnnualBaseSalary •Fixedcomponentofannualcashcompensation

thatreflectsexpertiseandscopeofresponsibilities

•Attractandretainkeytalent•Providefinancialcertaintyandstability•Recognitionofindividualperformance

Performance-BasedAnnualIncentive •CashbonusplanbasedonperformancerelativetoCompanyandindividualobjectives.

•Incentivizeandmotivateournamedexecutiveofficerstomeetorexceedourpre-establishedannualperformancegoals

•Attractandretainkeytalent•Rewardteamsuccess•Alignnamedexecutiveofficers'andshareholders'interests

•DiscouragesexcessiverisktakingLong-Term Compensation:Long-TermIncentiveProgram •Along-termincentiveprogramusingtime-vested

andperformance-basedrestrictedcommonshareawards,withperformance-vestedawardssubjecttoamulti-yearperformanceperiod

•Fosterafocusonlong-termCompanyperformanceandlong-termsuccess

•Attractandretainkeytalent•Alignnamedexecutiveofficers'andshareholders'interests

•DiscouragesexcessiverisktakingOther Executive Benefits:RetirementPrograms •Participationina401(k)definedcontribution

plan,includingamatchingcontributionof100%ofaparticipant'scontributionupto4%oftheparticipant'scompensation

•Attractandretainkeytalent•Provideincomesecurityforretirement

Perquisites •Financialplanningservices•Diagnosticwellnessexaminations

•Assistwithfinancialplanningneedssoexecutivescanbetterfocusonkeyresponsibilities

•Allowexecutivestofocusongeneralhealthandwellbeing

OtherBenefits •Medical,dental,vision,lifeinsurance,shortandlong-termdisability,andotherbenefits

•Attractandretainkeytalent•Provideforsafetyandwellnessofexecutive•Providecompetitivebenefitstoemployees

Thecompensationcommitteereviewsallelementsthatcollectivelycontributetototalcompensationratherthananyspecificformulatodeterminetheallocationbetweenperformance-basedandfixedcompensationinmakingitsdecisionseachyear.Thisprocessensuresthatjudgmentsmadeinrespectofanyindividualelementofcompensationaretakeninthecontextofthetotalcompensationthatanindividualreceives,particularlythebalancebetweenbasesalary,annualincentivesandlong-termincentives.

BaseSalary

Basesalariesareanimportantelementofcompensationandprovideourexecutiveofficerswithafixedrateofcashcompensationthatis"non-variable"duringtherelevantperiod.Indeterminingbasepay,ourcompensationcommitteeconsiderstheexecutive'sresponsibilities,growthpotential,individualperformanceagainstpredeterminedobjectives,basesalarycompetitivenessascomparedtotheexternalmarket,andouroperatingperformance.

Whilethecompensationcommitteetargetedbasesalaryfor2016atthe25thpercentileofourpeergroup(see"—PeerGroupComposition"above),actualbasesalarymaybeaboveorbelowthatpercentilebasedonthecommittee'sreviewoftheunderlyingscopeofanamedexecutiveofficer'sresponsibilities,individualperformanceandexperience,internalpayequity,andretentionconcerns.Thecompensationcommitteestrivestomaintainbasesalariesatlevelsthatwillattracttoptalent,whilelinkingasignificantportionofanexecutive'stotalcompensationopportunitytooursuccess.

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Theannualbasesalariesforournamedexecutiveofficersfor2016(ascomparedtobasesalariesin2015)were:

Name 2015 Base Salary 2016 Base Salary

MarkA.Casale $700,000 $900,000LawrenceE.McAlee $350,000 $350,000VijayBhasin $350,000 $400,000JeffR.Cashmer $350,000 $400,000MaryLourdesGibbons $350,000 $350,000

AnnualIncentiveCompensation

InconnectionwithourinitialpublicofferinginNovember2013,ourboardofdirectorsapproved,andourshareholdersadopted,theEssentGroupLtd.AnnualIncentivePlan,whichwerefertoasthe"AnnualPlan."In2016,incentiveawardsweremadeunderourannualleadershipbonusprogrampursuanttotheAnnualPlan.TheAnnualPlanisintendedtoadvancetheinterestsoftheCompanyanditsshareholdersby:

• providingthoseemployeesdesignatedbythecompensationcommittee,whichmayincludeournamedexecutiveofficers,seniorvicepresidents,otherseniorexecutives,andotheremployees,incentivecompensationtiedtopre-establishedperformancegoals;

• identifyingandrewardingsuperiorperformance;

• providingcompetitivecompensationtoattract,motivate,andretainoutstandingemployeeswhoachievesuperiorperformanceforus;and

• fosteringaccountabilityandteamworkthroughouttheCompany.

InaccordancewiththetermsoftheAnnualPlan,thecompensationcommitteeestablishedourfiscalyear(whichcoincideswiththecalendaryear)astheperformanceperiod,designatedthoseexecutiveseligibletoparticipate,setthelevelofpotentialawardsanddeterminedthefinancialtargetsorotherperformancemeasureswhich,ifattained,resultinpaymentofawardsunderourannualleadershipbonusprogramfor2016(the"performancegoals").

PerformanceTargetsforPastYear/PerformancePeriod

Thetablebelowsetsfortheachnamedexecutiveofficer's2016threshold,targetandmaximumannualincentiveopportunitiesunderourannualleadershipbonusprogram,expressedasapercentageofbasesalary.

2016 Annual Incentive OpportunityExpressed as a Percentage of Base Salary in 2016

Name Threshold Target Maximum

MarkA.Casale 112.5% 150% 262.5%LawrenceE.McAlee 75% 100% 175%VijayBhasin 75% 100% 175%JeffR.Cashmer 75% 100% 175%MaryLourdesGibbons 75% 100% 175%

Theweightingofcorporateandindividualperformancegoalsforannualincentivecompensationopportunitiesvariesamongournamedexecutiveofficers.Mr.Casale'sannualawardisbasedentirelyontheachievementofcorporategoals,andtheannualawardsofourothernamedexecutiveofficersarebased50%onachievementofeachofcorporateandindividualgoals.Webelievethatthesegoalsinconcerthelpensurethatexecutivesarefocusedoncreatinglong-termvalueforourshareholdersbyeffectivelygrowinginaprofitablemannerwithanemphasisonthelong-termprospectsoftheCompany.

Withrespecttocorporategoals,theannualincentiveopportunityfor2016wasdesignedtofocusournamedexecutiveofficersonbothquantitativeandqualitativefinancialandstrategicgoals:newinsurancewritten(35%weighting);earningspershare(25%weighting);averagereturnonequity(20%weighting);andsubjectivecorporate-levelstrategicaccomplishmentsdeterminedandevaluatedbythecompensationcommittee(20%).Managementandthecompensationcommitteeviewthesubstanceandnatureofthesubjectivecorporate-levelstrategicaccomplishmentstobeproprietaryandsensitive.

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Thefollowingtablesummarizesthecorporateperformancegoalsfor2016applicabletoournamedexecutiveofficers.

2016 Annual Incentive Plan Performance Goals

Goal Threshold Target Maximum ActualNewinsurancewritten $24.0billion $27billion $30.0billion $34.9billionEarningspershare $1.85 $2.10 $2.25 $2.41

ReturnonaverageequityfortheyearendedDecember31,2016 14% 16% >17% 18.1%Strategicaccomplishments asdeterminedbytheCompensationCommittee 100%accomplished

Indeterminingtheannualincentiveawardforeachofournamedexecutiveofficers(otherthanMr.Casale),thecompensationcommitteeconsideredtheachievementofthefollowingindividualperformancegoals:

Name Individual Performance Goals

LawrenceE.McAlee •Finalizerevolvingcreditfacility•Evaluatepotentialchangesinoffshoreaffiliatequotasharereinsurancearrangement•EvaluateandimplementautomationandefficiencyprojectswithintheCompany'sfinanceoperations•Evaluateexpensemanagementopportunities•EvaluatestrategicopportunitiesfortheCompany•ManagetheCompany'scapitalpositionandinvestmentportfolio

VijayBhasin •Evaluaterisk/profitabilitystrategies•Evaluatepotentialefficienciesinunderwriting,post-closingandqualityassuranceprocesses•Implementefficiencymeasurestosupportunderwriting,post-closingandQAprocesses•SupporttheCompany'snewproductdevelopmentefforts•Developeconomiccommentaryandhousingmarketanalysisforpotentialdistributiontocustomers•Refineriskandeconomiccapitalmodels

JeffR.Cashmer •Newinsurancewrittenofatleast$27billionin2016•Variousthresholdsregardingthenumberof"active"customersduring2016•SupportgrowthoftheCompany'sdirectmarketingplatform•DevelopcareerplanningprocessfortheCompany'saccountrepresentatives•Supportbusinessdevelopmenteffortswithvariouscustomers

MaryLourdesGibbons

•Finalizerevolvingcreditfacility•ProvidelegalsupporttoassistinstrategiestogrowtheCompany'sbusiness•ImplementHRISsystem•Introduceexecutiveeducationprogramsforhighpotentialemployees•Negotiatenewand/orrenewalleasesfortheCompany'soffices•Achievemilestonedeliverablesonstrategicmarketingplan

Basedontheachievementofcorporateand,asapplicable,individualperformancegoals,thecompensationcommitteeapprovedannualincentiveawardsinthefollowingamountsforeachofournamedexecutiveofficers.Asdiscussedabove,commencingin2016,100%ofthebonusearnedbyeachofournamedexecutiveofficersispaidincash.

Name

Target AnnualIncentive Bonus -

2016

AnnualIncentive Bonus

Award - 2016 % of Target

MarkA.Casale $ 1,350,000 $ 2,362,500 175%LawrenceE.McAlee $ 350,000 $ 612,500 175%VijayBhasin $ 400,000 $ 700,000 175%JeffR.Cashmer $ 400,000 $ 700,000 175%MaryLourdesGibbons $ 350,000 $ 612,500 175%

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Long-TermEquityIncentiveCompensation

Throughourlong-termequityincentiveprogram,weprovideourseniorexecutives,includingeachofournamedexecutiveofficers,theopportunitytoearnequityawardswhichareinpartcontingentontheattainmentofmulti-yearperformancegoals.Ourlong-termequityincentiveawardsprovidebalancedequityincentivesthatrewardexecutivefocusondeliveringbothfinancialresultsandlong-termgrowth.Equity-basedcompensationisusedinordertofacilitateretention,providelong-termmotivationandfocusourexecutivesonincreasingshareholdervalue.Inaddition,webelievethatourlong-termequityincentivecompensationprogrambalancestherisksassociatedwithshort-termincentivecompensationthatmayrewardbehaviorwithshort-termbenefitsthatmaybelessbeneficialoverthelong-term.Thetargetlong-termequityincentiveawardsaredesignedtoachieve,whencombinedwiththeexecutive'sbasesalaryandtargetannualincentivecompensationopportunity,totalcompensationatapproximatelythe50thpercentileofcomparablepositionsatpeergroupcompanies(see"—PeerGroupComposition"above).

Asdiscussedabove,commencingin2016,thecompensationcommitteeapprovedchangesinthetargetannuallongtermequityincentiveawardstoMessrsCasale,BhasinandCashmer.For2016,thetargetannuallongtermequityincentiveawardforMr.Casalewassetat400%ofhisannualbasesalary,with75%ofsuchawardbeingsubjecttoperformance-andtime-basedvestingand25%beingsubjecttotime-basedvestingoverathree-yearperiod,andthetargetannuallongtermequityincentiveawardsforMessrs.BhasinandCashmerweresetat75%ofhisrespectiveannualbasesalary,with50%ofeachawardbeingsubjecttoperformance-andtime-basedvestingand50%beingsubjecttotime-basedvestingoverathree-yearperiod.Thecommitteeelectedtokeepthetargetannuallongtermequityincentiveawardsforourothernamedexecutiveofficersfor2016at50%ofhisorherrespectiveannualbasesalaryintheformoftime-vestedandtime-andperformance-vestedrestrictedcommonshares.

Thefollowingtablesetsforththeannuallongtermequityincentiveawardsgrantedtoournamedexecutiveofficersin2016:

Name

RestrictedShares

Subject toTime-Based

Vesting

RestrictedShares

Subject toTime- and

Performance-Based Vesting

TotalRestricted

SharesGranted

MarkA.Casale 52,911 158,731 211,642LawrenceE.McAlee 5,145 5,145 10,290VijayBhasin 8,819 8,819 17,638JeffR.Cashmer 8,819 8,819 17,638MaryLourdesGibbons 5,145 5,145 10,290

Thetime-vestedrestrictedcommonsharesvestinequalannualinstallmentsduringthethree-yearperiodcommencingonMarch1,2016,subjecttotheexecutive'scontinuousemploymentthrougheachsuchvestingdate.Theperformance-vestedsharesbecomeearnedupontheCompany'sachievementofthecompoundedannualbookvaluepergrowthpercentagesetoutinthefollowingtable(withstraightlineinterpolationbetweentherespectivelevels)duringthethree-yearperformanceperiodcommencingonJanuary1,2016,andanyearnedshareswillvestonMarch1,2019,subjecttotheexecutive'scontinuousemploymentthroughsuchdate:

Performance Level

CompoundedAnnual Book

Value PerShare Growth

RestrictedCommon

SharesEarned(*)

Threshold <13% —% 13% 25% 14% 50% 15% 75%Maximum >16% 100%

_______________________________________________________________________________

(*) Intheeventthatthecompoundedannualbookvaluepersharegrowthfallsbetweentheperformancelevelsshownabove,therestrictedcommonsharesearnedwillbedeterminedonastraightlinebasisbetweentherespectivelevels.

OtherElementsofCompensation

Asdescribedbelow,wealsoprovidecertainretirementbenefitsandwelfarebenefitstoournamedexecutiveofficers.

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RetirementBenefits

Oureligibleemployees,includingeachofournamedexecutiveofficers,areeligibletoparticipateinatax-qualified401(k)retirementplan.Inadditiontobeingabletomakecontributions(uptotaxlawlimits),participantsareeligibleforaCompanymatchingcontributionof100%ontheircontributionsupto4%oftheireligiblecompensationeffectiveJanuary1,2017(priortoJanuary1,2017,our401(k)matchingcontributionwas50%oncontributionsupto4%ofeligiblecompensation).Thematchingcontributionisprovidedonthesamebasistoournamedexecutiveofficersasallotheremployeeswhoparticipateintheplan.Theamountscontributedtothe401(k)planonbehalfofeachofthenamedexecutiveofficersarelistedintheSummaryCompensationTableelsewhereinthisproxystatement.

Perquisites

Wedonothaveaformalperquisitepolicyanddonotemphasizespecialperquisitesforourexecutiveofficers,althoughthecompensationcommitteeperiodicallyreviewsperquisitesforournamedexecutiveofficers.Rather,therearecertainspecificperquisiteswehaveagreedtocompensateparticularexecutivesbasedontheirspecificsituations.Inparticular,eachofournamedexecutiveofficersisentitledtoparticipateintheCompany'sfinancialcounselinganddiagnosticwellnessprogramsasineffectfromtimetotime.

MedicalandOtherWelfareBenefits

Ournamedexecutiveofficers,alongwithallofourotheremployees,areeligibletoparticipateinmedical,dental,life,accidentaldeathanddisability,long-termdisability,short-termdisability,andotheremployeebenefits.Thepurposeoftheseplansistoprovidecompetitivebenefitstoouremployeesandtohelptoattractandretainemployeesbyofferingacomprehensivepackageofbenefits.

Termination, Severance and Change in Control Benefits

Theemploymentagreementswitheachofournamedexecutiveofficersprovideseverancepaymentsandbenefitsuponcertainqualifyingterminationsofemployment.Inaddition,uponcertainqualifyingterminationsfollowing,orinsomecircumstancesupontheoccurrenceof,achangeincontrol,ournamedexecutiveofficersmaybeentitledtoreceivecertainvestingoftheiroutstandingrestrictedcommonshareawardspursuanttothetermsoftheirrespectiveemploymentagreementorthetermsofourequityincentiveplans.

Basedontheinputofitsindependentcompensationconsultant,thecompensationcommitteedeterminedthatthesearrangementsareappropriateandthatthepaymentsandbenefitsprovidedforunderthesearrangementsuponcertainqualifyingterminationsofemploymentorinconnectionwithachangeincontrolareconsistentwithmarketpracticeandessentialinattractingandretainingkeytalent.Inaddition,thechangeincontrolprovisionsaresignificanttoensurethatwehavethecontinuedattentionanddedicationofourexecutivesduringcircumstancesthatcouldresultinachangeincontrol.Theseprovisionsarefurtherdescribedbeginningonpage36("—PotentialPaymentsandBenefitsuponTerminationorChangeinControl").

Impact of FASB ASC Topic 718

Theaccountingstandardsapplicabletothevariousformsoflong-termincentiveplansunderFASBASCTopic718isonefactorthatthecompensationcommitteeandtheCompanyconsiderinthedesignoflong-termequityincentiveprograms.Otherfactorsincludethelinktotheperformancethateachvehicleprovides,thedegreeofupsideleverageanddownsideriskinherentineachvehicle,theimpactondilutionandoverhangthatthevehicleshave,andtherolethateachvehiclehasintheattraction,retention,andmotivationofourexecutiveandkeyemployeetalent.TheCompanyanditsexternalfinancialadvisorsconsiderFASBASCTopic718expensetoensurethatitisreasonable,butexpensewillnotbethemostimportantfactorinmakingdecisionsaboutawardsunderlong-termincentiveplans.

Tax Considerations and Deductibility of Compensation

Section162(m)oftheInternalRevenueCodegenerallydisallowspubliccompaniesataxdeductionforcompensationinexcessof$1millionpaidtotheirchiefexecutiveofficersandthethreeothermosthighlycompensatedexecutiveofficers(otherthanthechieffinancialofficer)unlesscertainperformanceandotherrequirementsaremet.Ourintentgenerallyistodesignandadministerexecutivecompensationprogramsinamannerthatwillpreservethedeductibilityofcompensationpaidtoourexecutiveofficers,andwebelievethatasubstantialportionofourcurrentexecutivecompensationprogramsatisfiestherequirementsforexemptionfromthe$1milliondeductionlimitation.WehavealsointendedtocomplywithapplicablelawsinordertorelyontransitionrulesunderSection162(m)fornewlypubliccompanies;totheextentsuchtransitionrulesapplytous,the$1milliondeductionlimitationwouldnotbeapplicable.ThetransitionperiodapplicabletousforSection162(m)willexpireasofthedateoftheAnnualMeeting.Inanyevent,thecompensationcommitteereserves

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theflexibilitytostructurecompensationprogramsasitdetermines,initsbusinessjudgment,tobeappropriateforus,regardlessofwhetheranyofsuchcompensationultimatelymaybedeductible.

Share Ownership Guidelines

Bothournon-executivedirectorsaswellasourseniorexecutives(whichwedefineasourchiefexecutiveofficerandeachofhisdirectreportsandincludesallofournamedexecutiveofficers)arerequiredtomaintaincertainownershiplevelsofcommonsharesduringtheirservice.

Asofthelaterof(i)November2019,whichisfiveyearsaftertheadoptionofourdirectorandseniorexecutiveshareownershipguidelines,and(ii)fiveyearsafterthedateonwhichadirectorisappointedtoourboardoraseniorexecutiveisappointedtoapositionsubjecttotheownershipguidelines,eachdirectorandseniorexecutiveisrequiredtoownaminimumnumberofourcommonshareswithanaggregatevalueequaltothefollowing(orsuchlesseramountasthedirectororseniorexecutivemayhavebeengrantedtodate):

Position Minimum Value of Common Shares Held

Director FivetimesannualcashcompensationChiefExecutiveOfficer SixtimesannualbasesalaryOtherSeniorExecutives Twotimesannualbasesalary

Furthermore,eachdirectorandseniorexecutivemustholdatleast50%ofthecommonsharesthatweissuetothatindividualuntilheorshesatisfiestheapplicableshareownershipthreshold,lessanysharesusedtosatisfytaxobligationsarisingfromreceivingcommonsharesfromus.

Forthepurposesofourshareownershipguidelines,restrictedcommonsharesandrestrictedcommonshareunitssubjecttotime-basedvestingaretreatedassharesheldbyadirectororseniorexecutive.However,unvestedperformance-basedrestrictedcommonsharesandrestrictedcommonsharesunitsarenottreatedasbeingowneduntiltheyareearnedandvested.

Ournon-employeedirectorsandexecutiveofficersarealsosubjecttoourinsidertradingpolicy,whichprohibitstransactionsinoursecuritiesoutsideof"window"periods(exceptpursuanttopreviouslyadopted,approvedRule10b5-1plans),includingshortsalesonourshares,orthepurchaseorsaleofoptions,puts,calls,straddles,equityswaps,orotherderivativesecuritiesthataredirectlylinkedtoourequity.

Ourcompensationcommitteeretainsdiscretiontowaivenon-compliancewithourshareownershipguidelinesinlightofanindividualdirector'sparticularfactsandcircumstancesfromtimetotime.

AsofDecember31,2016,ourchiefexecutiveofficerandeachofourseniorexecutiveshavemettheapplicableshareownershipguidelines.Ourboardmembersareexpectedtosatisfytheirshareownershipguidelinesthroughtheirannualequitycompensationgrantsinrespectoftheirboardservice.

No Hedging Policy

Membersofourboardofdirectorsandourexecutivesareprohibitedfromhedgingtheirownershiporoffsettinganydeclineinthemarketvalueofourcommonshares,includingbytradinginpublicly-tradedoptions,puts,callsorotherderivativeinstrumentsrelatedtoourcommonshares.

Compensation Committee Report

WehavereviewedanddiscussedtheCompensationDiscussionandAnalysiswithmanagement.Basedonourreviewanddiscussionwithmanagement,thecompensationcommitteerecommendedtoourboardofdirectorsthattheCompensationDiscussionandAnalysisbeincludedinthisproxystatement.

Compensation Committee of the Board of DirectorsRoyJ.Kasmar,ChairmanAllanLevineWilliamSpiegel

Theforegoingreportofthecompensationcommitteedoesnotconstitutesolicitingmaterialandshallnotbedeemedfiled,incorporatedbyreferenceintoorapartofanyotherfilingbytheCompany(includinganyfuturefilings)undertheSecuritiesActof1933,asamended,ortheExchangeAct,excepttotheextenttheCompanyspecificallyincorporatessuchreportbyreferencetherein.

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Summary Compensation Table

Thefollowingtablesetsforthinformationregardingthecompensationawardedto,earnedby,orpaidtoournamedexecutiveofficersinfiscalyears2016,2015and2014.

Name and Principal Position Year Salary($) Bonus

($) Stock

Awards(1)($)

OptionAwards

($)

Non-EquityIncentive Plan

Compensation(2)($)

NonqualifiedDeferred

CompensationEarnings

($) All Other

Compensation(3)($) Total

($)

Mark A. Casale 2016 900,000 — 3,950,045 — 2,362,500 — 30,122 7,242,667

Chairmanofthe 2015 700,000 — 350,023 — 1,050,000 — 13,495 2,113,518

BoardofDirectors, 2014 700,000 229,687 279,264 — 820,313 — 32,420 2,061,684

ChiefExecutiveOfficer

andPresident

Lawrence E. McAlee 2016 350,000 — 306,298 — 612,500 — 29,679 1,298,477

SeniorVicePresident 2015 350,000 — 306,263 — 393,750 — 42,224 1,092,237

andChiefFinancialOfficer 2014 350,000 65,625 293,777 — 328,125 — 9,204 1,046,731

Vijay Bhasin 2016 400,000 — 431,288 — 700,000 — 41,093 1,572,381

SeniorVicePresident 2015 350,000 — 306,263 — 393,750 — 47,192 1,097,205

andChiefRiskOfficer 2014 350,000 65,625 293,777 — 328,125 — 34,463 1,071,990

Jeff R. Cashmer (4) 2016 400,000 — 431,288 — 700,000 — 11,670 1,542,958

SeniorVicePresident andChiefBusinessOfficer

Mary Lourdes Gibbons 2016 350,000 — 306,298 — 612,500 — 12,188 1,280,986

SeniorVicePresident, 2015 350,000 — 306,263 — 393,750 — 11,674 1,061,687

ChiefLegalOfficerand 2014 350,000 65,625 293,777 — 328,125 — 5,200 1,042,727

AssistantSecretary _______________________________________________________________________________(1) TheamountsreportedinthiscolumnrepresentstheaggregategrantdatefairvalueoftheshareawardscomputedinaccordancewithFASBASCTopic718,disregardingforthispurpose

theestimateofforfeituresrelatedtoservice-basedvestingconditions.Thevalueofrestrictedcommonsharesthataresubjecttobothtime-andperformance-basedvestingconditionshasbeencomputedassumingtheprobableoutcomeoftheperformanceconditionsonthedateofgrant.Foradditionalinformation,includingadiscussionoftheassumptionsusedtocalculatethesevalues,see"—OutstandingEquityAwardsatFiscalYear-End"belowandNote10toourconsolidatedfinancialstatementsincludedinourAnnualReportonForm10-KfortheyearendedDecember31,2016.

(2) TheamountsreportedinthiscolumnrepresentthecashportionoftheannualbonusesearnedbyournamedexecutiveofficerspursuanttoourannualleadershipbonusprogrampursuanttoourAnnualPlan.ForadditionalinformationregardingourannualleadershipbonusprogramandAnnualPlan,see"—NarrativetoSummaryCompensationTable—AnnualLeadershipBonusPlan."

(3) Theamountsreportedinthiscolumnfor2016include:(a)financialplanningservicesfeesof$24,822,$24,379,$8,045and$6,888paidonbehalfofeachofMessrs.Casale,McAleeandCashmerandMs.Gibbons,respectively;(b)matching401(k)contributionsof$5,300onbehalfofeachofMessrs.Casale,McAleeandBhasinandMs.Gibbonsand$3,625onbehalfofMr.Cashmer;and(c)reimbursementof$35,793intravelandhousingexpensesincurredbyMr.Bhasin.

(4) Mr.Cashmerwasnotanamedexecutiveofficerspriorto2016.InaccordancewithSECregulations,onlycompensationinformationstartinginthefiscalyearinwhichanindividualbecameanamedexecutiveofficerisreportedintheSummaryCompensationTable.

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Grants of Plan Based Awards Table

ThefollowingtablesetsforthinformationregardinggrantsofplanbasedawardstoournamedexecutiveofficersfortheyearendedDecember31,2016.

Estimated FuturePayouts

Under EquityIncentive

Plan Awards(2)

Estimated FuturePayouts

Under Non-Equity IncentivePlan Awards(1)

All OtherStock

Awards:Number ofShares ofStock orUnits (#)

Grant DateFair Value

of Stockand Option

Awards($)(3)

GrantDate

Threshold($)

Target($)

Maximum($)

Threshold(#)

Maximum(#)

Mark A. Casale — 1,012,500 1,350,000 2,362,500 — — — — 2/10/2016 (4) — — — — — 20,577 350,015 2/10/2016 (5) — — — — — 52,911 900,016 2/10/2016 — — — 39,683 158,731 — 2,700,014

Lawrence E. McAlee — 262,500 350,000 612,500 — — — — 2/10/2016 (4) — — — — — 7,177 131,266 2/10/2016 (5) — — — — — 5,145 87,516 2/10/2016 — — — 1,286 5,145 — 87,516

Vijay Bhasin — 300,000 400,000 700,000 — — — — 2/10/2016 (4) — — — — — 7,177 131,266 2/10/2016 (5) — — — — — 8,819 150,011 2/10/2016 — — — 2,205 8,819 — 150,011

Jeff R. Cashmer — 300,000 400,000 700,000 — — — 2/10/2016 (4) — — — — — 7,177 131,266 2/10/2016 (5) — — — — — 8,819 150,011 2/10/2016 — — — 2,205 8,819 — 150,011

Mary Lourdes Gibbons — 262,500 350,000 612,500 — — — — 2/10/2016 (4) — — — — — 7,177 131,266 2/10/2016 (5) — — — — — 5,145 87,516 2/10/2016 — — — 1,286 5,145 — 87,516_______________________________________________________________________________(1) Representsthethreshold,targetandmaximumvalueofannualincentiveawardsthatcouldhavebeenearnedbyournamedexecutiveofficersunderourannualleadershipbonusprogram

pursuanttoourAnnualPlanfortheyearendedDecember31,2016.ForadiscussionofthetermsofourannualleadershipbonusprogramandAnnualPlanandtheamountsearnedthereunderbythenamedexecutiveofficersfor2016,see"—CompensationDiscussionandAnalysis—ElementsofCompensation—AnnualIncentiveCompensation"above.

(2) Therestrictedcommonsharesareeligibletobecomeearnedassetforthinthetablebelowbaseduponachievementofourcompoundedannualbookvaluepersharegrowthpercentageduringthethree-yearperformanceperiodcommencingJanuary1,2016.AllrestrictedcommonsharesthatareearnedwillvestonMarch1,2019,subjecttotheexecutive'scontinuousemploymentthroughtheapplicabledate.

Performance Level

CompoundedAnnual Book

Value PerShare Growth

RestrictedCommon

SharesEarned(*)

<13% —%

Threshold 13% 25% 14% 50% 15% 75%

Maximum >16% 100%_______________________________________________________________________________(*) Intheeventthatthecompoundedannualbookvaluepersharegrowthfallsbetweentheperformancelevelsshownabove,therestrictedcommonsharesearnedwillbedeterminedona

straightlinebasisbetweentherespectivelevels.

30

(3) Theamountsreportedinthiscolumnrepresenttheaggregategrantdatefairvalueoftheshareawardsgrantedin2016,computedinaccordancewithFASBASCTopic718,disregardingforthispurposetheestimateofforfeituresrelatedtoservice-basedvestingconditions.Thevalueofrestrictedcommonsharesthataresubjecttobothtime-andperformance-basedvestingconditionshasbeencomputedassumingtheprobableoutcomeoftheperformanceconditionsonthedateofgrant.Foradditionalinformation,includingadiscussionoftheassumptionsusedtocalculatethesevalues,see"—OutstandingEquityAwardsatFiscalYear-End"belowandNote10toourconsolidatedfinancialstatementsincludedinourAnnualReportonForm10-KfortheyearendedDecember31,2016.

(4) Representstime-basedvestingrestrictedcommonsharesgrantedtoeachofournamedexecutiveofficersinFebruary2016for2015performanceunderourannualleadershipbonusprogrampursuanttoourAnnualPlan,whichvestinthreeequalannualinstallmentsoneachofMarch1,2017,2018and2019,subjecttotheexecutive'scontinuousemploymentthrougheachsuchdate.

(5) Representstime-basedvestingrestrictedcommonsharesgrantedtoeachofournamedexecutiveofficersunderourlong-termequityincentiveprogram,whichvestinthreeequalannualinstallmentsoneachofMarch1,2017,2018and2019,subjecttotheexecutive'scontinuousemploymentthrougheachsuchdate.

Narrative to Summary Compensation Table and Grants of Plan-Based Awards Table

Executive Employment Agreements

Certainofthecompensationawardedto,earnedby,orpaidtoournamedexecutiveofficersreflectedintheSummaryCompensationTableandtheGrantsofPlan-BasedAwardsTableaboveisprovidedpursuanttoemploymentarrangementsenteredintowithusand/orouraffiliates.InconnectionwithourinitialpublicofferinginNovember2013,weand/orouraffiliatesenteredintoanewemploymentagreementwitheachofMessrs.Casale,McAlee,BhasinandCashmerandMs.Gibbons,whichreplacedandsupersededeachoftheexecutive'sprioremploymentagreementswithusand/orouraffiliates.

ThecurrentemploymentagreementwitheachofMessrs.Casale,McAlee,BhasinandCashmerandMs.GibbonshasaninitialtermwhichexpiredonNovember5,2016andautomaticallyextendsforsuccessiveone-yearperiods,unlessatleast120dayspriortotheexpirationofthethencurrenttermeitherpartytotheagreementprovidestheotherpartywithwrittennoticeofitsintentionnottorenewtheagreement.

Underthetermsofhisorherrespectiveemploymentagreement,Mr.Casaleisentitledtoanannualbasesalary,currently$900,000,andMessrs.McAlee,BhasinandCashmerandMs.Gibbonsareeachentitledtoannualbasesalaries,currently$350,000,$400,000,$400,000and$350,000,respectively.

Eachofournamedexecutiveofficersarealsoeligibletoreceiveanannualbonusbasedupontheachievementofcorporateandindividualperformanceobjectives.Mr.Casaleisentitledtoatargetannualbonus,currentlyequalto150%ofhisannualbasesalary,whileeachofMessrs.McAlee,BhasinandCashmerandMs.Gibbonsareentitledtoatargetannualbonus,currentlyequalto100%ofhisorherrespectiveannualbasesalary.Foradiscussionofourannualbonusplan,see"—CompensationDiscussionandAnalysis—ElementsofCompensation—AnnualIncentiveCompensation"aboveand"—AnnualLeadershipBonusProgram"below.

Eachofournamedexecutiveofficersisalsoeligibletoparticipateinourlong-termincentiveprogram.Pursuanttotheiremploymentagreements,eachofournamedexecutiveofficersisentitledtoatargetopportunityunderourlong-termincentiveprogram.See"—CompensationDiscussionandAnalysis—ElementsofCompensation—Long-TermEquityIncentiveCompensation"aboveforadditionalinformation.

Ournamedexecutiveofficersarealsoentitledtoparticipateinhealth,insurance,retirementandotherbenefitsonnolessfavorabletermstosimilarlysituatedemployees.

Foradiscussionoftheseverancepayandotherbenefitstobeprovidedinconnectionwithaterminationofemploymentand/orachangeincontrolundertheseemploymentarrangements,see"—PotentialPaymentsuponTerminationorChangeinControl"below.

Annual Leadership Bonus Program

Allemployeeswiththetitleofseniorvicepresidentandabovewhoreportdirectlytoourchiefexecutiveofficer,andcertainotherdesignatedemployees,areeligibletoparticipateinourannualleadershipbonusprogrampursuanttotheAnnualPlan.Ourannualleadershipbonusprogrampaysforperformance,whichmeansthatbothweandtheexecutivemustmeetminimumstatedgoalsfortheexecutivetoqualifyforabonus.Theweightingofcorporateandindividualgoalsvariesbylevelofemployee.Mr.Casale'sannualbonusisbasedentirelyontheachievementofcorporategoals.Theweightingoftheannualbonusis50%individualgoalsand50%corporategoalsforeachofMessrs.BhasinandMcAleeandMs.Gibbonsand75%individualgoalsand25%corporategoalsforMr.Cashmer.

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Bonuspaymentsundertheprogramoccurassoonaspracticablefollowingtheendofthefiscalyear,andinnoeventlaterthanMarch15thofthefollowingyear,subjecttotheexecutive'scontinuousemploymentthroughsuchpaymentdate.Effectivefor2016,bonusesarepaidincash.

Pursuanttotheemploymentagreementswithournamedexecutiveofficers,nolessthan50%ofanybonuswillbepaidincash.Asdiscussedaboveunder"—CompensationDiscussionandAnalysis-ExecutiveCompensationHighlights",inFebruary2016ourcompensationcommitteedeterminedthat,commencingwithannualbonusespaidfortheyearendedDecember31,2016,allofsuchannualbonusespayabletoourseniorexecutiveofficers,includingeachofournamedexecutiveofficers,willbepaidsolelyincash.Foradditionalinformationregardingthevestingofoutstandingrestrictedcommonsharesheldbyournamedexecutiveofficersonaterminationofemployment,see"—PotentialPaymentuponTerminationorChangeinControl"below.

Inconnectionwithourinitialpublicoffering,ourboardofdirectorsadopted,andourshareholdersapproved,theEssentGroupLtd.AnnualIncentivePlan,ortheAnnualIncentivePlan.Commencingin2014,annualcashincentiveawardshavebeenmadepursuanttotheAnnualIncentivePlan.ForasummaryoftheAnnualIncentivePlan,see"—CompensationDiscussionandAnalysis—ElementsofCompensation—IncentiveCompensationPlans"aboveand"Proposal4:ApprovalofEssentGroupLtd.AnnualIncentivePlan"below.

Outstanding Equity Awards at Fiscal Year-End

ThefollowingtablesetsforththeoutstandingequityawardsofourcommonsharesheldbyeachofournamedexecutiveofficersasofDecember31,2016.

Stock Awards

Name Grant Date

Number ofShares orUnits thathave notVested

(#)

MarketValue ofShares orUnits thathave notVested(1)

($)

EquityIncentive Plan

Awards:Number ofUnearned

Shares, Unitsor Other

Rights thathave notVested

(#)

EquityIncentive Plan

Awards:Market or

Payout Valueof UnearnedShares, Units

or OtherRights that

have notVested(1)

($)

Mark A. Casale 2/10/2016 (2) 20,577 666,077 — —

2/10/2016 (3) 52,911 1,712,729 — —

2/10/2016 (3) — — 158,731 5,138,122

2/10/2015 (2) 9,540 308,810 — —

11/5/2013 (4) 156,250 5,057,813 — —

11/5/2013 (4) 937,500(7) 30,346,875 — —

Lawrence E. McAlee 2/10/2016 (2) 7,717 249,799 — —

2/10/2016 (3) 5,145 166,544 — —

2/10/2016 (3) — — 5,145 166,544

2/10/2015 (2) 3,577 115,787 — —

2/10/2015 (5) 2,385 77,202 — —

2/10/2015 (5) — — 3,577 115,787

2/14/2014 (2) 1,593 51,565 — —

2/14/2014 (6) 1,174 38,002 — —

2/14/2014 (6) 3,521(7) 113,975 — —

11/5/2013 (4) 18,750 606,938 — —

11/5/2013 (4) 37,500(7) 1,213,875 — —

32

Vijay Bhasin 2/10/2016 (2) 7,717 249,799 — —

2/10/2016 (3) 8,819 285,471 — —

2/10/2016 (3) — — 8,819 285,471

2/10/2015 (2) 3,577 115,787 — —

2/10/2015 (5) 2,385 77,202 — —

2/10/2015 (5) — — 3,577 115,787

2/14/2014 (2) 1,593 51,565 — —

2/14/2014 (6) 1,174 38,002 — —

2/14/2014 (6) 3,521(7) 113,975 — —

11/5/2013 (4) 18,750 606,938 — —

11/5/2013 (4) 37,500(7) 1,213,875 — —

Jeff R. Cashmer 2/10/2016 (2) 7,717 249,799 — —

2/10/2016 (3) 8,819 285,471 — —

2/10/2016 (3) — — 8,819 285,471

2/10/2015 (2) 3,577 115,787 — —

2/10/2015 (5) 2,385 77,202 — —

2/10/2015 (5) — — 3,577 115,787

2/14/2014 (2) 1,593 51,565 — —

2/14/2014 (6) 1,174 38,002 — —

2/14/2014 (6) 3,521(7) 113,975 — —

11/5/2013 (4) 18,750 606,938 — —

11/5/2013 (4) 37,500(7) 1,213,875 — —

Mary Lourdes Gibbons 2/10/2016 (2) 7,717 249,799 — —

2/10/2016 (3) 5,145 166,544 — —

2/10/2016 (3) — — 5,145 166,544

2/10/2015 (2) 3,577 115,787 — —

2/10/2015 (5) 2,385 77,202 — —

2/10/2015 (5) — — 3,577 115,787

2/14/2014 (2) 1,593 51,565 — —

2/14/2014 (6) 1,174 38,002 — —

2/14/2014 (6) 3,521(7) 113,975 — —

11/5/2013 (4) 18,750 606,938 — —

11/5/2013 (4) 37,500(7) 1,213,875 — —____________________________________________________________________(1) ThedollaramountsshownwerecalculatedbasedontheclosingpriceofourcommonsharesontheNYSEonDecember30,2016of$32.37.

(2) Representsrestrictedcommonsharesgrantedaspartofthenamedexecutiveofficer'sannualincentivebonus.Theserestrictedcommonsharesaresubjecttosolelytime-basedvestingandvestinthreeequalannualinstallmentscommencinginJanuaryfollowingtherespectivegrantdate,withrespecttograntsin2014,andinMarch,withrespecttograntsin2015and2016.

(3) OnFebruary10,2016,eachofournamedexecutiveofficersweregrantedrestrictedcommonshareawards.Aportionoftherestrictedcommonsharesgrantedaresubjecttosolelytime-basedvesting.ThesesharesvestinthreeequalannualinstallmentsoneachofMarch1,2017,March1,2018andMarch1,2019,subjecttotheexecutive'scontinuousemploymentthrougheachsuchvestingdate.Aportionoftherestrictedcommonsharesgrantedaresubjecttotime-andperformance-basedvesting.Theserestrictedcommonsharesareeligibletobecomeearned,assetforthinthetablebelow,baseduponachievementofourcompoundedannualbookvaluepersharegrowthpercentageduringthethree-yearperformanceperiodcommencingJanuary1,2016.AnyshareswhichbecomeearnedwillvestonMarch1,2019,subjecttotheexecutive'scontinuousemploymentthroughsuchdate:

33

Performance Level

CompoundedAnnual Book

Value PerShare Growth

RestrictedCommon

SharesEarned(*)

Threshold <13% —%

13% 25%

14% 50%

15% 75%

Maximum >16% 100%_______________________________________________________________________________(*) Intheeventthatthecompoundedannualbookvaluepersharegrowthfallsbetweentheperformancelevelsshownabove,therestrictedcommonsharesearnedwillbe

determinedonastraightlinebasisbetweentherespectivelevels.

Thenumberandmarketvalueoftheunearnedrestrictedcommonsharessubjecttotime-andperformance-basedvestingincludedinthetableaboveassumesmaximumperformancehasbeenachieved.

(4) InconnectionwithourinitialpublicofferinginNovember2013,restrictedcommonsharesweregrantedtomembersofseniormanagement,includingeachofournamedexecutiveofficers.Aportionoftheserestrictedcommonsharesgrantedaresubjecttosolelytime-basedvesting.Theremainingunvestedportionofthesetime-basedvestingrestrictedcommonsharesoutstandingonDecember31,2016arescheduledtovestonJanuary1,2017andJanuary1,2018,subjecttotheexecutive'scontinuousemploymentthrougheachsuchvestingdate.Aportionoftheserestrictedcommonsharesgrantedaresubjecttotime-andperformance-basedvesting.Theserestrictedcommonsharesareeligibletobecomeearned,assetforthinthetablebelow,baseduponachievementofourcompoundedannualbookvaluepersharegrowthpercentageduringthethree-yearperformanceperiodcommencingJanuary1,2014.Anyshareswhichbecomeearnedwillvestontheone-yearanniversaryoftheachievementofcompoundedannualbookvaluepersharegrowthasfollows,subjecttotheexecutive'scontinuousemploymentthroughsuchdate:

Performance Level

CompoundedAnnual Book

Value PerShare Growth

RestrictedCommon

SharesEarned(*)

Threshold <11% —%

11% 10%

12% 36%

13% 61%

14% 87%

Maximum >15% 100%_______________________________________________________________________________(*) Intheeventthatthecompoundedannualbookvaluepersharegrowthfallsbetweentheperformancelevelsshownabove,therestrictedcommonsharesearnedwillbe

determinedonastraightlinebasisbetweentherespectivelevels.

Asaresultofourabove-targetperformancefortheperformanceperiod,thenumberandmarketvalueoftheunearnedrestrictedcommonsharessubjecttotime-andperformance-basedvestingreportedinthe“EquityIncentivePlanAwards:MarketValueofUnearnedSharesThatHaveNotVested”columnassumesmaximumperformancehasbeenachievedfortheperformanceperiod,inaccordancewithSECrules.OnFebruary8,2017,ourboardofdirectorscertifiedthatthemaximumcompoundedannualbookvaluepersharegrowthforthethree-yearperformanceperiodcommencingJanuary1,2014hadbeenachieved.

(5) OnFebruary10,2015,eachofMessrs.McAlee,BhasinandCashmerandMs.Gibbonsweregrantedrestrictedcommonshareawards.Aportionoftherestrictedcommonsharesgrantedaresubjecttosolelytime-basedvesting.ThesesharesvestinthreeequalannualinstallmentsoneachofMarch1,2016,March1,2017andMarch1,2018,subjecttotheexecutive'scontinuousemploymentthrougheachsuchvestingdate.Aportionoftherestrictedcommonsharesgrantedaresubjecttotime-andperformance-basedvesting.Theserestrictedcommonsharesareeligibletobecomeearned,assetforthinthetablebelow,baseduponachievementofourcompoundedannualbookvaluepersharegrowthpercentageduringthethree-yearperformanceperiodcommencingJanuary1,2015.AnyshareswhichbecomeearnedwillvestonMarch1,2018,subjecttotheexecutive'scontinuousemploymentthroughsuchdate:

34

Performance Level

CompoundedAnnual Book

Value PerShare Growth

RestrictedCommon

SharesEarned(*)

Threshold <11% —%

11% 10%

12% 36%

13% 61%

14% 87%

Maximum >15% 100%_______________________________________________________________________________(*) Intheeventthatthecompoundedannualbookvaluepersharegrowthfallsbetweentheperformancelevelsshownabove,therestrictedcommonsharesearnedwillbe

determinedonastraightlinebasisbetweentherespectivelevels.

Thenumberandmarketvalueoftheunearnedrestrictedcommonsharessubjecttotime-andperformance-basedvestingincludedinthetableaboveassumesmaximumperformancehasbeenachieved.

(6) OnFebruary14,2014,eachofMessrs.McAlee,BhasinandCashmerandMs.Gibbonsweregrantedrestrictedcommonshareawards.Aportionoftherestrictedcommonsharesgrantedaresubjecttosolelytime-basedvesting.TheremainingunvestedportionsoftheseawardsasofDecember31,2016willvestonMarch1,2017,subjecttotheexecutive'scontinuousemploymentthrougheachsuchvestingdate.Aportionoftherestrictedcommonsharesgrantedaresubjecttotime-andperformance-basedvesting.Theserestrictedcommonsharesareeligibletobecomeearned,assetforthinthetablebelow,baseduponachievementofourcompoundedannualbookvaluepersharegrowthpercentageduringthethree-yearperformanceperiodcommencingJanuary1,2014.AnyshareswhichbecomeearnedwillvestonMarch1,2017,subjecttotheexecutive'scontinuousemploymentthroughsuchdate:

Performance Level

CompoundedAnnual Book

Value PerShare Growth

RestrictedCommon

SharesEarned(*)

Threshold <11% —%

11% 10%

12% 36%

13% 61%

14% 87%

Maximum >15% 100%_______________________________________________________________________________(*) Intheeventthatthecompoundedannualbookvaluepersharegrowthfallsbetweentheperformancelevelsshownabove,therestrictedcommonsharesearnedwillbe

determinedonastraightlinebasisbetweentherespectivelevels.

Asaresultofourabove-targetperformancefortheperformanceperiod,thenumberandmarketvalueoftheunearnedrestrictedcommonsharessubjecttotime-andperformance-basedvestingreportedinthe“EquityIncentivePlanAwards:MarketValueofUnearnedSharesThatHaveNotVested”columnassumesmaximumperformancehasbeenachievedfortheperformanceperiod,inaccordancewithSECrules.OnFebruary8,2017,ourboardofdirectorscertifiedthatthemaximumcompoundedannualbookvaluepersharegrowthforthethree-yearperformanceperiodcommencingJanuary1,2014hadbeenachieved.

(7) Becausethethree-yearperformanceperiodcommencingJanuary1,2014iscomplete,thenumberofsharesearnedisreportedinthe“NumberofSharesorUnitsofStockThatHaveNotVested”columnbasedontheactualachievementofcompoundedbookvaluepersharegrowth.

35

Option Exercises and Stock Vested

ThefollowingtablesetsforthcertaininformationregardingtheexerciseofstockoptionsandsharesacquireduponvestingbyournamedexecutiveofficersduringtheyearendedDecember31,2016.

Option Awards Stock Awards

Name

Number ofShares Acquired

on Exercise(#)

Value Realizedon Exercise

($)

Number ofShares Acquired

on Vesting(#)

Value Realizedon Vesting(1)

($)

MarkA.Casale — — 82,895 1,805,318LawrenceE.McAlee — — 21,444 462,516VijayBhasin — — 23,340 504,370JeffR.Cashmer — — 21,972 474,171MaryLourdesGibbons — — 21,444 462,516_______________________________________________________________________________(1) Representstheaggregatemarketvalueofthesharesonthevestingdate.

Pension Benefits

TheCompanydoesnotcurrentlyhaveinplaceanydefinedbenefitpensionplansorotherbenefitplansprovidingspecifiedretirementpaymentsandbenefitsforemployees.

Non-Qualified Deferred Compensation

TheCompanydoesnotcurrentlyhaveinplaceanynon-qualifieddefinedcontributionorothernon-qualifieddeferredcompensationplansforthebenefitofemployees.

Potential Payments upon Termination or Change in Control

Wedonotmaintainanyseveranceorchangeincontrolplans.However,pursuanttothetermsoftheiremploymentagreementsandcertainoftheirrestrictedcommonshareawardagreements,ournamedexecutiveofficersareeligibletoreceiveseveranceandotherbenefitsinthecaseofcertainqualifyingterminationsofemploymentorinconnectionwithachangeincontrol.

EmploymentAgreements.Undertheemploymentagreementswitheachofournamedexecutiveofficers,certainpaymentswillbemadeandcertainbenefitswillbeprovidedinconnectionwithcertainterminationsofemployment.

Uponanamedexecutiveofficer'sterminationofemploymentbytheCompanywithout"cause"(asdefinedintheapplicableemploymentagreement)orbythenamedexecutiveofficerfor"goodreason"(asdefinedintheapplicableemploymentagreement),inadditiontoanyaccruedorearnedbutunpaidamounts,subjecttotheexecutionofageneralreleaseofclaimsinfavoroftheCompanyanditsaffiliates,thenamedexecutiveofficerwillbeentitledtoreceive:

• alumpsumpaymentequalto2times,withrespecttoMr.Casale,and1.5times,withrespecttoMessrs.McAlee,BhasinandCashmerandMs.Gibbons,thesumofhisorherthencurrentannualbasesalaryandtargetannualbonusforthefiscalyearinwhichthedateofterminationoccurs,payableassoonasreasonablypracticablefollowingthedateoftermination;

• hisorherannualbonusfortheyearinwhichtheterminationdateoccurs,basedonachievementofapplicableperformancegoals,proratedbasedonthenumberofdayswhichelapsedintheapplicablefiscalyearthroughthedateoftermination,payableatsuchtimeannualbonusesarepaidtootherseniorexecutiveofficersoftheCompany;

• subjecttotheexecutive'selectionofCOBRAcontinuationcoverage,providedtheexecutivedoesnotbecomeeligibletoreceivecomparablehealthbenefitsthroughanewemployer,amonthlycashpaymentequaltothemonthlyCOBRApremiumcostforcurrentcoverageforthe24-monthperiod,withrespecttoMr.Casale,andthe18-monthperiod,withrespecttoMessrs.McAlee,BhasinandCashmerandMs.Gibbons,followingthedateoftermination;

• outplacementservicesatalevelcommensuratewiththeexecutive'spositioninaccordancewithourpracticesasineffectfromtimetotime;

36

• vestingofanyequitygrantandotherlong-termincentiveawardpreviouslygrantedtotheexecutivethatissubjecttoservice-basedvestingorservicerequirements,thatwouldhavevestedduringthe24-monthperiod,forMr.Casale,andthe18-monthperiod,withrespecttoourothernamedexecutiveofficers,followingthedateoftermination;provided,thatifsuchterminationfollowsa"changeofcontrol"(asdefinedintheapplicableemploymentagreement)suchawardswillbecomefullyvestedonthedateofterminationoftheexecutive'semployment;and

• vestingofanyperformance-basedequitygrantandotherlong-termincentiveawardthathasnotbeenearnedasofthedateoftermination,whichwillremainoutstandingthroughthecompletionoftheapplicableperformanceperiodandwillbeearnedonaproratedbasis(basedontheperiodfromthecommencementoftheapplicableperformanceperiodthroughthedateoftermination)basedontheactualperformancefortheapplicableperformanceperiod.

Uponanamedexecutiveofficer'sterminationofemploymentduetodeathorasaresultof"disability"(asdefinedintheapplicableemploymentagreement),inadditiontoanyaccruedorearnedbutunpaidamounts,subjecttotheexecutionofageneralreleaseofclaimsinfavoroftheCompanyanditsaffiliates,thenamedexecutiveofficer(orhisorherestate)willbeentitledtoreceive:

• vestingofanyequitygrantandotherlong-termincentiveawardpreviouslygrantedtotheexecutivethatissubjecttoservice-basedorservicerequirements;and

• vestingofanyperformance-basedequitygrantandotherlong-termincentiveawardthathasnotbeenearnedasofthedateoftermination,whichwillremainoutstandingthroughthecompletionoftheapplicableperformanceperiodandwillbeearnedonaproratedbasis(basedontheperiodfromthecommencementoftheapplicableperformanceperiodthroughthedateoftermination)basedontheactualperformancefortheapplicableperformanceperiod.

Eachnamedexecutiveofficer'semploymentagreementsubjectshimorhertocustomaryconfidentialityrestrictionsthatapplyduringhisorheremploymentandindefinitelythereafter,andprovidesthatduringhisorheremployment,andforaperiodof18months,withrespecttoMessrs.McAlee,BhasinandCashmerandMs.Gibbons,and24months,withrespecttoMr.Casale,thereafter,eachexecutivewillbesubjecttonon-competitionandnon-interferencecovenants.Generally,thenon-competitioncovenantpreventstheexecutivefromengaginginmortgageinsuranceorreinsuranceoranybusinessactivitiesinwhichweoranyofouraffiliatesareengaged(orhascommittedplanstoengage)duringexecutive'semployment,andthenon-interferencecovenantpreventstheexecutivefromsolicitingorhiringouremployeesorthoseofouraffiliatesandfromsolicitingorinducinganyofourcustomers,suppliers,licensees,orotherbusinessrelationsorthoseofouraffiliates,toceasedoingbusinesswithus,orreducetheamountofbusinessconductedwith,usorouraffiliates,orinanymannerinterferingwithourrelationshipwithsuchparties.

PlanAwards.Theawardagreementsgoverningthetime-andperformance-basedrestrictedcommonsharegrantsissuedtoournamedexecutiveofficerspriorto2016providethatifachangeincontroleventoccurs:

• onorfollowingthecompletionoftheapplicableperformanceperiod,allofthenamedexecutiveofficer'sthen-unvestedsharesearnedundertheawardwillimmediatelyvest;and

• priortothecompletionoftheapplicableperformanceperiod:

• thedateofsuchchangeincontrolshallbethelastdayofsuchperformanceperiod;

• thenumberofshareswhichbecomeearnedundertheawardwillbedeterminedbasedontheapplicableperformancemetricmeasuredthroughthedateofsuchchangeincontrol;

• thenumberofsharesdeterminedbymultiplyingthenumberofsharesearnedbyafraction,thenumeratorofwhichisthenumberofdaysintheshortenedperformanceperiodandthedenominatorofwhichis1,095,willbecomeimmediatelyvestedasofthedateofsuchchangeincontrol,withanyremainingunearnedorunvestedsharesundertheawardbeingimmediatelyforfeitedfornoconsideration.

Commencingin2016,awardagreementsgoverningthetime-andperformance-basedrestrictedcommonsharegrantsissuedtoournamedexecutiveofficersprovidethatifachangeincontroleventoccurs:

• onorfollowingthecompletionoftheapplicableperformanceperiod,allofthenamedexecutiveofficer'sthen-unvestedsharesearnedundertheawardwillimmediatelyvest;and

37

• priortothecompletionoftheapplicableperformanceperiod:

• thenumberofshareswhichbecomeearnedundertheawardwillbebasedonthe"target"levelperformancemetrictowhichtheawardissubject;

• iftheacquiringentityinthechangeincontroleventdoesnotassumetheaward,thensuchearnedshareswillbecomeimmediatelyvested;or• iftheacquiringentityinthechangeincontroleventdoesassumetheaward,thensuchearnedsharesshallbeconvertedintoanumberoftime-

basedrestrictedsharesoftheacquiringentitythathaveafairmarketvalueequaltosuchearnedsharesasofthedateofthechangeincontrol(providedthattheacquiringentity'ssharesarepubliclytraded),withsuchsharesvestingontheearlierof(i)thelastdayoftheperformanceperiodtowhichtheoriginalperformance-basedawardwassubject,and(ii)theterminationoftheexecutive'semploymentwiththeacquiringcompanywithoutcausebytheacquiringcompanyorforgoodreasonbytheawardee.

Thefollowingtablesetsforthforeachnamedexecutiveofficeranestimateofthepaymentsandbenefitsthatwouldbepaidundereachelementofourcompensationprogramassumingthatsuchnamedexecutiveofficer'semploymentterminatedorthechangeincontroloccurredonDecember31,2016usingaclosingsharepriceof$32.37onDecember30,2016.TheamountsinthefollowingtablesarecalculatedpursuanttoSECrulesandarenotintendedtoreflectactualpaymentsthatmaybemade.Actualpaymentsthatmaybemadewillbebasedonthedatesandcircumstancesoftheapplicableevent.

Name

CashSeverance

Payment(1)($)

BonusPayment(1)

($)

HealthInsuranceCoverage

($)

OutplacementServices

($)

AcceleratedTime-BasedRestrictedCommon

Shares($)

AcceleratedPerformance-

BasedRestrictedCommon

Shares($)

Total($)

Mark A. Casale Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcause 4,500,000 1,350,000 44,068 30,000 6,952,364 (2) 32,042,455 (4) 44,918,887Changeincontrolbutnotermination — — — — — 35,484,997 (5)(6) 35,484,997Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcausefollowingachangeincontrol 4,500,000 1,350,000 44,068 30,000 7,745,429 (3) 35,484,997 (5) 49,154,494Terminationfordisabilityorupondeath — — — — 7,745,429 (3) 32,042,455 (4) 39,787,884

Lawrence E. McAlee Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcause 1,050,000 350,000 25,325 20,000 1,166,971 (2) 1,460,387 (4) 4,072,682Changeincontrolbutnotermination — — — — — 1,571,971 (5)(6) 1,460,387Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcausefollowingachangeincontrol 1,050,000 350,000 25,325 20,000 1,305,838 (3) 1,571,971 (5) 4,323,134Terminationfordisabilityorupondeath — — — — 1,305,838 (3) 1,460,387 (4) 2,766,225

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Name

CashSeverance

Payment(1)($)

BonusPayment(1)

($)

HealthInsuranceCoverage

($)

OutplacementServices

($)

AcceleratedTime-BasedRestrictedCommon

Shares($)

AcceleratedPerformance-

BasedRestrictedCommon

Shares($)

Total($)

Vijay Bhasin Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcause 1,200,000 400,000 — 20,000 1,246,277 (2) 1,499,633 (4) 4,365,910Changeincontrolbutnotermination — — — — — 1,690,898 (5)(6) 1,690,898Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcausefollowingachangeincontrol 1,200,000 400,000 — 20,000 1,424,766 (3) 1,690,898 (5) 4,735,664Terminationfordisabilityorupondeath — — — — 1,424,766 (3) 1,499,633 (4) 2,924,398

Jeff R. Cashmer Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcause 1,200,000 400,000 33,050 20,000 1,246,277 (2) 1,499,633 (4) 4,398,961Changeincontrolbutnotermination — — — — — 1,690,898 (5)(6) 1,690,898Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcausefollowingachangeincontrol 1,200,000 400,000 33,050 20,000 1,424,766 (3) 1,690,898 (5) 4,768,715Terminationfordisabilityorupondeath — — — — 1,424,766 (3) 1,499,633 (4) 2,924,398

Mary Lourdes Gibbons Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcause 1,050,000 350,000 33,051 20,000 1,166,971 (2) 1,460,387 (4) 4,080,409Changeincontrolbutnotermination — — — — — 1,571,971 (5)(6) 1,571,971Voluntaryterminationforgoodreasonorinvoluntaryterminationwithoutcausefollowingachangeincontrol 1,050,000 350,000 33,051 20,000 1,305,838 (3) 1,571,971 (5) 4,330,860Terminationfordisabilityorupondeath — — — — 1,305,838 (3) 1,460,387 (4) 2,766,225

_______________________________________________________________________________(1) Basedoneachnamedexecutiveofficer'sbonusunderourannualleadershipbonusprogramatthetargetlevel,whichis150%ofMr.Casale'sbasesalaryfor2016of$900,000,and100%

ofthebasesalaryofeachofMessrs.McAlee,BhasinandCashmerandMs.Gibbonsfor2016of$350,000,$400,000,$400,000and$350,000,respectively.

(2) Representsthevalueofacceleratingthevestingofunvestedtime-basedrestrictedcommonshareawards.Thisvalueisdeterminedforeachofournamedexecutiveofficersbymultiplying(i)thenumberofunvestedtime-basedrestrictedcommonsharesheldbyeachofournamedexecutiveofficersthatwouldhavevestedduringthe18-month(or,forMr.Casale,24-month)periodfollowingthedateoftermination,by(ii)$32.37,theclosingpriceofourcommonsharesontheNYSEonDecember30,2016.

(3) Representsthevalueofacceleratingthevestingofunvestedtime-basedrestrictedcommonshareawards.Thisvalueisdeterminedforeachofournamedexecutiveofficersbymultiplying(i)thenumberofunvestedtime-basedrestrictedcommonsharesheldbyeachofournamedexecutiveofficersonDecember31,2016,by(ii)$32.37,theclosingpriceofourcommonsharesontheNYSEonDecember30,2016.

(4) Representsthevalueofacceleratingthevestingoftime-andperformance-basedrestrictedcommonshareawards.Thisvalueisdeterminedforeachofournamedexecutiveofficersbymultiplying:(i)thenumberofunvestedtime-andperformance-basedrestrictedcommonsharesheldbyeachofournamedexecutiveofficersoutstandingonDecember31,2016(which,forsharesthathavenotyetbeenearned,assumesthemaximumnumberofsharesthatmaybeearned),by(y)$32.37,theclosingpriceofourcommonsharesontheNYSEonDecember30,2016,by(iii)afractionequalto

39

(a)thenumberofdayswhichelapsedduringtheapplicableperformanceperiodpriortothedateofterminationorthechangeincontrol,asapplicableby(ii)1,095.

(5) Representsthevalueofacceleratingthevestingoftime-andperformance-basedrestrictedcommonshareawards.Fortime-andperformance-basedrestrictedcommonshareawardsissuedpriorto2016,thisvalueisdeterminedforeachofournamedexecutiveofficersbymultiplying:(i)thenumberofunvestedtime-andperformance-basedrestrictedcommonsharesheldbyeachofournamedexecutiveofficersoutstandingonDecember31,2016(which,forsharesthathavenotyetbeenearned,assumesthemaximumnumberofsharesthatmaybeearned),by(y)$32.37,theclosingpriceofourcommonsharesontheNYSEonDecember30,2016,by(iii)afractionequalto(a)thenumberofdayswhichelapsedduringtheapplicableperformanceperiodpriortothedateofterminationorthechangeincontrol,asapplicableby(ii)1,095.Fortime-andperformance-basedrestrictedcommonshareawardsissuedin2016,thisvalueisdeterminedforeachofournamedexecutiveofficersbymultiplying(i)thenumberofunvestedtime-andperformance-basedrestrictedcommonsharesheldbyeachofournamedexecutiveofficersoutstandingonDecember31,2016(which,forsharesthathavenotyetbeenearned,assumesthemaximumnumberofsharesthatmaybeearned),by(ii)$32.37,theclosingpriceofourcommonsharesontheNYSEonDecember30,2016.

(6) Fortime-andperformance-basedrestrictedcommonshareawardsissuedin2016,assumesthattheacquiringentityinthechangeincontroltransactiondoesnotassumeanytime-andperformance-basedrestrictedcommonshareawardsoutstandingpriortothetransaction,resultinginthemaximumnumberofsharesthatmaybeearnedundersuchawardsbecomingvesteduponsuchchangeincontrol.

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CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

Wehaveadoptedarelatedpersontransactionspolicypursuanttowhichourexecutiveofficers,directorsandprincipalshareholders,includingtheirimmediatefamilymembers,arenotpermittedtoenterintoarelatedpersontransactionwithuswithouttheconsentofourauditcommittee.Subjecttocertainexceptions,anyrequestforustoenterintoatransactionwithanexecutiveofficer,director,principalshareholderoranyofsuchpersons'immediatefamilymembers,inwhichtheamountinvolvedexceeds$120,000,willberequiredtobepresentedtoourauditcommitteeforreview,considerationandapproval.Allofourdirectors,executiveofficersandemployeesarerequiredtoreporttoourauditcommitteeanysuchrelatedpersontransaction.Inapprovingorrejectingtheproposedtransaction,ourauditcommitteetakesintoaccount,amongotherfactorsitdeemsappropriate,whethertheproposedrelatedpersontransactionisontermsnolessfavorablethantermsgenerallyavailabletoanunaffiliatedthirdpartyunderthesameorsimilarcircumstances,theextentoftherelatedperson'sinterestinthetransactionand,ifapplicable,theimpactonadirector'sindependence.Underthepolicy,ifweshoulddiscoverrelatedpersontransactionsthathavenotbeenapproved,ourauditcommitteewillbenotifiedandwilldeterminetheappropriateaction,includingratification,rescissionoramendmentofthetransaction.

Otherthancompensationagreementsandotherarrangementswhicharedescribedinthe"CorporateGovernance—DirectorCompensation"and"ExecutiveOfficersandExecutiveCompensation"sectionsofthisproxystatementandthetransactionsdescribedbelow,duringtheyearendedDecember31,2016therewasnot,andthereisnotcurrentlyproposed,anytransactionorseriesoftransactionstowhichwewereorwillbeapartyinwhichtheamountinvolvedexceededorwillexceed$120,000andinwhichanyofourdirectors,nomineesfordirector,executiveofficers,holdersofmorethanfivepercentofanyclassofourvotingsecuritiesoranymemberoftheimmediatefamilyoftheforegoingpersonshadorwillhaveadirectorindirectmaterialinterest.

Webelievethatallofthetransactionsdescribedbelowareontermsnolessfavorabletousthanwecouldhaveobtainedfromunaffiliatedthirdparties.

RegistrationRightsAgreement

OnNovember11,2014,weenteredintoanamendedandrestatedregistrationrightsagreementwithEssentIntermediate,L.P.,ValorinaLLC,TheGoldmanSachsGroup,Inc.,AldermanburyInvestmentsLimited,PPFHoldingsIILtd.,RenaissanceReVenturesLtd.,CommonwealthAnnuityandLifeReinsuranceCo.Ltd.,MarkA.Casale,andcertainothershareholdersidentifiedtherein,whichamendedthepreviousagreementpursuanttowhichcertainshareholdershaveregistrationrightswithrespecttotheirregistrableshares(asdefinedintheregistrationrightsagreement)assetforthbelow.

DemandRights.Certainshareholdershavetherighttodemandregistrationofalloraportionofsuchshareholder'sregistrableshares.Anyshareholderproposingtodistributetheirregistrablesharesthroughanunderwrittenofferingshallenterintoanunderwritingagreementincustomaryformwithanunderwriterorunderwritersthatismutuallyagreeabletousandtheshareholdersholdingamajority-in-interestoftheregistrablesharesthattheshareholdersrequestedforinclusioninsuchregistration.

ShelfRegistration.CertainshareholdershavetherighttodemandanunderwrittenofferingbeeffectedunderaregistrationstatementonFormS-3.

PiggybackRights.Certainshareholdershavetherighttoelecttohaveincludedinanydemandregistrationalloraportionofsuchshareholder'sshares.Intheeventthatweproposetoregisteranyofoursharespursuanttoaregistrationstatement,certainshareholdershavetherighttoelecttohaveincludedinsuchregistrationalloraportionofsuchshareholder'sshares.

BlackoutPeriods.Wehavetheability,subjecttocertainconditions,todelaythefilingofaregistrationstatementorsuspendtheuseofaprospectusinconnectionwithanunderwrittendemandrequestforareasonableperiodoftimewhichshallnotexceedtwooccasionsor60daysinany12-monthperiod.

RegistrationLimitations.Anyregistrationconductedpursuanttotheregistrationrightsagreementissubjecttocustomarycutbackprovisions,aswellassize,numberandtiminglimitationsassetforththerein,includingthatanydemandfortheregistrationofashareholder'sregistrablesharesmustrelatetoanofferingwheretheaggregategrossproceedsarereasonablyexpectedtobeatleast$50million.

Indemnification;Expenses;Lock-ups.Wehaveagreedtoindemnifytheapplicablesellingshareholder(includingeachmember,manager,partner,officeranddirectorthereofandlegalcounselandindependentaccountantthereto),eachunderwriterofsuchsellerofsuchregistrableshares,andeachotherperson,ifany,whocontrolssuchsellerorunderwriterwithinthemeaningoftheSecuritiesActof1933ortheSecuritiesExchangeActof1934againstanyexpenses,losses,claims,damagesorliabilitiesresultingfromanyuntruestatementoromissionofmaterialfactcontainedinanyregistrationstatement,prospectusor

41

anyamendmentorsupplementtosuchregistrationstatement,unlesssuchliabilityarosefromtheapplicablesellingshareholder'smisstatementoromission,andtheapplicablesellingshareholderhasagreedtoindemnifyusagainstalllossescausedbyitsmisstatementsoromissions.Wewillpayallregistrationexpensesofallregistrationsundertheregistrationrightsagreement,provided,however,thatifademandregistrationiswithdrawnattherequestoftheshareholdersrequestingsuchregistration(otherthanasaresultofinformationconcerningthebusinessorfinancialconditionoftheCompanythatismadeknowninwritingtotheshareholdersrequestingregistrationafterthedateonwhichsuchregistrationwasrequested)andiftherequestingshareholderselectnottohavesuchregistrationcountedasademandregistrationorshelftakedown,therequestingshareholderswillpaytheregistrationexpensesofsuchregistrationproratainaccordancewiththenumberoftheirregistrablesharesrequestedtobeincludedinsuchregistration.Inconnectionwithanypublicoffering,eachshareholder,andofficerordirectoroftheCompany,ifrequestedbyusandtheunderwritersmanagingsuchpublicoffering,agreenottosellorotherwisetransferordisposeofanyregistrablesharesor,withrespecttocertainshareholdersonly,othersecuritiesoftheCompany,heldbysuchshareholder(otherthanthoseregistrablesharesincludedinthepublicoffering)foraspecifiedperiodoftimenottoexceed90daysfromtheeffectivedateofsuchregistration.

PineBrookShareholdersAgreement

UponconsummationofourinitialpublicofferinginNovember2013,weenteredintoashareholdersagreementwithPineBrook,pursuanttowhich,forsolongasPineBrookholdsatleast35%ofthesharesheldbyitattheconsummationofthisoffering,PineBrookhastherighttonominateoneClassIIIdirectortoourboardofdirectorsateachannualgeneralmeetingofshareholdersatwhichthetermofaPineBrookdesigneeexpires.Inaddition,wehaveagreedtousecommerciallyreasonableeffortstotakeallnecessaryanddesirableactionswithinourcontroltocausetheelection,removalandreplacementofsuchdesigneeinaccordancewiththeshareholdersagreementandapplicablelaw.PineBrookhasdesignedWilliamSpiegelasitsnomineeforelectionasaClassIIIdirectorattheAnnualMeeting.

GoldmanSachsDiscretionaryAdvisoryAgreement

OnFebruary5,2010,weenteredintoadiscretionaryadvisoryagreementwithGoldmanSachsAssetManagement,L.P.,orGSAM,anaffiliateofTheGoldmanSachsGroup,Inc.,oneofourshareholders,pursuanttowhichGSAMwasappointedasaninvestmentadviser,operatingwithinourstatedinvestmentguidelines,foranaccountrepresentingacertainportionofourassets.Undertheagreement,GSAMreceivesannualfeesatarateof12.75basispointsonthefirst$1.0billion,10.00basispointsonthenext$1.0billionand8.00basispointsonanybalanceabove$2.0billion,withaminimumannualfixedfeeof$300,000percalendaryearstartingJanuary1,2013.Theagreementisterminableupon45days'writtennoticebyGSAMor30daysbyusandwasenteredintointheordinarycourseofbusinessonsimilartermstoagreementsexecutedwithnon-relatedparties.

RevolvingCreditAgreement

Goldman,Sachs&Co.isoneoftheseverallendersunderourrevolvingcreditfacilitywhichweenteredintoinApril2016.

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SECURITIES OWNERSHIP

ThefollowingtablesetsforthinformationasofMarch17,2017regardingthebeneficialownershipofourcommonsharesby(1)eachperson,orgroupofaffiliatedpersons,knownbyustobethebeneficialownerof5%ormoreofouroutstandingcommonshares,(2)eachofourdirectorsandnominees,(3)eachofournamedexecutiveofficers,and(4)allofourdirectorsandexecutiveofficersasagroup.

Exceptasindicatedbelow,toourknowledge,eachpersonnamedinthetablehassolevotingandinvestmentpowerwithrespecttoallofthesecuritiesshownasbeneficiallyownedbysuchperson,exceptasotherwisesetforthinthenotestothetable.Thenumberofsecuritiesshownrepresentsthenumberofsecuritiestheperson"beneficiallyowns,"asdeterminedbytherulesoftheSEC.TheSEChasdefined"beneficial"ownershipofasecuritytomeanthepossession,directlyorindirectly,ofvotingpowerand/orinvestmentpower.Asecurityholderisalsodeemedtobe,asofanydate,thebeneficialownerofallsecuritiesthatsuchsecurityholderhastherighttoacquirewithin60daysafterthatdatethrough(1)theexerciseofanyoption,warrantorright,(2)theconversionofasecurity,(3)thepowertorevokeatrust,discretionaryaccountorsimilararrangement,or(4)theautomaticterminationofatrust,discretionaryaccountorsimilararrangement.

AsofMarch17,2017,therewereatotalof93,376,963commonsharesissuedandoutstanding.Exceptasnotedbelow,theaddressforallbeneficialownersinthetablebelowisc/oEssentGroupLtd.,ClarendonHouse,2ChurchStreet,HamiltonHM11,Bermuda.

Name of Beneficial Owner SharesOwned Percentage

5% or more Shareholders: CapitalResearchGlobalInvestors(1) 9,072,989 9.7%FMRLLC(2) 8,370,144 9.0%PBRA(Cayman)Companyandcertainaffiliates(3) 7,267,407 7.8%TheVanguardGroup,Inc.(4) 6,616,244 7.1%BlackRock,Inc.(5) 6,201,668 6.6%RenaissanceReVenturesLtd.(6) 5,666,374 6.1%Directors, Director Nominees and Executive Officers: MarkA.Casale(7) 2,590,687 2.8%LawrenceE.McAlee(8) 286,285 *VijayBhasin(9) 312,840 *JeffR.Cashmer(10) 173,831 *MaryLourdesGibbons(11) 276,702 *AdityaDutt(12) 5,685,430 6.1%RobertGlanville(13) 28,956 *RoyJ.Kasmar(14) 43,513 *AllanLevine(15) 19,056 *AdolfoF.Marzol(16) 5,545 *DouglasJ.Pauls(17) 18,517 *WilliamSpiegel(18) 7,286,463 7.8%AndrewTurnbull(19) 55,409 *Alldirectorsandexecutiveofficersasagroup(15persons) 16,919,502 18.1%_______________________________________________________________________________*Representsbeneficialownershipoflessthan1%.

(1) InformationregardingbeneficialownershipofourcommonsharesbyCapitalResearchGlobalInvestorsisincludedhereinbasedonaSchedule13G/AfiledwiththeSEConFebruary9,2017,relatingtosuchsharesbeneficiallyownedasofDecember31,2016.TheaddressforCapitalResearchGlobalInvestorsis333SouthHopeStreet,LosAngeles,CA90071.

(2) InformationregardingbeneficialownershipofourcommonsharesbyFMRLLCisincludedhereinbasedonaSchedule13G/AfiledwiththeSEConFebruary13,2017,relatingtosuchsharesbeneficiallyownedasofDecember31,2015.TheaddressforFMRLLCis243SummerStreet,Boston,MA02210.

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(3) InformationregardingbeneficialownershipofourcommonsharesbyPBRA(Cayman)CompanyandcertainrelatedentitiesisincludedhereinbasedonaSchedule13D/AfiledwiththeSEConFebruary14,2017,relatingtosuchsharesbeneficiallyownedasofsuchdate.AllofsuchsharesareheldbyEssentIntermediate,L.P.PBRA(Cayman)Companyisthegeneralpartnerof,andthereforemaybedeemedtohavevotingordispositivepoweroverthesharesownedby,EssentIntermediate,L.P.PBRA(Cayman)Companydisclaimsbeneficialownershipofsuchsharesexcepttotheextentofanyindirectpecuniaryinteresttherein.Theaddressfortheseentitiesisc/oPineBrookRoadPartnersLLC,60East42ndStreet,50thFloor,NewYork,NY10165.

(4) InformationregardingbeneficialownershipofourcommonsharesbyTheVanguardGroup,Inc.andcertainrelatedentitiesisincludedhereinbasedonaSchedule13GfiledwiththeSEConFebruary9,2017,relatingtosuchsharesbeneficiallyownedasofDecember31,2016.TheaddressforTheVanguardGroup,Inc.is100VanguardBldv.,Malvern,PA19355.

(5) InformationregardingbeneficialownershipofourcommonsharesbyBlackRock,Inc.andcertainrelatedentitiesisincludedhereinbasedonaSchedule13G/AfiledwiththeSEConJanuary30,2017,relatingtosuchsharesbeneficiallyownedasofDecember31,2016.TheaddressforBlackRockInc.is55East52ndStreet,NewYork,NY10055.

(6) InformationregardingbeneficialownershipofourcommonsharesbyRenaissanceReVenturesLtd.("RenaissanceReVentures")andcertainrelatedentitiesisincludedhereinbasedonaSchedule13G/AfiledwiththeSEConFebruary14,2017,relatingtosuchsharesbeneficiallyownedasofDecember31,2016.RenaissanceReVenturesisawhollyownedsubsidiaryofRenaissanceOtherInvestmentsHoldingsIILtd.("ROIHLII"),whichinturnisawhollyownedsubsidiaryofRenaissanceReHoldingsLtd.("RenaissanceRe").Byvirtueoftheserelationships,RenaissanceReandROIHLIImaybedeemedtohavevotinganddispositivepoweroverthesharesheldbyRenaissanceReVentures.Theaddressfortheseentitiesis12CrowLane,PembrokeHM19,Bermuda.

(7) ThetotalsharesheldbyMr.Casaleinclude(i)1,170,632outstandingrestrictedcommonsharessubjecttotime-andperformance-basedvestingthatareeligibletobeearnedandvestifmaximumperformanceisachieved(see"—CompensationDiscussionandAnalysis—ElementsofCompensation—Long-TermEquityIncentiveCompensation"aboveforadditionalinformation),and(ii)156,690restrictedcommonsharessubjecttotime-basedvesting.

(8) ThetotalsharesheldbyMr.McAleeincludes(i)54,489outstandingrestrictedcommonsharessubjecttotime-andperformance-basedvesting,thatareeligibletobeearnedandvestifmaximumperformanceisachieved(see"—CompensationDiscussionandAnalysis—ElementsofCompensation—Long-TermEquityIncentiveCompensation"aboveforadditionalinformation),and(ii)29,198outstandingrestrictedcommonsharessubjecttotime-basedvesting.

(9) ThetotalsharesheldbyMr.Bhasinincludes(i)62,297outstandingrestrictedcommonsharessubjecttotime-andperformance-basedvesting,thatareeligibletobeearnedandvestifmaximumperformanceisachieved(see"—CompensationDiscussionandAnalysis—ElementsofCompensation—Long-TermEquityIncentiveCompensation"aboveforadditionalinformation),and(ii)35,781outstandingrestrictedcommonsharessubjecttotime-basedvesting.

(10) ThetotalsharesheldbyMr.Cashmerincludes(i)62,297outstandingrestrictedcommonsharessubjecttotime-andperformance-basedvesting,thatareeligibletobeearnedandvestifmaximumperformanceisachieved(see"—CompensationDiscussionandAnalysis—ElementsofCompensation—Long-TermEquityIncentiveCompensation"aboveforadditionalinformation),and(ii)35,781outstandingrestrictedcommonsharessubjecttotime-basedvesting.

(11) ThetotalsharesheldbyMs.Gibbonsincludes(i)54,489outstandingrestrictedcommonsharessubjecttotime-andperformance-basedvesting,thatareeligibletobeearnedandvestifmaximumperformanceisachieved(see"—CompensationDiscussionandAnalysis—ElementsofCompensation—Long-TermEquityIncentiveCompensation"aboveforadditionalinformation),and(ii)29,198outstandingrestrictedcommonsharessubjecttotime-basedvesting.

(12) Represents(i)19,056sharesbeneficiallyownedbyMr.Dutt(5,545sharesofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017),and(ii)5,666,374sharesbeneficiallyownedbyRenaissanceReVenturesasofDecember31,2016.Mr.Dutt,thepresidentofRenaissanceReVenturesandaseniorvicepresidentofRenaissanceRe,theindirectparentofRenaissanceReVentures,disclaimsbeneficialownershipofanysharesheldbyRenaissanceReVentures.TheaddressforMr.Duttis12CrowLane,PembrokeHM19,Bermuda.

(13) Consistsof28,956sharesbeneficiallyownedbyMr.Glanville(5,545sharesofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017).

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(14) Consistsof43,513sharesbeneficiallyownedbyMr.Kasmar(5,545sharesofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017).

(15) Consistsof19,056sharesbeneficiallyownedbyMr.Levine(5,545sharesofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017).

(16) Consistsof5,545shares,allofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017.

(17) Consistsof18,517sharesbeneficiallyownedbyMr.Pauls(5,545sharesofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017).

(18) Represents(i)19,056sharesbeneficiallyownedbyMr.Spiegel(5,545sharesofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017),and(ii)7,267,407sharesownedbyEssentIntermediate,L.P.Mr.Spiegel,adirectorofPBRA(Cayman)Company,thegeneralpartnerofEssentIntermediate,L.P.,disclaimsbeneficialownershipofanysharesheldbyEssentIntermediate,L.P.TheaddressforMr.Spiegelisc/oPineBrookRoadPartnersLLC,60East42ndStreet,50thFloor,NewYork,NY10165.

(19) Consistsof55,409sharesbeneficiallyownedbyMr.Turnbull(5,545sharesofwhicharesubjecttoarestrictedcommonshareunitawardwhichwillvestwithin60daysofMarch17,2017).

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PROPOSAL NO. 1: ELECTION OF DIRECTORS

AttheAnnualMeeting,shareholderswillelectthreeindividualstoserveasClassIIIdirectorsandholdofficeuntilour2020AnnualGeneralMeetingofShareholders

Nomineeswererecommendedandapprovedfornominationbythecorporategovernanceandnominatingcommitteeofourboardofdirectors.Thedirectorsshallserveuntiltheirsuccessorshavebeendulyelectedandqualifiedoruntilanysuchdirector'searlierresignationorremoval.Proxiescannotbevotedforagreaternumberofpersonsthanthenumberofnomineesnamed.Ifyousignandreturntheaccompanyingproxy,yourshareswillbevotedfortheelectionofthethreenomineesrecommendedbyourboardofdirectorsunlessyoumarktheproxyinsuchamannerastowithholdauthoritytovoteorastovoteforoneormorealternatecandidates.

If,foranyreason,anynomineeisunableorunwillingtoserve,thepersonsnamedintheproxywillusetheirbestjudgmentinselectingandvotingforasubstitutecandidateorourboardofdirectorsmayreducethenumberofdirectors.Ourboardofdirectors,however,hasnoreasontobelievethatanyofthenomineeswillbeunableorunwillingtobeacandidateforelectionatthetimeoftheAnnualMeeting.

EachofMarkA.Casale,DouglasJ.PaulsandWilliamSpiegelhavebeennominatedtostandforelectionattheAnnualMeetingtoserveasaClassIIIdirectorthroughthe2020AnnualGeneralMeetingofShareholderoruntilhissuccessorisdulyelectedandqualified.

PineBrookhasdesignatedWilliamSpiegelasthePineBrookdesigneeunderashareholdersagreementthatwehaveenteredintowithPineBrook,andaccordinglyMr.Spiegelhasbeennominatedforre-electionattheAnnualMeetingtotheboardofdirectorasaClassIIIdirector.See"BoardofDirectors—VotingArrangements"above.

Wedidnotpayafeetoanythirdpartytoidentifyorevaluateanyofthepotentialnominees.Pleaseseethediscussionunder"BoardofDirectors"inthisproxystatementforinformationconcerningeachofournomineesfordirector.

Required Vote and Recommendation

DirectorsareelectedbyamajorityofvotescastattheAnnualMeeting.

THE BOARD OF DIRECTORS RECOMMENDS A VOTE FOR THE ELECTION OF EACH OF THE NOMINATED INDIVIDUALS.

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PROPOSAL NO. 2: RE-APPOINTMENT OF INDEPENDENT REGISTEREDPUBLIC ACCOUNTING FIRM AND REFERRAL OF THE DETERMINATIONOF THE AUDITIORS' COMPENSATION TO THE BOARD OF DIRECTORS

Upontherecommendationofourauditcommittee,ourboardofdirectorsproposesthatourshareholdersre-appointPricewaterhouseCoopersLLPasourindependentregisteredpublicaccountingfirmtoservefortheyearendedDecember31,2017anduntilthe2018AnnualGeneralMeetingofShareholders.ArepresentativeofPricewaterhouseCoopersLLPwillbepresentattheAnnualMeetingtomakeanystatementheorshemaydesireandtorespondtoappropriatequestionsfromshareholders.ShareholdersattheAnnualMeetingwillalsobeaskedtovotetoreferthedeterminationoftheauditors'compensationtoourboardofdirectors.

Indecidingtorecommendthere-appointmentofPricewaterhouseCoopersLLP,ourauditcommitteenotedthattherewerenoauditorindependenceissuesraisedwithPricewaterhouseCoopersLLP.

Ourauditcommitteereviewsauditandnon-auditservicesperformedbyPricewaterhouseCoopersLLP,aswellasthefeeschargedbyPricewaterhouseCoopersLLPforsuchservices.Initsreviewofnon-auditservicefees,theauditcommitteeconsiders,amongotherthings,thepossibleeffectoftheperformanceofsuchservicesontheauditor'sindependence.AdditionalinformationconcerningtheauditcommitteeanditsactivitieswithPricewaterhouseCoopersLLPcanbefoundunder"CorporateGovernance—MeetingsandCommitteesofourBoardofDirectors—AuditCommittee"inthisproxystatement.

Required Vote and Recommendation

Re-appointmentofPricewaterhouseCoopersLLPrequirestheaffirmativevoteofamajorityofthevotescastonthematter.Ifourshareholdersdonotvotetore-appointPricewaterhouseCoopersLLP,ourauditcommitteewillreconsiderthere-appointmentofPricewaterhouseCoopersLLP.Evenifourshareholdersdovotetore-appointPricewaterhouseCoopersLLP,ourauditcommitteeretainsthediscretiontoreconsideritsre-appointmentiftheauditcommitteebelievesitnecessarytodosointhebestinterestofusandourshareholders.

THE BOARD OF DIRECTORS RECOMMENDS A VOTE FOR THE RE-APPOINTMENT OF THE SELECTION OFPRICEWATERHOUSECOOPERS LLP AS OUR INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM TO SERVE FOR THE YEARENDED DECEMBER 31, 2016 AND UNTIL THE 2017 ANNUAL GENERAL MEETING OF SHAREHOLDERS AND THE REFERRAL OF THEDETERMINATION OF THE AUDITORS' COMPENSATION TO OUR BOARD OF DIRECTORS.

Fees Paid to Independent Registered Public Accounting Firm

AggregatefeesforprofessionalservicesrenderedtousoronourbehalfbyPricewaterhouseCoopersLLPfortheyearsendedDecember31,2015and2016areasfollows:

2015 2016

AuditFees $ 779,500 $ 790,000Audit-RelatedFees $ 179,846 $ 112,000TaxFees $ 237,683 $ 239,206AllOtherFees $ — $ —

AuditFees.Auditfeesfor2015and2016wereforprofessionalservicesrenderedfortheauditsofourconsolidatedfinancialstatements,reviewoftheinterimconsolidatedfinancialstatements,andservicesthatgenerallyonlytheindependentregisteredpublicaccountingfirmcanreasonablyprovide,includingstatutoryaudits,consentsandassistancewithandreviewofdocumentsfiledwiththestateinsurancecommissions.

Audit-RelatedFees.Auditrelatedfeesfor2015and2016arefeesbilledassuranceandrelatedservicesthatarereasonablyrelatedtotheperformanceoftheauditorreviewofourfinancialstatementsandwhicharenotreportedunder"AuditFees",includingservicesrelatedtoconsultationonreportingmatters.Audit-relatedfeesfor2015includeprofessionalservicesrenderedinconnectionwithaninformationsecurityprogramassessment,anindependentauditorsreportonservicerelatedcontrolsandaccountingconsultationonproposedtransactions.Audit-relatedfeesfor2016includeprofessionalservicesrenderedinconnectionwithanindependentauditorsreportonservicerelatedcontrols.

TaxFees.Taxfeesfor2015and2016wereforcompliance,taxadvice,andtaxplanning.

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AllOtherFees.Therewerenootherfeespaidfor2015or2016.

Pre-Approval of Services

AllservicesprovidedbyPricewaterhouseCoopersLLPintheyearsendedDecember31,2015and2016werepre-approvedbytheauditcommittee,whichconcludedthattheprovisionofsuchservicesbyPricewaterhouseCoopersLLPwascompatiblewiththemaintenanceofthatfirm'sindependenceintheconductofitsauditingfunctions.Theauditcommitteehasadoptedpre-approvalpoliciesandproceduresforauditandnon-auditservices.TheauditservicesprovidedbyPricewaterhouseCoopersLLPareapprovedinadvancebytheauditcommittee.Underitspre-approvalpolicy,theauditcommitteehasdelegatedauthoritytoitschairmantopre-approveaudit-relatedandnon-auditservicesthecostofwhichwillnotexceed$25,000;provided,thatthechairmanisrequiredtoreportanypre-approvaldecisionstotheauditcommitteeatitsnextmeeting.Anyservicesthatexceedthepre-approveddollarlimitrequirespecificpre-approvalbytheauditcommittee.TheengagementofPricewaterhouseCoopersLLPfornon-auditaccountingandtaxservicesislimitedtocircumstanceswheretheseservicesareconsideredtobeintegraltotheauditservicesthatPricewaterhouseCoopersLLPprovidesorwherethereisanothercompellingrationaleforusingPricewaterhouseCoopersLLP.Allaudit,audit-relatedandpermittednon-auditservicesforwhichPricewaterhouseCoopersLLPwasengagedwerepre-approvedbytheauditcommitteeincompliancewithapplicableSECrequirements.

We have been advised by PricewaterhouseCoopers LLP that neither the firm, nor any member of the firm, has any financial interest, direct orindirect, in any capacity in us or any of our subsidiaries.

Report of the Audit Committee

Theauditcommitteeofourboardofdirectorsassistsourboardofdirectorsinperformingitsoversightresponsibilitiesforourfinancialreportingprocessandauditprocessasmorefullydescribedintheauditcommittee'scharter.Managementhastheprimaryresponsibilityforthefinancialstatementsandthereportingprocess.OurindependentregisteredpublicaccountingfirmisresponsibleforperforminganindependentauditofourfinancialstatementsinaccordancewiththeauditingstandardsofthePublicCompanyAccountingOversightBoard(UnitedStates)andtoissueareportthereon.

Intheperformanceofitsoversightfunction,theauditcommitteereviewedanddiscussedourauditedfinancialstatementsforthefiscalyearendedDecember31,2016withmanagementandwithourindependentregisteredpublicaccountingfirm.Inaddition,theauditcommitteediscussedwithourindependentregisteredpublicaccountingfirmthemattersrequiredtobediscussedbyStatementonAuditingStandardsNo.1301,asamended,(AICPA,ProfessionalStandards,Vol.1.AUsection380),asadoptedbythePublicCompanyAccountingOversightBoardinRule3200T,whichincludes,amongotheritems,mattersrelatedtotheconductoftheauditofourfinancialstatements.TheauditcommitteehasalsoreceivedandreviewedthewrittendisclosuresandtheletterfromourindependentregisteredpublicaccountingfirmrequiredbytheapplicablerequirementsofthePublicCompanyAccountingOversightBoardregardingtheaccountingfirm'scommunicationswiththeauditcommitteeconcerningindependenceandhasdiscussedwithourindependentregisteredpublicaccountingfirmthatfirm'sindependenceandconsideredwhetherthenon-auditservicesprovidedbytheindependentregisteredpublicaccountingfirmarecompatiblewithmaintainingitsindependence.

Basedonthereviewanddiscussionswithmanagementandourindependentregisteredpublicaccountingfirmdescribedabove,theauditcommitteerecommendedtotheboardofdirectorsthattheauditedfinancialstatementsbeincludedinourAnnualReportonForm10-KforthefiscalyearendedDecember31,2016filedwiththeSEC.

Audit Committee of the Board of DirectorsDouglasJ.Pauls,ChairmanAdityaDuttRobertGlanvilleAndrewTurnbull

Theforegoingreportoftheauditcommitteedoesnotconstitutesolicitingmaterialandshallnotbedeemedfiled,incorporatedbyreferenceintoorapartofanyotherfilingbytheCompany(includinganyfuturefilings)undertheSecuritiesActortheExchangeAct,excepttotheextenttheCompanyspecificallyincorporatessuchreportbyreferencetherein.

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PROPOSAL NO. 3: ADVISORY VOTE ON EXECUTIVE COMPENSATION

TheDodd-FrankWallStreetReformandConsumerProtectionActof2010,ortheDodd-FrankAct,enablesourshareholderstovotetoapprove,onanon-binding,advisorybasis,thecompensationofournamedexecutiveofficersasdisclosedinthisproxystatementinaccordancewiththeSEC’srules.Thisproposal,commonlyknownasa“say-on-pay”proposal,givesourshareholderstheopportunitytoexpresstheirviewsonthecompensationofournamedexecutiveofficers.

Asdescribedindetailaboveundertheheading“ExecutivesandExecutiveCompensation—CompensationDiscussionandAnalysis,”ourexecutive

compensationprogramsaredesignedtoattract,retainandmotivateournamedexecutiveofficerswhoarecriticaltooursuccess.Undertheseprograms,ournamedexecutiveofficersarerewardedfortheachievementofannualandlong-termstrategicandcorporategoals,andtherealizationofincreasedshareholdervalue.Pleasereadthe“CompensationDiscussionandAnalysis”andthe“SummaryCompensationTable"andrelatedinformationinthisproxystatementforadditionaldetailsaboutourexecutivecompensationprograms,includinginformationaboutthecompensationofournamedexecutiveofficersin2016.

Weareaskingourshareholderstoindicatetheirsupportforthecompensationofournamedexecutiveofficerasdescribedinthisproxystatement.Thisvoteis

notintendedtoaddressanyspecificitemofcompensation,butrathertheoverallcompensationofournamedexecutiveofficersandthephilosophy,policiesandpracticesdescribedinthisproxystatement.Accordingly,wewillaskourshareholderstovote“FOR”thefollowingresolutionattheAnnualMeeting:

“RESOLVED,thattheCompany’sshareholdersapprove,onanon-binding,advisorybasis,thecompensationpaidtoournamedexecutiveofficers,asdisclosedintheCompany’sProxyStatementforthe2017AnnualGeneralMeetingofShareholderspursuanttothecompensationdisclosurerulesoftheSecuritiesandExchangeCommission,includingtheCompensationDiscussionandAnalysis,theSummaryCompensationTableandtheotherrelatedtablesanddisclosure.”

Althoughthe"say-on-pay"voteisadvisory,andthereforenotbindingonus,wevaluetheopinionsofourshareholdersandwewillconsidertheoutcomeof

thevotewhenmakingfuturecompensationdecisions.

THE BOARD OF DIRECTORS UNANIMOUSLY RECOMMENDS A VOTE “FOR” THE APPROVAL, ON AN ADVISORY BASIS, OF THECOMPENSATION OF OUR NAMED EXECUTIVE OFFICERS, AS DISCLOSED IN THIS PROXY STATEMENT.

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PROPOSAL NO. 4: APPROVAL OF ESSENT GROUP LTD. ANNUAL INCENTIVE PLAN

Background and Overview

WeareaskingourshareholderstoapprovetheEssentGroupLtd.AnnualIncentivePlan,ortheAnnualIncentivePlan,attheAnnualMeeting.ThepurposeoftheAnnualIncentivePlanistoenableusandoursubsidiariestoattract,retain,motivateandrewardthebestqualifiedexecutiveofficersandkeyemployeesbyprovidingthemwiththeopportunitytoearncompetitivecompensationdirectlylinkedtoourperformance.TheAnnualIncentivePlanisdesignedtomeettherequirementsofthe“performance-basedcompensation”exemptionfromSection162(m)ofU.S.InternalRevenueCode,ortheCode,totheextentthatitisapplicabletotheCompanyandtheAnnualIncentivePlan.

WeareseekingshareholderapprovalofthetermsandconditionsoftheAnnualIncentivePlanthatallowustopaybonusesthatareintendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCode.ThiswouldenableustopaybonusesthatarenotsubjecttothedeductionlimitationsofSection162(m)oftheCode.Ingeneral,Section162(m)oftheCodelimitsto$1millionthedeductionthatapubliccompanymaytakewithrespecttocompensationpaidtoeachofitschiefexecutiveofficeranditsthreemosthighlycompensatedofficers(otherthanthechiefexecutiveofficerandchieffinancialofficer).BecausetheAnnualIncentivePlanwasapprovedbyourboardordirectorsandourshareholderspriortoourinitialpublicofferingin2013,andtheAnnualIncentivePlanwasdisclosedtoourinvestorsaspartoftheinitialpublicoffering,certaincompensationattributabletobonusespaidundertheAnnualIncentivePlanduringatransitionperiodfollowingourinitialpublicofferingisexemptfromthedeductionlimitationsunderSection162(m)oftheCode.However,thetransitionperiodwillexpireattheAnnualMeeting.InorderforthecompensationattributabletobonusespaidundertheAnnualIncentivePlanfollowingtheexpirationofthetransitionperiodtobeeligibletobeexemptfromthedeductionlimitationsofSection162(m)oftheCode,suchbonusesmustqualifyasperformance-basedcompensationmeetingtherequirementsofSection162(m)oftheCode.

Oneoftherequirementsofperformance-basedcompensationunderSection162(m)oftheCodeisthatthematerialtermsoftheperformancegoalsunderwhichcompensationmaybepaidtoourexecutivesbedisclosedtoandapprovedbyourshareholders.ForpurposesofSection162(m)oftheCode,“materialterms”include(i)theindividualseligibletoreceivecompensation,(ii)adescriptionofthebusinesscriteriaonwhichtheperformancegoalisbased,and(iii)themaximumamountofcompensationthatcanbepaidtoanindividualundertheperformancegoal.Eachoftheseaspectsisdiscussedbelow,andshareholderapprovalofthisproposalwillconstituteapprovalofeachoftheseaspectsofourAnnualIncentivePlanforpurposesoftheapprovalrequirementsofSection162(m)oftheCode.Ifshareholdersdonotre-approvetheperformancegoalsundertheAnnualIncentivePlan,wewillnotbeabletopaybonusesthatareintendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCode.Asaresult,weexpectthattheCompanywillloseataxdeductionforcertainyearsif,andtotheextentthat,acoveredemployeereceivesnon-performancebasedcompensationforthatyearinexcessofthe$1milliondeductionlimit.ThelossofsuchtaxdeductionswouldlikelyresultintheCompanypayingmoretaxesinthoseyears.WhileourAnnualIncentivePlanwillallowustopaybonusesthatareintendedtobeexemptfromSection162(m)oftheCode,ourBoardmay,initsjudgment,paybonusesunderourAnnualIncentivePlanorotherwisethatarenotexemptfromSection162(m)oftheCodewhenitbelievesthatsuchbonusesareappropriatetoattractandretainexecutivetalentandareinthebestinterestsofourshareholders.

ThefollowingisasummaryofthematerialtermsoftheAnnualIncentivePlan,thefulltextofwhichisattachedtothisproxystatementasAppendixA.

Administration

TheAnnualIncentivePlanisadministeredbyourcompensationcommittee,whichismadeupofatleasttwodirectors,eachofwhomisan“outsidedirector”withinthemeaningofSection162(m)oftheCode.Ourcompensationcommitteemaydelegatecertainofitsauthoritytosuchindividualsasitdeemsappropriate,pursuanttothetermsoftheAnnualIncentivePlan;provided,that,nosuchdelegationwillbepermittedifitwouldcausethecompensationpayableundertheAnnualIncentivePlanthatisintendedtoqualifyasperformance-basedcompensationunder162(m)oftheCodetofailtoqualifyasperformance-basedcompensationunder162(m)oftheCode.

Ourboardofdirectorsorourcompensationcommitteemayatanytimeamend,suspend,discontinueorterminatetheAnnualIncentivePlan,provided,however,thatsuchactionshallnotbeeffectivewithouttheapprovalofourshareholderstotheextentnecessarytocontinuetoqualifytheamountspayabletoemployeesasperformance-basedcompensationunderSection162(m)oftheCode.TheAnnualIncentivePlanwillremainineffectuntilitisterminatedbyourboardofdirectorsorourcompensationcommittee.

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Eligibility and Participation

ThepersonseligibletoreceiveawardsundertheAnnualIncentivePlanareemployeesoftheCompanyanditssubsidiarieswhoareselectedtoparticipateintheAnnualIncentivePlanbyourcompensationcommittee.AsofApril3,2017,therewere10participantswhocouldbeeligibletoreceiveanawardundertheAnnualIncentivePlan,subjecttoshareholderapprovalofthisproposal.

Performance Goals

OurcompensationcommitteewillestablishtheperformanceobjectiveorobjectivesapplicabletoanyawardundertheAnnualIncentivePlanwithin90daysafterthebeginningofeachperformanceperiod(andnolaterthanthedateonwhich25%oftheperformanceperiodhaselapsed).Atthetimeperformancegoalsareestablished,ourcompensationcommitteewillprescribeaformulatodeterminetheamountoftheincentivethatmaybepayablebaseduponthelevelofattainmentoftheperformancegoalsduringtheapplicablefiscalyearorsuchotherperiodasdesignatedbythecompensationcommitteewithrespecttowhichperformancegoalsareestablished,ortheperformanceperiod.

ThemaximumawardamountpayableperperformanceperiodundertheAnnualIncentivePlanis$10million.OurcompensationcommitteemayreduceawardsundertheAnnualIncentivePlanforanyreasonorincreaseawardstoemployeeswhosecompensationisnotsubjecttoSection162(m)oftheCode.

Unlessourcompensationcommitteedeterminesthatanawardwillnotqualifyas“performance-basedcompensation”underSection162(m)oftheCode,theperformancegoalswillbebaseduponspecifiedlevelsoforincreasesinoneormoreofthefollowingbusinesscriteria(aloneorincombinationwithanyothercriterion,whethergrossornet,beforeoraftertaxes,and/orbeforeorafterotheradjustments,asdeterminedbyourcompensationcommittee):(i)earnings,includingnetearnings,totalearnings,operatingearnings,earningsgrowth,operatingincome,earningsbeforeoraftertaxes,earningsbeforeorafterinterest,depreciation,amortization,orextraordinaryorspecialitemsorbookvaluepershare(whichmayexcludenonrecurringitems);(ii)pre-taxincomeoraftertaxincome;(iii)earningspershare(basicordiluted);(iv)operatingprofit;(v)revenue,revenuegrowth,orrateofrevenuegrowth;(vi)returnonassets(grossornet),returnoninvestment,returnoncapital,returnonequity,financialreturnratios,orinternalratesofreturn;(vii)returnsonsalesorrevenues;(viii)operatingexpenses;(ix)sharepriceappreciation;(x)cashflow(including,butnotlimitedto,operatingcashflowandfreecashflow),cashflowreturnoninvestment(discountedorotherwise),netcashprovidedbyoperationsorcashflowinexcessofcostofcapital,workingcapitalturnover;(xi)implementationorcompletionofcriticalprojectsorprocesses;(xii)economicvaluecreated;(xiii)balancesheetmeasurements;(xiv)cumulativeearningspersharegrowth;(xv)operatingmargin,profitmargin,orgrossmargin;(xvi)sharepriceortotalshareholderreturn;(xvii)costorexpensetargets,reductionsandsavings,productivityandefficiencies;(xviii)salesorsalesgrowth;(xix)strategicbusinesscriteria,consistingofoneormoreobjectivesbasedonmeetingspecifiedmarketpenetration,marketshare,geographicbusinessexpansion,customersatisfaction,employeesatisfaction,humanresourcesmanagement,supervisionoflitigation,informationtechnology,andgoalsrelatingtoacquisitions,divestitures,jointventures,andsimilartransactions,andbudgetcomparisons;(xx)personalprofessionalobjectives,includinganyoftheforegoingperformancegoals,theimplementationofpoliciesandplans,thenegotiationoftransactions,thedevelopmentoflongtermbusinessgoals,theformationofjointventures,researchordevelopmentcollaborations,andthecompletionofothercorporatetransactions;or(xxi)foranyperiodoftimeinwhichSection162(m)oftheCodeisnotapplicabletotheCompanyandtheAnnualIncentivePlan,orinthecaseofpersonswhosecompensationisnotsubjecttoSection162(m)oftheCode,suchothercriteriaasmaybedeterminedbyourcompensationcommittee.

Thebusinesscriteriamayalsobecombinedwithcostofcapital,assets,investedcapitalandshareholderequitytoformanappropriatemeasureofperformance.Inaddition,performancegoalsmaybeestablishedonacompany-widebasis,projectorgeographicalbasisor,asthecontextpermits,withrespecttooneormorebusinessunits,divisions,linesofbusiness,subsidiaries,productsorotheroperationalunitsoradministrativedepartmentsoftheCompany(oracombinationthereof)ormayberelatedtotheperformanceofanindividualparticipantandbeexpressedinabsoluteterms,orrelativeandcomparativeto(i)currentinternaltargetsorbudgets,(ii)ourpastperformance,includingperformanceofoneormoresubsidiaries,divisionsoroperatingunits),(iii)theperformanceofoneormoresimilarlysituatedcompanies,(iv)theperformanceofanindexcoveringmultiplecompanies,or(v)otherexternalmeasuresoftheselectedperformancecriteria.

TotheextentpermittedunderSection162(m)oftheCode,unlessourcompensationcommitteeprovidesotherwiseatthetimeofestablishingtheperformancegoals,thecompensationcommitteemay(i)designateadditionalbusinesscriteriaonwhichtheperformancegoalsmaybebased,or(ii)provideforobjectivelydeterminableadjustments,modificationsoramendments,asdeterminedinaccordancewithGenerallyAcceptedAccountingPrinciples,toanyofthebusinesscriteriaforspecifieditemsofgain,loss,profitorexpense.

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ThebusinesscriteriaforperformancegoalsundertheAnnualIncentivePlanmustbere-approvedbytheshareholdersnolaterthanthefirstshareholdermeetingthatoccursinthefifthyearfollowingtheyearinwhichshareholderspreviouslyapprovedthebusinesscriteria.

Incentive Payments

Bonuspaymentsaremadeassoonaspracticablefollowingtheendoftheperformanceperiodafterourcompensationcommitteecertifiesinwritingwhetherandtowhatextent,ifatall,theapplicableperformancecriteriahavebeenattained.AwardswillbepaidundertheAnnualIncentivePlanonlyiftheperformancecriteriaestablishedbyourcompensationcommitteewithrespecttosuchperformanceperiodhavebeenachieved.OurcompensationcommitteewilldeterminewhetheranyawardundertheAnnualIncentivePlanwillbepaidincashoranequity-basedawardunderour2013Plan(asamendedandrestatedfromtimetotimeoranothershareholderapprovedequity-basedplan)ofequivalentvalue,orinacombinationofcashandanequity-basedaward,andmayconditionthevestingofsuchequity-basedawardontheperformanceofadditionalservice.

Unlessotherwisedeterminedbyourcompensationcommitteewhentheperformancecriteriaareselectedorotherwiseprovidedinanagreementwithaparticipant,aparticipantintheAnnualIncentivePlanwhoseemploymentterminateswillgenerallyforfeitallrightstoanyunpaidaward.However,iftheparticipant’semploymentterminatesforanyreasonpriortopaymentoftheAnnualIncentivePlanaward,ourcompensationcommitteemaywaivetheforfeiturefeature,butmaynotwaivetherequirementtosatisfytheperformancecriteriaforparticipantswhosecompensationissubjecttoSection162(m)oftheCode.However,ifSection162(m)oftheCodedoesnotapplytotheAnnualIncentivePlan,ourcompensationcommitteehasthediscretiontowaiveboththeforfeiturefeatureandtherequirementsforsatisfactionoftheperformancecriteria.

AllbonusespaidundertheAnnualIncentivePlanwillbesubjecttoanyincentivecompensationclawbackorrecoupmentpolicycurrentlyineffect,orasmaybeadoptedbyourboardofdirectors(oranycommitteeorsubcommitteethereof)and,ineachcase,asmaybeamendedfromtimetotime.

Federal Income Tax Consequences

Underpresentfederalincometaxlaw,participantswillrecognizeordinaryincomeequaltotheamountoftheawardreceivedintheyearofreceipt,unlessthecashorequity-basedawardissubjecttoadditionalvestingconditions,inwhichcasetherecognitionofordinaryincomemaybedelayed.ThatincomewillbesubjecttoapplicableincomeandemploymenttaxwithholdingbytheCompany.IfandtotheextentthatthebonuspaymentsundertheAnnualIncentivePlansatisfytherequirementsofSection162(m)oftheCodeandotherwisesatisfytherequirementsfordeductibilityunderfederalincometaxlaw,theCompanywillreceiveadeductionfortheamountconstitutingordinaryincometotheparticipant.

New Plan Benefits

FutureawardsundertheAnnualIncentivePlanarediscretionaryandtherefore,atthistime,thebenefitsthatmaybereceivedbyparticipantsundertheAnnualIncentivePlanifourshareholdersapprovetheAnnualIncentivePlancannotbedetermined.SubjecttotheapprovaloftheAnnualIncentivePlanbyourshareholdersatourAnnualMeeting,ourcompensationcommitteedesignatedournamedexecutiveofficersasparticipantsintheAnnualIncentivePlanfortheperformanceperiodofJanuary1,2017throughDecember31,2017.Theamountofeachparticipant’sawardwillbesubjecttotheattainmentofperformancegoalssetbyourcompensationcommitteeinFebruary2017andwillbesubjecttoourcompensationcommittee’srighttoreduceanyparticipant’saward.Asaresult,itisnotpossibletodeterminetheexactamountthatwillbepayabletoanyparticipantinanyperformanceperiod.

Recommendation and Vote

ApprovalofthisproposalrequirestheaffirmativevoteofamajorityofthevotescastattheAnnualMeetingandentitledtovotethereon.

THE BOARD OF DIRECTORS UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE FOR APPROVAL OF THE ESSENT GROUPLTD. ANNUAL INCENTIVE PLAN.

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PROPOSAL NO. 5: ESSENT GROUP LTD. 2013 LONG-TERM INCENTIVE PLAN, AS AMENDED AND RESTATED

Overview of Proposal

Weareaskingourshareholderstoapprovecertainamendmentstoour2013Long-TermIncentivePlan,or2013Plan,attheAnnualMeeting.Our2013PlanwasoriginallyadoptedbyourboardofdirectorsonSeptember11,2013,andbecameeffectiveonOctober30,2013.Ourcompensationcommitteerecommended,andonFebruary8,2017,ourboardofdirectorsunanimouslyapproved,amendmentsto,andarestatementof,the2013Plan,whichwerefertoastheAmendedandRestated2013Plan,subjecttoapprovalofcertainchangescontainedthereinbyourshareholders.TheAmendedandRestated2013Planwillallowustocontinuetomakestock-andcash-basedawardstoeligibleparticipantsinfurtheranceofourbroadercompensationstrategyandphilosophy.

WearenotseekingapprovalforanincreaseinthenumberofsharesavailableforissuanceundertheAmendedandRestated2013Plan.Instead,weareseekingshareholderapprovalforthepurposeofenablingtheCompanytograntawardsthatarenotsubjecttodeductionlimitationsunderSection162(m)oftheCode,asdescribedbelow,andtocomplywithapplicabletaxandstockexchangerequirements.Wearealsoseekingtoreducethenumberofsharesavailableforgrantrelativetothe2013Plan.Inparticular,weareseekingshareholderapprovalofthefollowingamendmentsto,andtermsincludedin,theAmendedandRestated2013Plan:

• re-approvalofthematerialtermsoftheperformancegoalssetforthintheAmendedandRestated2013PlanforpurposesofSection162(m)oftheCode,includingtheperformanceobjectivessetforthintheAmendedandRestated2013PlanandtheperparticipantlimitonthenumberofsharesthatmaybemadesubjecttoawardsgrantedundertheAmendedandRestated2013Planperfiscalyear,sothatcertainawardsgrantedundertheAmendedandRestated2013Planmaycontinuetoqualifyasperformance-basedcompensationunderSection162(m)oftheCode;

• revisionstothemaximumdollarvalueofcertainawardsthatmaybegrantedtoparticipantsinacalendaryearforpurposesofSection162(m)oftheCode,asdescribedbelowunder"—SummaryoftheAmendedandRestated2013Plan—SharesAvailableforIssuanceUndertheAmendedandRestated2013PlanandLimitsonAwards";

• inclusionofperformancecashawardstoprovidetheCompanywithadditionalflexibilitytocomplywithSection162(m)oftheCode;and

• areductioninthenumberofsharesavailableforgrantto7,500,000sharesundertheAmendedandRestated2013Plan(inclusiveofapproximately2.6millionsharessubjecttograntsoutstandingasofMarch17,2017),downfromtheapproximately14.7millionsharesavailableforissuanceunderthe2013Plan.

Ifourshareholdersdonotapprovethesechanges,thechangeswillnottakeeffect,butwemaycontinuetograntawardsundertheAmendedandRestated2013Plan,asotherwiseamendedandrestated,inaccordancewiththetermsthereof.

Nootherchangestothe2013Planthatarecontemplatedbytheproposedamendmentandrestatementofthe2013Planaresubjecttoshareholderapproval.However,theAmendedandRestated2013PlanapprovedbyourboardordirectorsinFebruary2017includeschangestootherelementsofthe2013Planthatdidnotrequireshareholderapproval,includingthefollowingamendments:

• anamendmenttoremovethe“evergreen”featureincludedinthe2013Planpursuanttowhichthenumberofsharesavailableforgrantunderthe2013Planwouldautomaticallyincreaseeachyear;

• anamendmenttoprovidethatawardsgrantedundertheAmendedandRestated2013Plangenerallymustvestoveraperiodofnotlessthanoneyearfromthedateofgrant;

• anamendmenttoclarifythatforpurposesofthesharereserveundertheAmendedandRestated2013Plan,shareswillnotbedeemedtobeissuedonaccountof(i)anyportionofanawardthatissettledincash,and(ii)awardsassumedorsubstitutedbyusorouraffiliatesaspartofacorporatetransaction(includingfromanentitythatwemergewithorinto,acquire,orengagewithinasimilarcorporatetransaction);

• anamendmenttoprovidethatparticipantsmaysatisfyanywithholdingpaymentofanykindateithertheminimumstatutoryrequiredwithholdingratesorotherapplicablewithholdingrates,asmaybeutilizedwithoutcreatingadverseaccountingtreatmentunderapplicableaccountingstandards;

• anamendmenttoclarifythatdividendanddividendequivalentsmaybepayablewithrespecttorestrictedcommonshareunitsandperformanceawards;providedthat,suchdividendanddividendequivalentswillnotbepaidwith

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respecttoawardsofrestrictedstockunitsandperformanceawards,asapplicable,untiltheunderlyingawardisearnedandvests;and

• aclarificationthatnorecoveryofcompensationunderaclawbackpolicywillbeaneventgivingrisetoarighttoresignfor“goodreason”or“constructivetermination”(orsimilarterm)underanyagreementwithusoranyofouraffiliates.

Rationale for Approving the Amended and Restated 2013 Plan

OurboardordirectorsbelievesthatapprovaloftheAmendedandRestated2013Planisessentialtoourcontinuedsuccess.Weremaincommittedtoourhistoricalphilosophyofincentivizingemployees,inparticularournamedexecutiveofficersandotherkeyemployees,bytyingasignificantportionoftheircompensationtotheinterestsofourshareholders.IftheAmendedandRestated2013Planisnotapproved,wewouldbeatasignificantdisadvantagerelativetoourcompetitorsforrecruiting,retainingandmotivatingthehighcaliberindividualscriticaltoourgrowthandprofitabilityandcouldbeforcedtoincreasecashcompensation,therebyreducingresourcesavailabletomeetourbusinessneeds.Sinceourinception,ourboardofdirectorshassoughttoaligntheinterestsofouremployeeswiththelong-terminterestsofshareholdersthrough,amongotherthings,adeterminationtoplaceasignificantemphasisonequity-basedcompensationasacomponentofourcompensationprograms.OurboardbelievesthatequitycompensationofthetypeavailableforgrantundertheAmendedandRestated2013Plan,acash-andstock-basedincentiveplan,furthersourgoalofcreatinglong-termvalueforourshareholdersbyfosteringanownershipculturethatencouragesafocusonlong-termperformance,retention,andshareholdervalue-creation.

Inaddition,weareseekingshareholderapprovalofthetermsandconditionsoftheAmendedandRestated2013Planthatallowustograntawardsthatareintendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCode.ThiswouldenableustograntawardsthatarenotsubjecttothedeductionlimitationsofSection162(m)oftheCode.Ingeneral,Section162(m)oftheCodelimitsto$1millionthedeductionthatapubliccompanymaytakewithrespecttocompensationpaidtoeachofitschiefexecutiveofficeranditsthreemosthighlycompensatedofficers(otherthanthechiefexecutiveofficerandchieffinancialofficer).Becausethe2013Planwasapprovedbyourboardofdirectorsandourshareholderspriortoourinitialpublicofferingin2013,andthe2013Planwasdisclosedtoourinvestorsaspartoftheinitialpublicoffering,certaincompensationattributabletograntsmadeunderthe2013PlanduringatransitionperiodfollowingourinitialpublicofferingisexemptfromthedeductionlimitationsunderSection162(m)oftheCode.However,thetransitionperiodwillexpireattheAnnualMeeting.InorderforthecompensationattributabletograntsmadeundertheAmendedandRestated2013PlanfollowingtheexpirationofthetransitionperiodtobeeligibletobeexemptfromthedeductionlimitationsofSection162(m)oftheCode,suchgrantsmustqualifyasperformance-basedcompensationmeetingtherequirementsofSection162(m)oftheCode.

Oneoftherequirementsofperformance-basedcompensationunderSection162(m)oftheCodeisthatthematerialtermsoftheperformancegoalsunderwhichcompensationmaybepaidtoourexecutivesbedisclosedtoandapprovedbyourshareholders.ForpurposesofSection162(m)oftheCode,“materialterms”include(i)theindividualseligibletoreceivecompensation,(ii)adescriptionofthebusinesscriteriaonwhichtheperformancegoalisbased,and(iii)themaximumamountofcompensationthatcanbepaidtoanindividualundertheperformancegoal.Eachoftheseaspectsisdiscussedbelow,andshareholderapprovalofthisproposalwillconstituteapprovalofeachoftheseaspectsofourAmendedandRestated2013PlanforpurposesoftheapprovalrequirementsofSection162(m)oftheCode.Ifshareholdersdonotre-approvetheperformancegoalsundertheAmendedandRestated2013Plan,wewillnotbeabletograntawardsthatareintendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCode.Asaresult,weexpectthattheCompanywillloseataxdeductionforcertainyearsif,andtotheextentthat,acoveredemployeereceivesnon-performancebasedcompensationforthatyearinexcessofthe$1milliondeductionlimit.ThelossofsuchtaxdeductionswouldlikelyresultintheCompanypayingmoretaxesinthoseyears.WhileourAmendedandRestated2013PlanwillallowustograntawardsthatareintendedtobeexemptfromSection162(m)oftheCode,ourboardmay,initsjudgment,grantawardsunderourAmendedandRestated2013PlanthatarenotexemptfromSection162(m)oftheCodewhenitbelievesthatsuchawardsareappropriatetoattractandretainexecutivetalentandareinthebestinterestsofourshareholders.

Alignment of the Amended and Restated 2013 Plan with the Interests of the Company and Shareholders

Ourboardofdirectorsbelievesthatusingequitytoretainandmotivateourkeyemployeesiscriticaltotheachievementofourlong-termgoalsanditconsideredthefollowingfactors,amongotherthings,whenadoptingtheAmendedandRestated2013Plan:

• ourbeliefthattheAmendedandRestated2013Planwillserveacriticalroleinattracting,retainingandmotivatinghighcaliberemployees,officers,directorsandotherserviceprovidersessentialtooursuccessandinmotivatingtheseindividualstoenhanceourgrowthandprofitability;

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• ourbeliefthatshareownershipbyemployees,consultantsandnon-employeedirectorsprovidesperformanceincentivesandfosterslong-termcommitmenttoourbenefitandtothebenefitofourshareholders;

• ourbeliefthatequitycompensation,byitsverynature,isperformance-basedcompensation,andthattheAmendedandRestated2013Planreflectsourpay-for-performancephilosophyandmotivatesouremployees,consultantsandnon-employeedirectorstoenhanceourgrowthandprofitability;and

• ourbeliefthatenablingtheCompanytograntperformance-basedequityandcash-basedawardsthatareintendedtobefullydeductibleunderSection162(m)oftheCodeisinthebestinterestsoftheCompanyanditsshareholders.

Key Features of the Amended and Restated 2013 Plan

TheAmendedandRestated2013Planandourrelatedgovernancepracticesandpoliciesincludemanyfeaturesthataredesignedtoprotectshareholderinterests.Asummaryofthesefeaturesfollows,andamoredetaileddescriptionofthefeaturesisincludedundertheheading“SummaryoftheAmendedandRestated2013Plan”below.ThesummariesinthisproposaldonotprovideacompletedescriptionofalltheprovisionsoftheAmendedandRestated2013PlanandarequalifiedintheirentiretybyreferencetothefulltextoftheAmendedandRestated2013Plan,whichisattachedtothisproxystatementasAppendixB.

• ReductioninShareReserve.TheproposednumberofsharesavailableforgrantundertheAmendedandRestated2013Planis7,500,000shares(inclusiveoftheapproximately2.6millionsharessubjecttograntsoutstandingasofMarch17,2017),downfromtheapproximately14.7millionsharesavailableforissuanceunderthe2013Plan.

• FixedReserveofShares.ThenumberofsharesavailableforgrantundertheAmendedandRestated2013Planisfixedandwillnotautomaticallyincreasebecauseofan“evergreen”feature:shareholderapprovalisrequiredtoissueanyadditionalshares,allowingourshareholderstohavedirectinputonourequitycompensationprogram.

• NoRepricing.TheAmendedandRestated2013Planprohibitstherepricingofawardswithoutshareholderapproval.

• NoLiberalDefinitionof“ChangeinControl.”ThechangeincontroldefinitioncontainedintheAmendedandRestated2013Planisnota“liberal”definitionthatwouldbetriggeredonmereshareholderapprovalofatransaction.

• LimitationonTermofStockOptionsandStockAppreciationRights.ThemaximumtermofastockoptionorstockappreciationrightundertheAmendedandRestated2013Planis10years.

• NoDividendsorDividendEquivalentsonUnearnedAwards.Generally,anycashdividendsandsharedividendspaidonrestrictedshareswillbewithheldbytheCompanyandwillbesubjecttovestingandforfeituretothesamedegreeastherestrictedsharestowhichsuchdividendsrelate.TheAmendedandRestated2013Planalsoprohibitsthecurrentpaymentofdividendsordividendequivalentrightsonunvestedorunearnedawards,includingperformanceawards.

• Clawback.AwardsgrantedundertheAmendedandRestated2013Planaresubjecttoourclawbackand/orrecoupmentpolicies.

• LimitationonAmendments.AmendmentstotheAmendedandRestated2013Planmustbeapprovedbyourshareholdersifshareholderapprovalisrequiredbyapplicablelawortheapplicablerulesofthenationalsecuritiesexchangeonwhichoursharesareprincipallylistedoriftheamendmentwoulddiminishtheprohibitionsonrepricingstockoptionsorstockappreciationrights.

• PerformanceAwards.Ourcompensationcommitteemaygrantqualifiedperformance-basedawardsintendedtobefullydeductibleunderSection162(m)oftheCodeaswellasotherperformance-basedawards.

• NoAutomaticGrants.TheAmendedandRestated2013Plandoesnotprovideforautomaticgrantstoanyparticipant.

• IndependentCompensationCommittee.Ourcompensationcommittee,whichwilladministertheAmendedandRestated2013Plan,consistsentirelyofindependentdirectors.

• NoTaxGross-Ups.TheAmendedandRestated2013Plandoesnotprovideforanytaxgross-ups.

• MinimumVestingPeriod.AwardsundertheAmendedandRestated2013Plangenerallymustvestoveraperiodofnotlessthanoneyearfromthedateofgrant.

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Key Data

ThefollowingtableincludesinformationregardingouroutstandingawardsandcommonsharesavailableforfutureawardsundertheAmendedandRestated2013PlanasofMarch17,2017:

Amended and Restated 2013

PlanTotalcommonsharesunderlyingoutstandingstockoptions —Totalunvestedrestrictedsharesoutstanding(1) 2,008,651Totalunvestedrestrictedshareunitsoutstanding(2) 605,816Totalcommonsharescurrentlyavailableforgrant 4,885,533

_______________________________________________________________________________(1) Includesperformance-andtime-vestedrestrictedshares.Allrestrictedsharesareconsideredissuedatthetimeofgrantandareincludedinour

outstandingcommonshares.Performancesharesareissuedatthemaximumpotentialpayout.

(2) Includesperformance-andtime-vestedrestrictedshareunits.Sharessubjecttorestrictedshareunitsarenotareincludedinouroutstandingcommonsharesuntilvestedandsettled.Performance-vestedrestrictedshareunitsareassumedtovestatthemaximumpotentialpayout.

Thecompensationcommitteecarefullymonitorsourannualburnrateandtotaldilutionbygrantingonlythenumberofstock-basedawardsthatitbelievesisnecessarytoattract,rewardandretainkeyemployees,officersandotherserviceproviders.Burnrate,orrunrate,referstohowfastacompanyusesthesupplyofsharesauthorizedforissuanceunderitsshareincentiveplan.Overthelastthreeyears,wehavemaintainedanaverageburnrateofonly0.46%ofcommonsharesoutstandingperyear.Dilutionmeasuresthedegreetowhichourshareholders’ownershiphasbeendilutedbystock-basedcompensationawardedunderourshareplans.Thefollowingtableshowsourburnrateanddilutionpercentagesoverthepastthreeyears:

Key Equity Metrics 2014 2015 2016BurnRate(1) 0.40% 0.31% 0.66%Dilution(2) 0.37% 0.31% 0.65%_______________________________________________________________________________(1) Burnrateiscalculatedbydividingthenumberofcommonsharessubjecttoequityawardsgrantedduringthefiscalyear(including,inthecaseof

performance-basedawards,themaximumnumberofsharessubjecttosuchawardsintheyearofgrant)bytheweightedaveragenumberofcommonsharesoutstandingduringthefiscalyear.

(2) Dilutioniscalculatedbydividingthenumberofcommonsharessubjecttoequityawardsoutstandingattheendofthefiscalyear(including,inthecaseofperformance-basedawards,themaximumnumberofsharessubjecttosuchawardsintheyearofgrant)bythenumberofcommonsharesoutstandingattheendofthefiscalyear.

Summary of the Amended and Restated 2013 Plan

ThefollowingisasummaryofcertainmaterialfeaturesoftheAmendedandRestated2013Plan.

Purpose

TheAmendedandRestated2013Planisdesignedtoassistusinattracting,retaining,motivatingandrewardingcertainofourkeyemployees,officers,directorsandotherserviceproviders,andtopromotethecreationoflong-termvalueforourshareholdersbycloselyaligningtheinterestsofsuchindividualswiththoseoftheshareholders.

Administration

TheAmendedandRestated2013Planisadministeredbythecompensationcommitteeofourboardofdirectors,whichhastheauthoritytodesignateparticipants,grantawards,determinethenumberofcommonsharestobecoveredbyawards,determinethetermsandconditionsofanyawards,andconstrueandinterprettheAmendedandRestated2013Planandrelatedawardagreements.Thecompensationcommitteehastheauthoritytoacceleratethevestingofoutstandingawardsforanyreason,includingupona“corporateevent”(asdefinedbelow).Totheextentpermittedbyapplicablelaw,thecompensationcommitteeispermittedtodelegateitsauthorityundertheAmendedandRestated2013PlantoofficersoremployeesoftheCompany,althoughanyawardgrantedtoanypersonwhoisnotanemployeeoftheCompany(includinganynon-employeedirectoroftheCompanyoritsaffiliates),whoissubjecttoSection16oftheExchangeAct,orwhoisgrantedanawardthatis

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intendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCodemustbeexpresslyapprovedbytheCompensationCommittee.

SharesAvailableforIssuanceUndertheAmendedandRestated2013PlanandLimitsonAwards

Weareauthorizedtoissueamaximumof7,500,000commonsharesundertheAmendedandRestated2013Plan.Equity-basedawardsassumedorsubstitutedbytheCompanyoritsaffiliatesaspartofacorporatetransaction(includingfromanentitythatwemergewithorinto,acquire,orengagewithinasimilarcorporatetransaction)willnotcountagainstthenumberofsharesreservedandavailableforissuancepursuanttotheAmendedandRestated2013Plan.

IfanyawardgrantedundertheAmendedandRestated2013Planexpiresoriscanceled,forfeited,settledincashorotherwiseterminatedwithoutdeliveryofsharestoaparticipant,theundeliveredshareswillagainbecomeavailableforawardsundertheAmendedandRestated2013Plan.AnyshareswithheldforthepaymentofanyexercisepriceortaxesrelatingtoanyawardundertheAmendedandRestated2013Planwillbedeemedtoconstitutesharesdeliveredandwillnotbedeemedtoagainbeavailablefordeliveryundertheplan.

AwardsandthesharesauthorizedundertheAmendedandRestated2013Planaresubjecttoadjustmentasdescribedbelowunder“ChangesinCapitalStructure.”

DuringanytimethatwearesubjecttoSection162(m)oftheCode,totheextentanawardisintendedtoqualifyasexemptperformance-basedcompensationunderSection162(m)oftheCode,themaximumnumberofcommonsharessubjecttostockoptions,performanceawardsorstockappreciationrightsthatmaybegrantedtoanyindividualinanyonecalendaryearmaynotexceed1million.Similarly,themaximumvalueofaperformanceawardthatisvaluedindollars(asopposedtoshares)andthatisintendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCodethatmaybegrantedtoanyindividualinanyoneyearmaynotexceed$40million.ThemaximumnumberofcommonsharesreservedforissuanceundertheAmendedandRestated2013Planthatmaybeissuedortransferreduponexerciseorsettlementofincentivestockoptionsis7,500,000shares.Themaximumnumberofsharessubjecttoawardsgrantedtoanynon-employeedirectorduringonecalendaryearmaynotexceed50,000.AwardsandthecommonsharesauthorizedundertheAmendedandRestated2013Plan,aswellasanyindividualsharelimits,aresubjecttoadjustmentasdescribedbelowunder“ChangesinCapitalStructure.”TheclosingpriceofacommonshareasreportedontheNYSEonMarch17,2017was$36.00percommonshare.

Eligibility

ThefollowingindividualswillbeeligibletoparticipateintheAmendedandRestated2013Plan:

• employeesandofficersoftheCompanyoritsaffiliates;

• non-employeedirectorsoftheCompanyoritsaffiliates;

• otherindividualswhoprovidesubstantialservicestotheCompanyoritsaffiliatesasaconsultantoradvisor(orawhollyownedalteregoentityofsuchanindividual),andwhoaredesignatedaseligiblebythecompensationcommittee;and

• prospectiveemployeesoftheCompanyoritsaffiliates,althoughsuchindividualsmaynotreceiveanypaymentorexerciseanyrightsrelatingtoawardsuntiltheyhaveactuallycommencedemployment.

AsofMarch17,2017,therewereapproximately405employees,officers,directorsandotherindividualseligibletoparticipateintheAmendedandRestated2013Plan.

GrantsofAwards

PursuanttotheAmendedandRestated2013Plan,thecompensationcommitteemaygrantawardsofnon-qualifiedstockoptions,incentivestockoptions,stockappreciationrights,restrictedstock,restrictedcommonshareunits,performanceawards(includingcash-basedperformanceawards),andotherstock-basedawards.

StockOptions

Wehavenotgrantedstockoptionstoanyone,includingournamedexecutiveofficers,andhavenopresentintentiontograntstockoptionsinthenearterm.However,tomaintainmaximumflexibility,theAmendedandRestated2013Planallowsthegrantofbothincentivestockoptions,withinthemeaningofSection422(b)oftheCode,andnon-qualifiedstockoptions.

AstockoptiongrantedundertheAmendedandRestated2013Planprovidesaparticipantwiththerighttopurchase,withinaspecifiedperiodoftime,astatednumberofcommonsharesatthepricespecifiedintheapplicableawardagreement.Theexercisepriceapplicabletoastockoptionwillbesetbythecompensationcommitteeatthetimeofgrant.

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Stockoptionswillvestinaccordancewiththetermsoftheapplicableawardagreement.ThemaximumtermofastockoptiongrantedundertheAmendedandRestated2013Planis10yearsfromthedateofgrant(orfiveyearsinthecaseofanincentivestockoptiongrantedtoa10%shareholder).Paymentoftheexercisepriceofastockoptionmaybemadeinamannerapprovedbythecompensationcommittee,whichmayincludeanyofthefollowingpaymentmethods:cash,commonshares,pursuanttoabroker-assistedcashlessexerciseinaccordancewithproceduresapprovedbythecompensationcommittee,pursuanttoadeliveryofanoticeof“netexercise,”orinanyotherformofconsiderationapprovedbythecompensationcommittee.

TheAmendedandRestated2013Planprovidesthatparticipantsterminatedfor“cause”(assuchtermisdefinedintheAmendedandRestated2013Plan)willforfeitalloftheirstockoptions,whetherornotvested.Participantsterminatedforanyotherreasonwillforfeittheirunvestedstockoptionsandretaintheirvestedstockoptions,andwillhaveoneyear(inthecaseofaterminationbyreasonofdeathordisability)or90days(inallothercases)followingtheirterminationdatetoexercisetheirvestedstockoptions.Thecompensationcommitteemayalsoexerciseitsdiscretiontoprovidefordifferenttreatmentofstockoptionsupontermination.

NoincentivestockoptionsmaybegrantedundertheAmendedandRestated2013Planfollowingthe10thanniversaryoftheearlierof(i)thedatethe2013Planwasadoptedbytheboardofdirectorsand(ii)thedatetheshareholdersoftheCompanyapprovedthe2013Plan.

StockAppreciationRights.

Astockappreciationrightisaconditionalrighttoreceiveanamountequaltothevalueoftheappreciationinthecommonsharesoveraspecifiedperiod.Stockappreciationrightsmaybesettledincommonshares,cashorotherproperty,asspecifiedintheawardagreementorasdeterminedbythecompensationcommittee.Thebasepriceapplicabletoastockappreciationrightwillbesetbythecompensationcommitteeatthetimeofgrant.

ThemaximumtermofastockappreciationrightgrantedundertheAmendedandRestated2013Planis10yearsfromthedateofgrant.Uponexerciseofastockappreciationright,paymentinrespectofsuchstockappreciationrightmaybemadeincash,commonshares,orpropertyasspecifiedintheapplicableawardagreementorasdeterminedbythecompensationcommittee,ineachcasehavingavalueinrespectofeachcommonshareunderlyingtheportionofthestockappreciationrightsoexercised,equaltothedifferencebetweenthebasepriceofsuchstockappreciationrightandthefairmarketvalueofacommonshareontheexercisedate.

TheAmendedandRestated2013Planprovidesthatparticipantsterminatedfor“cause”(assuchtermisdefinedintheAmendedandRestated2013Plan)willforfeitalloftheirstockappreciationrights,whetherornotvested.Participantsterminatedforanyotherreasonwillforfeittheirunvestedstockappreciationrightsandretaintheirvestedstockappreciationrights,andwillhaveoneyear(inthecaseofaterminationbyreasonofdeathordisability)or90days(inallothercases)followingtheirterminationdatetoexercisetheirvestedstockappreciationrights.Thecompensationcommitteemayalsoexerciseitsdiscretiontoprovidefordifferenttreatmentofstockappreciationrightsupontermination.

RestrictedStock.

Anawardofrestrictedstockisagrantofcommonshareswhicharesubjecttolimitationsontransferduringarestrictedperiodestablishedintheapplicableawardagreement.Holdersofrestrictedstockwillgenerallyhavetherightsandprivilegesofashareholderwithrespecttotheirrestrictedstock.Unlessotherwisesetforthinanawardagreement,dividendswithrespecttotherestrictedstockwillbewithheldbytheCompanyonbehalfoftheparticipantandwillbesubjecttovestingandforfeituretothesamedegreeasthesharesofrestrictedstocktowhichsuchdividendsrelate.

Exceptasotherwiseprovidedbythecompensationcommittee,intheeventaparticipantisterminatedforanyreason,thevestingoftheparticipant’srestrictedstockwillcease,andassoonaspracticablefollowingthetermination,theCompanywillrepurchaseallofsuchparticipant’sunvestedsharesofrestrictedstockatapurchasepriceequaltotheoriginalpurchasepricepaidfortherestrictedstock,oriftheoriginalpurchasepricewas$0,theunvestedsharesofrestrictedstockwillbeforfeitedtotheCompanybytheparticipantfornoconsideration.

RestrictedStockUnits.

Arestrictedstockunitisanotionalunitrepresentingtherighttoreceiveonecommonshare(orthecashvalueofonecommonshare)onaspecifiedsettlementdate.Whenaparticipantsatisfiestheconditionsoftherestrictedstockunitawardestablishedbythecompensationcommitteeintheapplicableawardagreement,theawardwillbesettledincommonshares,cashorproperty,asdeterminedbythecompensationcommitteeinitsdiscretion.Unlessotherwisesetforthinanawardagreement,aparticipantwillnotbeentitledtoanydividendsordividendequivalentswithrespecttotherestrictedstockunitspriortosettlement.

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Exceptasotherwiseprovidedbythecompensationcommittee,intheeventaparticipantisterminatedforanyreason,thevestingwithrespecttotheparticipant’srestrictedstockunitswillcease,alloftheparticipant’sunvestedrestrictedstockunitswillbeforfeitedfornoconsiderationasofthedateofsuchtermination,andanysharesremainingundeliveredwithrespecttotheparticipant’svestedrestrictedstockunitswillbedeliveredonthedeliverydateordatesspecifiedintheapplicableawardagreement.

PerformanceAwards.

Aperformanceaward(whichmaybeclassifiedasaperformanceshare,performanceunitorcashaward)representstherighttoreceivecertainamountsbasedontheachievementofpre-determinedperformancegoalsduringadesignatedperformanceperiod.Thetermsofeachperformanceawardwillbesetforthintheapplicableawardagreement.Unlessotherwisesetforthinanawardagreement,dividendswithrespecttotheperformanceawardswillbewithheldbytheCompanyonbehalfoftheparticipantandwillbesubjecttovestingandforfeituretothesamedegreeastheperformanceawardstowhichsuchdividendsrelate.Aparticipanthasnorighttodividends,ifany,ordividendequivalents,withrespecttoperformanceawardsthatarenotearnedandvested.

Thecompensationcommitteewillberesponsibleforsettingtheapplicableperformancegoals,whichwillbelimitedtospecificlevelsoforincreasesinoneormoreofthefollowingbusinesscriteria(aloneorincombinationwithanyothercriterion,whethergrossornet,beforeoraftertaxes,and/orbeforeorafterotheradjustments,asdeterminedbythecompensationcommittee):(i)earnings,includingnetearnings,totalearnings,operatingearnings,earningsgrowth,operatingincome,earningsbeforeoraftertaxes,earningsbeforeorafterinterest,depreciation,amortization,orextraordinaryorspecialitemsorbookvaluepershare(whichmayexcludenonrecurringitems);(ii)pre-taxincomeorafter-taxincome;(iii)earningspershare(basicordiluted);(iv)operatingprofit;(v)revenue,revenuegrowth,orrateofrevenuegrowth'(vi)returnonassets(grossornet),returnoninvestment,returnoncapital,returnonequity,financialreturnratios,orinternalratesofreturn;(vii)returnsonsalesorrevenues;(viii)operatingexpenses;(ix)stockpriceappreciation;(x)cashflow(including,butnotlimitedto,operatingcashflowandfreecashflow),cashflowreturnoninvestment(discountedorotherwise),netcashprovidedbyoperationsorcashflowinexcessofcostofcapital,workingcapitalturnover;(xi)implementationorcompletionofcriticalprojectsorprocesses;(xii)economicvaluecreated;(xiii)balancesheetmeasurements;(xiv)cumulativeearningspersharegrowth;(xv)operatingmargin,profitmargin,orgrossmargin;(xvi)stockpriceortotalshareholderreturn;(xvii)costorexpensetargets,reductionsandsavings,productivityandefficiencies;(xviii)salesorsalesgrowth;(xix)strategicbusinesscriteria,consistingofoneormoreobjectivesbasedonmeetingspecifiedmarketpenetration,marketshare,geographicbusinessexpansion,customersatisfaction,employeesatisfaction,humanresourcesmanagement,supervisionoflitigation,informationtechnology,andgoalsrelatingtoacquisitions,divestitures,jointventures,andsimilartransactions,andbudgetcomparisons;(xx)personalprofessionalobjectives,includinganyoftheforegoingperformancegoals,theimplementationofpoliciesandplans,thenegotiationoftransactions,thedevelopmentoflong-termbusinessgoals,theformationofjointventures,researchordevelopmentcollaborations,andthecompletionofothercorporatetransactions;and(xxi)totheextentthatanawardisnotintendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCode,othermeasuresofperformanceselectedbythecompensationcommittee.Thebusinesscriteriamaybecombinedwithcostofcapital,assets,investedcapitalandshareholders’equitytoformanappropriatemeasureofperformanceandwillhaveanyreasonabledefinitionsthatthecompensationcommitteemayspecify.

ThebusinesscriteriaforperformancegoalsundertheAmendedandRestated2013Planmustbere-approvedbyourshareholdersnolaterthanthefirstshareholdermeetingthatoccursinthefifthyearfollowingtheyearinwhichshareholderspreviouslyapprovedthebusinesscriteriaforperformancegoalsinorderforawards(otherthanstockoptionsandstockappreciationrights)toqualifyas“performance-based”compensationwithinthemeaningofSection162(m)oftheCode.Assumingapprovalofthisproposal,thematerialtermsoftheperformancegoalsundertheAmendedandRestated2013Planwillneedtobere-approvedbyshareholdersatourAnnualMeetingin2022.

PerformancegoalsmaybeestablishedonaCompany-widebasis,projectorgeographicalbasisor,asthecontextpermits,withrespecttooneormorebusinessunits,divisions,linesofbusiness,subsidiaries,products,regions,orotheroperationalunitsoradministrativedepartmentsoftheCompany(orincombinationthereof)ormayberelatedtotheperformanceofanindividualparticipantandmaybeexpressedinabsoluteterms,orrelativeorcomparativeto(i)currentinternaltargetsorbudgets,(ii)thepastperformanceoftheCompany(includingtheperformanceofoneormoresubsidiaries,divisions,oroperatingunits),(iii)theperformanceofoneormoresimilarlysituatedcompanies,(iv)theperformanceofanindexcoveringmultiplecompanies,or(v)otherexternalmeasuresoftheselectedperformancecriteria.Performancegoalsmaybeineitherabsolutetermsorrelativetotheperformanceofoneormorecomparablecompaniesoranindexcoveringmultiplecompanies.

Thecompensationcommitteewillmakeappropriateadjustmentsinthemethodofcalculatingtheattainmentofapplicableperformancegoalstoprovideforobjectivelydeterminableadjustments,modificationsoramendments,asdeterminedinaccordancewith“generallyacceptedaccountingprinciples,”toanyofthebusinesscriteriadescribedaboveforoneormoreofthefollowingitemsofgain,loss,profitorexpense:(i)determinedtobeextraordinary,unusualornon-recurringinnature;(ii)

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relatedtochangesinaccountingprinciplesunder“generallyacceptedaccountingprinciples”ortaxlaws;(iii)relatedtocurrencyfluctuations;(iv)relatedtofinancingactivities(e.g.,effectonearningspershareofissuingconvertibledebtsecurities);(v)relatedtorestructuring,divestitures,productivityinitiativesornewbusinessinitiatives;(vi)relatedtodiscontinuedoperationsthatdonotqualifyasasegmentofbusinessunder“generallyacceptedaccountingprinciples”;(vii)attributabletothebusinessoperationsofanyentityacquiredbytheCompanyduringthefiscalyear;(viii)non-operatingitems;and(ix)acquisitionordivestitureexpenses.However,innoeventwillanyadjustmentbemadeiftheperformanceawardisintendedtoqualifyasperformance-basedcompensationunderSection162(m)oftheCodeandsuchadjustmentwouldcausetheawardtofailtosoqualify.

Performanceawardsthathavebeenearnedasaresultoftherelevantperformancegoalsbeingachievedmaybepaidintheformofcash,commonsharesorotherawardsundertheAmendedandRestated2013Plan(orsomecombinationthereof).Exceptasotherwiseprovidedbythecompensationcommittee,ifaparticipantisterminatedforanyreasonpriortotheendofanapplicableperformanceperiod,theparticipantwillforfeitallperformanceawardsheldbysuchparticipant.

OtherStock-BasedAwards.

TheAmendedandRestated2013Planauthorizesthecompensationcommitteetograntotherstock-basedawardsthatmaybedenominatedin,payablein,valuedin,orotherwiserelatedtoourcommonshares.Suchawardsandthetermsapplicabletosuchawardswillbesetforthinawardagreements.

Clawback;Sub-Plans

AllawardsgrantedundertheAmendedandRestated2013Planwillbesubjecttoincentivecompensationclawbackandrecoupmentpoliciesimplementedbytheboardofdirectors(oracommitteeorsubcommitteeoftheboard)fromtimetotime.Inaddition,thecompensationcommitteemayadoptsuchproceduresandsub-plansasarenecessaryorappropriatetopermitparticipationintheAmendedandRestated2013Planbyindividualswhoarenon-U.S.nationalsorareprimarilyemployedorprovidingservicesoutsidetheUnitedStates,andmaymodifythetermsofanyawardsgrantedtosuchparticipantsinamannerdeemedbythecompensationcommitteetobenecessaryorappropriateinorderthatsuchawardsconformwiththelawsofthecountryorcountrieswheresuchparticipantsarelocated.

NoRepricingofAwards

Noawardsmayberepricedwithoutshareholderapproval.ForpurposesoftheAmendedandRestated2013Plan,“repricing”meansanyofthefollowing:(i)changingthetermsoftheawardtoloweritsexercisepriceorbaseprice(otherthanonaccountofcapitaladjustmentsasdescribedbelowunder“ChangesinCapitalStructure”),(ii)anyotheractionthatistreatedasarepricingunder“generallyacceptedaccountingprinciples,”and(iii)repurchasingforcashorcancelinganawardinexchangeforanotherawardatatimewhenitsexercisepriceorbasepriceisgreaterthanthefairmarketvalueoftheunderlyingcommonshares.

MinimumVestingPeriod

Exceptasprovidedbelow,noawardgrantedundertheAmendedandRestated2013Plan(otherthananycash-basedperformanceaward)mayvestoveraperiodthatislessthanoneyearfromthedateofgrant.Theforegoingminimumvestingperiodwillnotapply:(i)toawardsgrantedinpaymentoforexchangeforanequivalentamountofsalary,bonusorotherearnedcashcompensation(includingperformanceshares);(ii)toasubstituteawardthatdoesnotreducethevestingperiodoftheawardbeingreplacedorassumed;or(iii)toawardsinvolvinganaggregatenumberofcommonsharesnotinexcessof5%oftheaggregatenumberofcommonsharesthatmaybedeliveredinconnectionwithawardsundertheAmendedandRestated2013Plan(subjecttoadjustmentasdescribedbelowunder“ChangesinCapitalStructure”).

ChangesinCapitalStructure

Intheeventof(i)anychangeinouroutstandingcommonsharesorcapitalstructurebyreasonofstockdividends,extraordinarycashdividends,stocksplits,reversestocksplits,recapitalizations,reorganizations,mergers,amalgamations,consolidations,combinations,exchanges,orotherrelevantchangesincapitalization,(ii)thedeclarationofanyextraordinarydividend,or(iii)anychangeinapplicablelawsorcircumstancesthatresultsorcouldresultinthesubstantialdilutionorenlargementofparticipants’rightsundertheAmendedandRestated2013Plan,thecompensationcommitteewillequitablyandproportionatelyadjustorsubstitute,asdeterminedbythecompensationcommitteeinitssolediscretion,theaggregatenumberofcommonsharesthatmaybegrantedpursuanttoawards,thenumberofcommonsharescoveredbyoutstandingawardsundertheAmendedandRestated2013Plan,andtheper-sharepriceofcommonsharesunderlyingoutstandingawardsundertheAmendedandRestated2013Plan.

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CorporateEvents

ForpurposesoftheAmendedandRestated2013Plan,a“corporateevent”means:

• amerger,amalgamation,orconsolidationinvolvingtheCompanyinwhichtheCompanyisnotthesurvivingcorporation;

• amerger,amalgamation,orconsolidationinvolvingtheCompanyinwhichtheCompanyisthesurvivingcorporationbuttheholdersofcommonsharesreceivesecuritiesofanothercorporationorotherpropertyorcash;

• a“changeincontrol”(asdefinedintheAmendedandRestated2013Plan);or

• areorganization,dissolutionorliquidationoftheCompany.

PursuanttotheAmendedandRestated2013Plan,inconnectionwithacorporateevent,thecompensationcommitteemaytakeanyofthefollowingactions:

• requirethatoutstandingawardsbeassumedorsubstitutedinconnectionwithsuchevent;

• acceleratethevestingofanyoutstandingawards,subjecttotheconsummationofsuchevent;providedthatanyawardsthatvestsubjecttotheachievementofperformancecriteriawillbedeemedearned(i)basedonactualperformancethroughthedateofthecorporateeventor(ii)atthetargetlevel(orifnotargetisspecified,themaximumlevel),intheeventactualperformancecannotbemeasuredthroughthedateofthecorporateevent,ineachcase,withrespecttoanyunexpiredperformanceperiodsorperformanceperiodsforwhichsatisfactionoftheperformancecriteriaorothermaterialtermsfortheapplicableperformanceperiodhasnotbeencertifiedbythecompensationcommitteepriortothedateofthecorporateevent;

• canceloutstandingawardsupontheconsummationofsuchevent(whethervestedorunvested)andprovideawardholderswiththeper-shareconsiderationbeingreceivedbytheCompany’sshareholdersinconnectionwithsucheventinexchangefortheirawards(or,withrespecttoacashaward,theamountpayablepursuanttotheaward);

• cancelalloutstandingstockoptions,stockappreciationrightsorotherawards(whethervestedorunvested)subjecttoexerciseasoftheconsummationofsuchevent,andprovidetheholderatleast10daystoexerciseeachstockoption,stockappreciationrightorotherawardcanceledpriortotheconsummationofsuchevent;or

• replaceoutstandingawardswithacashincentiveprogramthatpreservesthevalueofthereplacedawardsandcontainsidenticalvestingconditions.

Non-TransferabilityofAwards

Exceptasotherwiseprovidedbythecompensationcommittee,awardsaregenerallynon-transferableotherthanbywillorthelawsofdescentanddistributionandrestrictedstockisgenerallynon-transferable.

TerminationandAmendment

TheboardofdirectorsorthecompensationcommitteemayamendorterminatetheAmendedandRestated2013Planatanytime,exceptthatnoamendmentmay,withoutshareholderapproval,violatetheshareholderapprovalrequirementsofthenationalsecuritiesexchangeonwhichthecommonsharesareprincipallylisted.Unlesssoonerterminated,theAmendedandRestated2013Planwillterminateonthedaybeforethe10thanniversaryofthedatetheshareholdersoftheCompanyapprovedthe2013Plan.

Certain U.S. Federal Income Tax Consequences

ThefollowingisabriefdiscussionofcertainU.S.federalincometaxconsequencesforawardsgrantedundertheAmendedandRestated2013Plan.TheAmendedandRestated2013PlanisnotsubjecttotherequirementsoftheEmployeeRetirementIncomeSecurityActof1974,asamended,anditisnot,norisitintendedtobe,qualifiedunderSection401(a)oftheCode.

Thisdiscussionisbasedoncurrentlaw,isnotintendedtoconstitutetaxadvice,anddoesnotaddressallaspectsofU.S.federalincometaxationthatmayberelevanttoaparticularparticipantinlightofhisorherpersonalcircumstancesanddoesnotdescribeforeign,state,orlocaltaxconsequences,whichmaybesubstantiallydifferent.HoldersofawardsundertheAmendedandRestated2013Planareencouragedtoconsultwiththeirowntaxadvisors.

Non-QualifiedStockOptionsandStockAppreciationRights.Withrespecttonon-qualifiedstockoptionsandstockappreciationrights,(i)noincomeisrealizedbyaparticipantatthetimetheawardisgranted;(ii)generally,atexercise,

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ordinaryincomeisrealizedbytheparticipantinanamountequaltothedifferencebetweentheexerciseorbasepricepaidforthesharesandthefairmarketvalueofthesharesonthedateofexercise,andtheparticipant’semployerisgenerallyentitledtoataxdeductioninthesameamountsubjecttoapplicabletaxwithholdingrequirements;and(iii)uponasubsequentsaleofthestockreceivedonexercise,appreciation(ordepreciation)afterthedateofexerciseistreatedaseithershort-termorlong-termcapitalgain(orloss)dependingonhowlongtheshareshavebeenheld,andnodeductionwillbeallowedtosuchparticipant’semployer.

IncentiveStockOptions.Noincomeisrealizedbyaparticipantuponthegrantorexerciseofanincentivestockoption,however,suchparticipantwillgenerallyberequiredtoincludetheexcessofthefairmarketvalueofthesharesatexerciseovertheexercisepriceinhisorheralternativeminimumtaxableincome.Ifsharesareissuedtoaparticipantpursuanttotheexerciseofanincentivestockoption,andifnodisqualifyingdispositionofsuchsharesismadebysuchparticipantwithintwoyearsafterthedateofgrantorwithinoneyearafterthetransferofsuchsharestosuchparticipant,then(i)uponsaleofsuchshares,anyamountrealizedinexcessoftheexercisepricewillbetaxedtosuchparticipantasalong-termcapitalgain,andanylosssustainedwillbealong-termcapitalloss,and(ii)nodeductionwillbeallowedtotheparticipant’semployerforfederalincometaxpurposes.

Ifsharesacquiredupontheexerciseofanincentivestockoptionaredisposedofpriortotheexpirationofeitherholdingperioddescribedabove,generally(i)theparticipantwillrealizeordinaryincomeintheyearofdispositioninanamountequaltotheexcess(ifany)ofthefairmarketvalueofsuchsharesatexercise(or,ifless,theamountrealizedonthedispositionofsuchshares)overtheexercisepricepaidforsuchsharesand(ii)theparticipant’semployerwillgenerallybeentitledtodeductsuchamountforfederalincometaxpurposes.Anyfurthergain(orloss)realizedbytheparticipantwillbetaxedasshort-termorlong-termcapitalgain(orloss),asthecasemaybe,andwillnotresultinanydeductionbytheemployer.

Subjecttocertainexceptionsfordisabilityordeath,ifanincentivestockoptionisexercisedmorethanthreemonthsfollowingterminationofemployment,theexerciseofthestockoptionwillgenerallybetaxedastheexerciseofanon-qualifiedstockoption.

OtherStock-BasedAwards.Thetaxeffectsrelatedtootherstock-basedawardsundertheAmendedandRestated2013Planaredependentuponthestructureoftheparticularaward.

Withholding.Atthetimeaparticipantisrequiredtorecognizeordinarycompensationincomeresultingfromanaward,suchincomewillbesubjecttofederal(including,exceptasdescribedbelow,SocialSecurityandMedicaretax)andapplicablestateandlocalincometaxandapplicabletaxwithholdingrequirements.Ifsuchparticipant’syear-to-datecompensationonthedateofexerciseexceedstheSocialSecuritywagebaselimitforsuchyear($127,200in2017),suchparticipantwillnothavetopaySocialSecuritytaxesonsuchamounts.TheCompanyisrequiredtoreporttotheappropriatetaxingauthoritiestheordinaryincomereceivedbytheparticipant,togetherwiththeamountoftaxeswithheldtotheInternalRevenueServiceandtheappropriatestateandlocaltaxingauthorities.

Section162(m).Ingeneral,Section162(m)oftheCodedeniesapubliclyheldcorporationadeductionforfederalincometaxpurposesforcompensationinexcessof$1millionperyearperpersontoitschiefexecutiveofficerandthethreeotherhighest-paidexecutiveofficers(otherthanthechieffinancialofficer)employedattheendofthatcompany’sfiscalyear,subjecttocertainexceptions(includinganexceptionforperformance-basedcompensation).TheAmendedandRestated2013Planisdesignedsothatstockoptionsandstockappreciationrightsqualifyforthisexception,anditpermitstheCompensationCommitteetograntotherawardsdesignedtoqualifyforthisexemption.ThecompensationcommitteeisalsoauthorizedtograntawardsthatarenotqualifiedunderSection162(m)oftheCode.

Section409A.CertainawardsundertheAmendedandRestated2013PlanmaybesubjecttoSection409AoftheCode,whichregulates“nonqualifieddeferredcompensation”(asdefinedinSection409AoftheCode).IfanawardundertheAmendedandRestated2013Plan(oranyotherCompanyplan)thatissubjecttoSection409AoftheCodeisnotadministeredincompliancewithSection409AoftheCode,thenallcompensationundertheAmendedandRestated2013Planthatisconsidered“nonqualifieddeferredcompensation”(andawardsunderanyotherCompanyplanthatarerequiredpursuanttoSection409AoftheCodetobeaggregatedwiththeawardundertheAmendedandRestated2013Plan)willbetaxabletotheparticipantasordinaryincomeintheyearoftheviolation,oriflater,theyearinwhichthecompensationsubjecttotheawardisnolongersubjecttoasubstantialriskofforfeiture.Inaddition,theparticipantwillbesubjecttoanadditionaltaxequalto20%ofthecompensationthatisrequiredtobeincludedinincomeasaresultoftheviolation,plusinterestfromthedatethatthecompensationsubjecttotheawardwasrequiredtobeincludedintaxableincome.

Section457A.AwardsundertheAmendedandRestated2013Planthatconstitute“nonqualifieddeferredcompensation”(asdefinedinSection457AoftheCode)toparticipantsemployedby“nonqualifiedentities”(asdefinedinSection457AoftheCode)aresubjecttoU.S.incomeinclusionintheyearinwhichtheawardsarenolongersubjecttoasubstantialriskofforfeiture,whichmayoccurpriortowhensharesaredistributabletoaparticipantpursuanttothetermsofthe

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award.Reportingandwithholdingrequirementsmayapply.AfailuretotimelyreportU.S.incomeorpayassociatedtaxesinaccordancewithSection457AoftheCodemayresultinlatetaxpaymentorunder-reportingpenaltiesforanaffectedparticipant,andincertaincircumstances,anadditional20%tax.Generally,a“nonqualifiedentity”isanyforeigncorporationunlesssubstantiallyallofitsincomeiseffectivelyconnectedwiththeconductofatradeorbusinessintheUnitedStates,orunlessitissubjecttoacomprehensiveforeignincometax.CertainentitiesthatwouldbetaxedaspartnershipsintheUnitedStatesalsomaybetreatedas“nonqualifiedentities”unlesssubstantiallyallincomeoftheentity(orallocatedbytheentitytoitspartners)issubjecttoU.S.incometaxoranothercomprehensiveforeignincometax.

CertainRulesApplicableto“Insiders.”AsaresultoftherulesunderSection16(b)oftheExchangeAct,dependingupontheparticularexemptionfromtheprovisionsofSection16(b)utilized,“insiders”(asdefinedinSection16(b))maynotreceivethesametaxtreatmentassetforthabovewithrespecttothegrantand/orexerciseorsettlementofawards.Generally,insiderswillnotbesubjecttotaxationuntiltheexpirationofanyperiodduringwhichtheyaresubjecttotheliabilityprovisionsofSection16(b)withrespecttoanyparticularaward.Insidersshouldcheckwiththeirowntaxadvisorstoascertaintheappropriatetaxtreatmentforanyparticularaward.

New Plan Benefits

BecauseawardstobegrantedinthefutureundertheAmendedandRestated2013Planareatthediscretionofthecompensationcommittee,itisnotpossibletodeterminethebenefitsortheamountsthathavebeenorwillbereceivedbyeligibleparticipantsundertheAmendedandRestated2013Plan.

Securities Authorized for Issuance Under Equity Compensation Plans as of December 31, 2016

Thefollowingtablesetsforth,asofDecember31,2016,informationconcerningequitycompensationplansunderwhichoursecuritiesareauthorizedforissuance.Thetabledoesnotreflectgrants,awards,exercises,terminationsorexpirationssincethatdate.

Plan Category

Number of Securities to be Issued Upon

Exercise of Outstanding Options, Warrants and Rights

Weighted Average Exercise Price of

Outstanding Options,

Warrants and Rights

Number of Securities Remaining Available for Future Issuance

Under Equity Compensation Plans

(excluding securities includedin column (a))

(a) (b) (c) Equitycompensationplansapprovedbysecurityholders 493,161 (1) (2) 14,106,355 (3)Equitycompensationplansnotapprovedbysecurityholders — — —

Total 493,161 — 14,106,355 _______________________________________________________________________________

(1) Allofthesesharesaresubjecttooutstandingrestrictedcommonshareunitawards.Thisnumberdoesnotinclude2,107,876sharesthataresubjecttothen-outstanding,butunvested,restrictedcommonshareawardsbecausethosesharesareconsideredissuedatthetimeofgrant.

(2) Notapplicablebecausealloutstandingawardsreflectedincolumn(a)willbeissueduponthevestingofoutstandingrestrictedcommonshareunits.

(3) AllofthesharesthatremainedavailableforfutureissuanceasofDecember31,2016,wereavailableunderthe2013Plan.Subjecttocertainexpresslimitsofthe2013Plan,sharesavailableforawardpurposesunderthe2013Plangenerallymaybeusedforanytypeofawardauthorizedunderthatplanincludingoptions,stockappreciationrights,andotherformsofawardsgrantedordenominatedinourcommonsharesincluding,withoutlimitation,stockbonuses,restrictedstock,restrictedstockunitsandperformanceshares.Atotalof14,700,000commonshareswereoriginallyreservedandavailablefordeliveryunderthe2013Plan.Thetotalnumberofcommonsharesreservedandavailablefordeliveryunderthe2013Planwasincreasedonthefirstdayofeachofourfiscalyearsbeginningwith2014inanamountequaltothelesserof(i)1,500,000commonshares,(ii)2%ofouroutstandingcommonsharesonthelastdayoftheimmediatelyprecedingfiscalyear,or(iii)suchnumberofcommonsharesasdeterminedbyourboardofdirectors.AsofDecember31,2016,thetotalnumberofcommonsharesreservedandavailablefordeliveryunderthe2013Planwas14,106,355.Commonsharesunderlyingawardsthataresettledincash,cancelled,forfeited,orotherwiseterminatedwithoutdeliverytoaparticipantwereagainavailableforissuanceunderthe2013Plan.Commonshareswithheldorsurrenderedinconnectionwiththepaymentofanexercisepriceofanawardortosatisfytaxwithholdingdidnotagain

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becomeavailableforissuanceunderthe2013Plan.TheAmendedandRestatedPlanapprovedbyourboardofdirectorsinFebruary2017willreducethenumberofcommonsharesreservedforissuancefrom14.7millionto7.5million.

Recommendation and Vote

ApprovalofthisproposalrequirestheaffirmativevoteofamajorityofthevotescastattheAnnualMeetingandentitledtovotethereon.

THE BOARD OF DIRECTORS UNANIMOUSLY RECOMMENDS THAT SHAREHOLDERS VOTE FOR THE APPROVAL OF THE ESSENTGROUP LTD. 2013 LONG-TERM INCENTIVE PLAN, AS AMENDED AND RESTATED.

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ADDITIONAL INFORMATION

Section 16(a) Beneficial Ownership Reporting Compliance

Section16(a)oftheSecuritiesExchangeActof1934requiresourofficers,membersofourboardofdirectorsandpersonswhoownmorethan10%ofourcommonsharestofilereportsofownershipandchangesinownershipwiththeSecuritiesandExchangeCommission.Officers,directorsandgreaterthan10%shareholdersarerequiredbyregulationtofurnishuswithcopiesofallSection16(a)formsthattheyfile.Basedsolelyonareviewofthecopiesofsuchformsfurnishedtous,orwrittenrepresentationsthatnoannualstatementsofbeneficialownershipofsecuritiesonForm5wererequiredtobefiled,webelievethatduringtheyearendedDecember31,2016ourofficers,directorsandgreaterthan10%shareholderscompliedwithallapplicableSection16(a)filingrequirements.

Annual Report to Shareholders

OurAnnualReportonForm10-KfortheyearendedDecember31,2016hasbeenposted,andisavailablewithoutcharge,onourcorporatewebsiteatwww.essentgroup.com.In addition, we will provide, without charge, a copy of our Annual Report on Form 10-K for the year ended December 31, 2016(including the financial statements and the financial statement schedules but excluding the exhibits thereto) to any shareholder of record or beneficialowner of our common shares. Requests can be made by writing to Secretary, Essent Group Ltd., Clarendon House, 2 Church Street, Hamilton HM11,Bermuda.

Other Business at the Annual Meeting

Ourboardofdirectorsdoesnotpresentlyintendtobringanyotherbusinessbeforethemeeting,and,sofarasisknowntoourboardofdirectors,nomattersaretobebroughtbeforethemeetingexceptasspecifiedintheNoticeofAnnualGeneralMeetingofShareholders.Astoanybusinessthatmayproperlycomebeforethemeeting,however,itisintendedthatproxies,intheformenclosed,willbevotedinrespectthereofinaccordancewiththejudgmentofthepersonsvotingsuchproxies.

OurfinancialstatementsfortheyearendedDecember31,2016andtheauditors'reportthereonwillbeformallypresentedattheAnnualMeeting,butnoshareholderactionisrequiredthereon.

Shareholder Proposals and Director Nominations for the 2018 Annual General Meeting of Shareholders

ShareholderproposalssubmittedtouspursuanttoRule14a-8promulgatedundertheSecuritiesExchangeActof1934forinclusioninourproxystatementandformofproxyforour2017AnnualGeneralMeetingofShareholdersmustbereceivedbyusnolaterthanDecember2,2017andmustcomplywiththerequirementsoftheproxyrulespromulgatedbytheSEC.

Inaccordancewithourcurrentbylaws,foraproposalofashareholdertoberaisedfromthefloorandpresentedatour2017AnnualGeneralMeetingofShareholders,otherthanashareholderproposalintendedtobeincludedinourproxystatementandsubmittedpursuanttoRule14a-8promulgatedundertheSecuritiesExchangeActof1934,ashareholder'snoticemustbedeliveredto,ormailedandreceivedat,ourprincipalexecutiveoffices,togetherwithallsupportingdocumentationrequiredbyourbylaws,(A)notpriortoJanuary4,2018norlaterthanFebruary3,2018or(B)intheeventthatthe2017AnnualMeetingofShareholdersisheldpriortoApril3,2018orafterJune2,2018,noticebytheshareholdermustbesoreceivednoearlierthanthe120thdaypriortotheannualmeetingandnotlaterthanthelaterofthe70thdaypriortotheannualmeetingorthe10thdayfollowingthedayonwhichpublicannouncementofthedateofthemeetingisfirstmade.ShareholderproposalsshouldbeaddressedtoourSecretaryatEssentGroupLtd.,ClarendonHouse,2ChurchStreet,HamiltonHM11,Bermuda.

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APPENDIX A

ESSENT GROUP LTD.ANNUAL INCENTIVE PLAN

1. Purpose.

ThepurposesofthePlanaretoenabletheCompanyanditsSubsidiariestoattract,retain,motivateandrewardthebestqualifiedexecutiveofficersandkeyemployeesbyprovidingthemwiththeopportunitytoearncompetitivecompensationdirectlylinkedtotheCompany’sperformance.

2. Definitions.

Unlessthecontextrequiresotherwise;thefollowingwordsasusedinthePlanshallhavethemeaningsascribedtoeachbelow.

(a) “Board”meanstheBoardofDirectorsoftheCompany.

(b) “Code”meanstheU.S.InternalRevenueCodeof1986,asamendedfromtimetotime,includingregulationsthereunderandsuccessorprovisionsandregulationsthereto.

(c) “Committee”meanstheCompensationCommitteeoftheBoardorsuchothercommitteeorsubcommitteeoftheBoardastheBoardoradulyauthorizedcommitteeoftheBoardshalldesignatefromtimetotime,consistingoftwoormoremembers,eachofwhomisan“independent”directorunderthelistingrequirementsofanyexchangeonwhichtheSharesarethenlisted,and,astoanycompensationintendedtoqualifyas“performance-basedcompensation”underSection162(m),an“outsidedirector”withinthemeaningofSection162(m).

(d) “Company”meansEssentGroupLtd.,alimitedliabilitycompanyorganizedunderthelawsofBermuda,anditssuccessorsbyoperationoflaw.

(e) “CoveredEmployee”meansany“coveredemployee”asdefinedinSection162(m)(3)oftheCode.

(f) “ExchangeAct”meanstheU.S.SecuritiesandExchangeActof1934,asamended,includingregulationsthereunderandsuccessorprovisionsandregulationsthereto.

(g) “ExecutiveOfficer”meansany“officer”withinthemeaningofRule16(a)-1(f)promulgatedundertheExchangeActoranyCoveredEmployee.

(h) “Long-TermIncentivePlan”meanstheEssentGroupLtd.2013Long-TermIncentivePlanoranyothershareholder-approvedequity-basedcompensationplanmaintainedbytheCompany.

(i) “Participant”means(i)eachexecutiveofficeroftheCompanyand(ii)eachotheremployeeoftheCompanyoraSubsidiarywhomtheCommitteedesignatesasaparticipantunderthePlan.

(j) “PerformanceGoals”meanstheobjectivesestablishedbytheCommitteeforaPerformancePeriodpursuanttoSection4(a)hereofforthepurposeofdeterminingwhetherabonusunderthePlanhasbeenearned.

(k) “PerformancePeriod”meanseachfiscalyearoranotherperiodasdesignatedbytheCommitteewithrespecttowhichPerformanceGoalsareestablished.

(l) “Plan”meansthisEssentGroupLtd.AnnualIncentivePlan,assetforthhereinandasmayhereafterbeamendedfromtimetotime.

(m) “Section162(m)”meansSection162(m)oftheCode.

(n) “Section409A”meansSection409AoftheCode.

(o) “Shares”meansthecommonsharesoftheCompany,parvalue$0.015pershare.

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(p) “Subsidiary”meansanybusinessentityinwhichtheCompanyowns,directlyorindirectly,fiftypercent(50%)ormoreofthetotalcombinedvotingpowerofallclassesofsharesentitledtovote,andanyotherbusinessorganization,regardlessofform,inwhichtheCompanypossesses,directlyorindirectly,fiftypercent(50%)ormoreofthetotalcombinedequityinterests.

3. Administration.

(a) RoleoftheCommittee.TheCommitteeshalladministerandinterpretthePlan,providedthat,innoeventshallthePlanbeinterpretedinamannerwhichwouldcauseanyawardintendedtobequalifiedasperformancebasedcompensationunderSection162(m)tofailtosoqualify.TheCommitteeshallhavetheauthorityinitssoleandabsolutediscretionto(i)construe,interpretandimplementthePlan;(ii)establishthePerformanceGoalsforanyfiscalyearorotherPerformancePerioddeterminedbytheCommitteeinaccordancewithSection4hereofandcertifywhethersuchPerformanceGoalshavebeenobtained;(iii)establish,amend,orrescindrulesandregulationsrelatingtotheoperationofthePlan;(iv)toselectParticipants;(v)todeterminebonusawardopportunities;(vi)correctanydefect,supplyanyomissionandreconcileanyinconsistencyofthisPlan,and(vii)tomakealldeterminationsandtakeallotheractionsnecessaryorappropriatefortheproperadministrationofthePlan.AnydeterminationmadebytheCommitteeunderthePlanshallbefinal,bindingandconclusive.TheCommitteemayemploysuchlegalcounsel,consultantsandagents(includingcounseloragentswhoareemployeesoftheCompanyoraSubsidiary)asitmaydeemdesirablefortheadministrationofthePlanandmayrelyuponanyopinionreceivedfromanysuchcounselorconsultantoragentandanycomputationreceivedfromsuchconsultantoragent.AllexpensesincurredintheadministrationofthePlan,including,withoutlimitation,fortheengagementofanycounsel,consultantoragent,shallbepaidbytheCompany.NomemberorformermemberoftheBoardortheCommitteeoranyoftheCompany’sdirectors,officersoremployeesshallbeliableforanyact,omission,interpretation,constructionordeterminationmadeinconnectionwiththePlanotherthanasaresultofsuchindividual’swillfulmisconduct.

(b) Delegation.TheCommitteemayallocateamongitsmembersandmaydelegatesomeorallofitsauthorityoradministrativeresponsibilitytosuchindividualorindividualswhoarenotmembersoftheCommitteeasitshalldeemnecessaryorappropriate;provided,however,theCommitteemaynotdelegateanyofitsauthorityoradministrativeresponsibilityhereunderifsuchdelegationwouldcauseanyawardpayableunderthisPlanintendedtoqualifyas“performance-basedcompensation”underSection162(m)nottobeconsideredperformance-basedcompensation”withinthemeaningofSection162(m),andanysuchattempteddelegationshallnotbeeffectiveandshallbevoidabinitio.

4. Bonuses.

(a) PerformanceCriteria.TheCommitteeshallestablishtheperformanceobjectiveorobjectivesthatmustbesatisfiedinorderforaParticipanttoreceiveabonusawardforeachPerformancePeriodandtheobjectiveformulaorstandardforcomputingtheamountofthebonusawardpayabletotheParticipantifthePerformanceGoalsareattained,providedthat,totheextentSection162(m)isapplicabletotheCompanyandthePlan,andforthoseawardsintendedtoqualifyas“performance-basedcompensation”underSection162(m),theCommitteeshallestablishtheobjectiveorobjectivesthatmustbesatisfiedinorderforaParticipanttoreceiveanawardforaPerformancePeriodnolaterthan90daysafterthecommencementofthePerformancePeriod(orsuchotherdateasmayberequiredorpermittedunderSection162(m))and,innoevent,laterthanthedateonwhichtwentyfivepercent(25%)ofthePerformancePeriodhaselapsed.UnlesstheCommitteedeterminesatthetimeofgrantnottoqualifytheawardas“performance-basedcompensation”underSection162(m)orSection162(m)isotherwisenotapplicabletoanawardunderthePlan,anysuchPerformanceGoalsforaPerformancePeriodwillbebaseduponspecifiedlevelsoforincreasesinoneormoreofthefollowingbusinesscriteria(aloneorincombinationwithanyothercriterion,whethergrossornet,beforeoraftertaxes,and/orbeforeorafterotheradjustments,asdeterminedbytheCommittee):(i)earnings,includingnetearnings,totalearnings,operatingearnings,earningsgrowth,operatingincome,earningsbeforeoraftertaxes,earningsbeforeorafterinterest,depreciation,amortization,orextraordinaryorspecialitemsorbookvaluepershare(whichmayexcludenonrecurringitems);(ii)pre-taxincomeoraftertaxincome;(iii)earningspershare(basicordiluted);(iv)operatingprofit;(v)revenue,revenuegrowth,orrateofrevenuegrowth;(vi)returnonassets(grossornet),returnoninvestment,returnoncapital,returnonequity,financialreturnratios,orinternalratesofreturn;(vii)returnsonsalesorrevenues;(viii)operatingexpenses;(ix)sharepriceappreciation;(x)cashflow(including,butnotlimitedto,operatingcashflowandfreecashflow),cashflowreturnoninvestment(discountedorotherwise),netcashprovidedbyoperationsorcashflowinexcessofcostofcapital,workingcapitalturnover;(xi)implementationorcompletionofcriticalprojectsorprocesses;(xii)economicvaluecreated;(xiii)balancesheetmeasurements;(xiv)cumulativeearningspersharegrowth;(xv)operatingmargin,profitmargin,orgrossmargin;(xvi)sharepriceortotalshareholderreturn;(xvii)costorexpensetargets,reductionsandsavings,productivityandefficiencies;(xviii)salesorsalesgrowth;(xix)strategicbusinesscriteria,consistingofoneormoreobjectivesbasedonmeetingspecifiedmarketpenetration,marketshare,geographicbusinessexpansion,customersatisfaction,employeesatisfaction,humanresourcesmanagement,supervisionoflitigation,information

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technology,andgoalsrelatingtoacquisitions,divestitures,jointventures,andsimilartransactions,andbudgetcomparisons;(xx)personalprofessionalobjectives,includinganyoftheforegoingperformancegoals,theimplementationofpoliciesandplans,thenegotiationoftransactions,thedevelopmentoflongtermbusinessgoals,theformationofjointventures,researchordevelopmentcollaborations,andthecompletionofothercorporatetransactions,and(xxi)foranyperiodoftimeinwhichSection162(m)isnotapplicabletotheCompanyandthePlan,oratanytimeinthecaseof(A)personswhoarenotCoveredEmployeesor(B)awards(whetherornottoCoveredEmployees)notintendedtoqualifyas“performance-basedcompensation”underSection162(m),suchothercriteriaasmaybedeterminedbytheCommittee.PerformanceGoalsmaybeestablishedonaCompany-widebasis,projectorgeographicalbasisor,asthecontextpermits,withrespecttooneormorebusinessunits,divisions,linesofbusiness,subsidiaries,products,orotheroperationalunitsoradministrativedepartmentsoftheCompany(orincombinationthereof)ormayberelatedtotheperformanceofanindividualParticipantandmaybeexpressedinabsoluteterms,orrelativeorcomparativeto(1)currentinternaltargetsorbudgets,(2)thepastperformanceoftheCompany(includingtheperformanceofoneormoresubsidiaries,divisions,oroperatingunits),(3)theperformanceofoneormoresimilarlysituatedcompanies,(4)theperformanceofanindexcoveringmultiplecompanies,or(5)otherexternalmeasuresoftheselectedperformancecriteria.PerformanceGoalsmaybeineitherabsolutetermsorrelativetotheperformanceofoneormorecomparablecompaniesoranindexcoveringmultiplecompanies.

Thebusinesscriteriamentionedabove(i)maybecombinedwithcostofcapital,assets,investedcapitalandshareholderequitytoformanappropriatemeasureofperformanceand(ii)shallhaveanyreasonabledefinitionsthattheCommitteemayspecify,and,totheextentpermittedunderSection162(m)(including,withoutlimitation,compliancewithanyrequirementsforshareholderapproval)inthecaseofawardsintendedtoqualifyas“performance-basedcompensation”underSection162(m),unlesstheCommitteeprovidesotherwiseatthetimeofestablishingthePerformanceGoals,theCommitteemay:(A)designateadditionalbusinesscriteriaonwhichthePerformanceGoalsmaybebasedor(B)provideforobjectivelydeterminableadjustments,modificationsoramendments,asdeterminedinaccordancewithGenerallyAcceptedAccountingPrinciples(“GAAP”),toanyofthebusinesscriteriadescribedaboveforoneormoreofthefollowingitemsofgain,loss,profitorexpense:(a)determinedtobeextraordinary,unusualornon-recurringinnature;(b)relatedtochangesinaccountingprinciplesunderGAAPortaxlaws(including,withoutlimitation,anyadjustmentsthatwouldresultintheCompanypayingnon-deductiblecompensationtoaParticipant);(c)relatedtocurrencyfluctuations;(d)relatedtofinancingactivities(e.g.,effectonearningspershareofissuingconvertibledebtsecurities);(e)relatedtorestructuring,divestitures,productivityinitiativesornewbusinessinitiatives;(f)relatedtodiscontinuedoperationsthatdonotqualifyasasegmentofbusinessunderGAAP;(g)attributabletothebusinessoperationsofanyentityacquiredbytheCompanyduringthefiscalyear;non-operatingitems;and(h)acquisitionexpenses.

(b) MaximumAmountPayable.SubjecttoSection4(c),if,pursuanttoSection4(f)hereof,theCommitteecertifiesinwritingthatanyofthePerformanceGoalsestablishedfortherelevantPerformancePeriodunderSection4(a)hasbeensatisfied,eachParticipantwhoisemployedbytheCompanyoroneofitsSubsidiariesonthelastdayofthePerformancePeriodforwhichthebonusispayableshallbeentitledtoreceiveanannualbonusinanamountnottoexceed$10,000,000.

(c) TerminationofEmployment.UnlessotherwisedeterminedbytheCommitteeinitssoleandabsolutediscretionatthetimetheperformancecriteriaareselectedforaparticularPerformancePeriodinaccordancewithSection4(a)orasotherwiseprovidedinaParticipant’semployment,severanceorsimilaragreement,ifaParticipant’semploymentwiththeCompanyanditsSubsidiariesterminatesforanyreasonpriortothedateonwhichtheawardispaidhereunder,suchParticipantshallforfeitallrightstoanyandallawardswhichhavenotyetbeenpaidunderthePlan;providedthat,ifaParticipant’semploymentterminatesforanyreasonpriortothedateonwhichtheawardispaidhereunder,theCommittee,initssoleandabsolutediscretion,maywaiveanyforfeiturepursuanttoSection4inwholeorinpart,but,totheextentSection162(m)isapplicabletotheCompanyandthePlan,theCommitteemaynotwaivesatisfactionofPerformanceGoalswithrespecttoanyCoveredEmployee.ForanyParticipantwhoisaCoveredEmployee,totheextentSection162(m)isapplicabletotheCompanyandthePlan,ifsuchParticipant’semploymentterminatesforanyreasonpriortothelastdayofthePerformancePeriodforwhichthebonusispayableandtheCommitteeexercisesitssoleandabsolutediscretionunderthisSection4(c)towaiveforfeitureofalloraportionofsuchawardunderthePlan,themaximumbonuspayabletosuchParticipantunderSection4(b)aboveshallbemultipliedbyafraction,thenumeratorofwhichisthenumberofdaysthathaveelapsedduringthePerformancePeriodinwhichtheterminationoccurspriortoandincludingthedateoftheParticipant’sterminationofemploymentandthedenominatorofwhichisthetotalnumberofdaysinthePerformancePeriod.

(d) NegativeDiscretion.NotwithstandinganythingelsecontainedinSection4(b)tothecontrary,theCommitteeshallhavetheright,initssoleandabsolutediscretion,(i)toreduceoreliminatetheamountotherwisepayabletoanyParticipantunderSection4(b)basedonindividualperformanceorconductoranyotherfactorsthattheCommittee,initssoleandabsolutediscretion,shalldeemappropriateand(ii)toestablishrulesorproceduresthathavetheeffectoflimitingtheamountpayabletoeachParticipanttoanamountthatislessthanthemaximumamountotherwiseauthorizedunderSection4(b).

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(e) AffirmativeDiscretion.NotwithstandinganyotherprovisioninthePlantothecontrary(including,withoutlimitation,themaximumamountspayableunderSection4(b)),butsubjectinthecaseofbonusespaidinequity-basedawardsundertheLong-TermIncentivePlantothemaximumnumberofsharesavailableforissuanceundertheLong-TermIncentivePlan,(i)theCommitteeshallhavetheright,initssoleandabsolutediscretion,tograntanyannualbonusincashand/oranequity-basedawardundertheLong-TermIncentivePlanofequivalentvalue(providedthatindeterminingthenumberofShares(whetherrestrictedorunrestricted)thatisequivalenttoadollaramount,thatdollaramountshallbedividedbytheweightedaverageclosingpriceofaShare,astradedonanationalsecuritiesexchangeonthedateanyequity-basedawardinsettlementoftheannualbonus(oraportionthereof)forthe30consecutivetradingdaysimmediatelyprecedingthedatesuchequity-basedawardsaregranted(withfractionalsharesbeingroundedtothenearestwholeshare))toanyParticipantand(ii)inconnectionwiththehiringofanypersonwhoisorbecomesaCoveredEmployee,theCommitteemayprovideforaminimumbonusamountinanyPerformancePeriod,regardlessofwhetherperformanceobjectivesareattained.

(f) CertificationofAttainmentofPerformanceGoals.AssoonaspracticableaftertheendofaPerformancePeriodandpriortoanypaymentinrespectofsuchPerformancePeriod,theCommitteeshallcertifyinwritingwhetherandtowhatextent,ifatall,thePerformanceGoalforthePerformancePeriodhavebeensatisfied.

(g) Post-IPOTransitionPeriod.Fortheavoidanceofdoubt,totheextentthatSection162(m)doesnotapplytothePlanpriortothefirstmeetingofshareholdersatwhichdirectorsaretobeelectedthatoccursafterthecloseofthethirdcalendaryearfollowingthecalendaryearinwhichtheSharesoftheCompanybecomespubliclyheldpursuanttoaninitialpublicofferingorsuchotherdaterequiredbySection162(m),theCommitteeshallhavethesoleandabsolutediscretiontoestablishperformanceobjectiveswithoutreferencetothecriteriasetforthintheregulationsunderSection162(m),includingbutnotlimitedtoU.S.TreasuryRegulationSection1.162-27(e),toexerciseaffirmativediscretionwithrespecttoCoveredEmployees,towaiveforfeitureofanawarduponterminationandtotakeactionbyacommitteethatisnotcomposedof“outsidedirectors”asdefinedinSection162(m).

5. Payment.

Exceptasotherwiseprovidedhereunder,paymentofanybonusamountdeterminedunderSection4shallbemadetoeachParticipantassoonaspracticableaftertheCommitteecertifiesthatoneormoreoftheapplicablePerformanceGoalshavebeenattained(or,inthecaseofanybonuspayableundertheprovisionsofSection4(d),aftertheCommitteedeterminestheamountofanysuchbonus),butinnoeventlaterthanMarch15oftheyearimmediatelyfollowingtheendofthefiscalyearinwhichthePerformancePeriodends.

6. Form of Payment.

TheCommitteeshalldeterminewhetheranybonuspayableunderthePlanispayableincashand/orequity-basedawardsundertheLong-TermIncentivePlan.TheCommitteeshallhavetherighttoimposewhateverconditionsitdeemsappropriatewithrespecttotheawardofequity-basedawards,includingconditioningthevestingofsuchsharesorawardsontheperformanceofadditionalservice.

7. General Provisions.

(a) EffectivenessofthePlan.ThePlaniseffectivethedayimmediatelypriortothedatetheCompanybecomespubliclyheldwithinthemeaningofU.S.TreasuryRegulationSection1.162-27(f)(1).ItisintendedthatthisPlanandtheawardsshallqualifyforthetransitionrulecontainedinU.S.TreasuryRegulationSection§1.162-27(f)(1)duringtheperiodsetforththerein.UnlessotherwisedeterminedbytheBoard,itisintendedthatthematerialtermsofthisPlan(includingtheaforementionedbusinesscriteria)willbedisclosedtoandreapprovedbytheCompany’sshareholdersonorbeforethefirstmeetingofshareholdersatwhichdirectorsaretobeelectedthatoccursafterthecloseofthethirdcalendaryearfollowingthecalendaryearinwhichtheSharesareregisteredundertheExchangeActtotheextentnecessarytocontinuetoqualifytheamountspayablehereundertoCoveredEmployeesas“performance-basedcompensation”underSection162(m).

(b) Withholding.AnyamountpayabletoaParticipantorabeneficiaryunderthisPlanshallbesubjecttoanyapplicableFederal,state,localincomeandemploymenttaxesandanyotheramountsthattheCompanyoraSubsidiaryisrequiredatlawtodeductandwithholdfromsuchpayment.

(c) Non-alienationofBenefits.Exceptasexpresslyprovidedherein,noParticipantorbeneficiaryshallhavethepowerorrighttotransfer,sell,assign,pledge,charge,hedge,hypothecate,anticipate,orotherwiseencumberordisposeoftheParticipant’sinterestunderthePlan,andanyattempttodososhallbenullandvoid.TheCompany’sobligationsunderthis

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Planarenotassignableortransferableexceptto(i)aSubsidiaryoraffiliateoftheCompany,(ii)acorporationorotherentitywhichacquiresallorsubstantiallyalloftheCompany’soraSubsidiary’sassetsor(iii)anycorporationorcompanyintowhichtheCompanyoranySubsidiarymaybemerged,amalgamatedorconsolidated.TheprovisionsofthePlanshallinuretothebenefitofeachParticipantandtheParticipant’sbeneficiaries,heirs,executors,administratorsorsuccessorsininterest.

(d) NoLimitationonCompensation.NothinginthePlanshallbeconstruedtolimittherightoftheCompanytoestablishotherplansortopaycompensationtoitsemployees,incashorproperty,inamannerwhichisnotexpresslyauthorizedunderthePlan,includingincentivearrangementsandawardsthatdonotqualifyunderSection162(m).

(e) NoRightofContinuedEmployment.Nopersonshallhaveanyclaimorrighttobegrantedanaward,andthegrantofanawardshallnotbeconstruedasgivingaParticipanttherighttoberetainedintheemployoftheCompany.Thegrantofanawardhereunder,andanyfuturegrantofawardsunderthePlanisentirelyvoluntary,andatthecompletediscretionoftheCompany.NeitherthegrantofanawardnoranyfuturegrantofawardsbytheCompanyshallbedeemedtocreateanyobligationtograntanyfurtherawards,whetherornotsuchareservationisexplicitlystatedatthetimeofsuchagrant.ThePlanshallnotbedeemedtoconstitute,andshallnotbeconstruedbytheParticipanttoconstitute,partofthetermsandconditionsofemploymentandparticipationinthePlanshallnotbedeemedtoconstitute,andshallnotbedeemedbytheParticipanttoconstitute,anemploymentorlaborrelationshipofanykindwiththeCompany.TheemployerexpresslyreservestherightatanytimetodismissaParticipantfreefromanyliability,oranyclaimunderthePlan,exceptasprovidedhereinandinanyagreemententeredintowithrespecttoanaward.TheCompanyexpresslyreservestherighttorequire,asaconditionofparticipationinthePlan,thatawardrecipientsagreeandacknowledgetheaboveinwriting.Further,theCompanyexpresslyreservestherighttorequireawardrecipients,asaconditionofparticipation,toconsentinwritingtothecollection,transferfromtheemployertotheCompanyandthirdparties,storageanduseofpersonaldataforpurposesofadministeringthePlan.

(f) NoLimitationonActions.NothingcontainedinthePlanshallbeconstruedtopreventtheCompanyoranySubsidiaryfromtakinganyactionwhichisdeemedbyittobeappropriateorinitsbestinterest(asdeterminedinitssoleandabsolutediscretion),whetherornotsuchactionwouldhaveanadverseeffectonanyawardsmadeunderthePlan.NoParticipant(oranyoneclaimingthroughaParticipant),employee,beneficiaryorotherpersonshallhaveanyclaimagainsttheCompanyoranySubsidiaryasaresultofanysuchaction.

(g) Clawback/RecoupmentPolicy.Notwithstandinganythingcontainedhereintothecontrary,allAwardsgrantedunderthePlanshallbeandremainsubjecttoanyincentivecompensationclawbackorrecoupmentpolicycurrentlyineffectorasmaybeadoptedbytheBoard(oracommitteeorasubcommitteeoftheBoard)and,ineachcase,asmaybeamendedfromtimetotime.NosuchpolicyadoptionoramendmentshallinanyeventrequirethepriorconsentofanyParticipant.

(h) ConstructionofthePlan.Thevalidity,construction,interpretation,administrationandeffectofthePlanandofitsrulesandregulations,andrightsrelatingtothePlan,totheextentnototherwisegovernedbytheCodeorthelawsoftheUnitedStates,shallbedeterminedsolelyinaccordancewiththelawsofBermuda(withoutreferencetotheprinciplesofconflictsoflaworchoiceoflawthatmightotherwiserefertheconstructionorinterpretationofthisPlantothesubstantivelawsofanotherjurisdiction).

(i) RulesofConstruction.Wheneverthecontextsorequires,theuseofthemasculinegendershallbedeemedtoincludethefeminineandviceversa,andtheuseofthesingularshallbedeemedtoincludethepluralandviceversa.ThatthisplanwasdraftedbytheCompanyshallnotbetakenintoaccountininterpretingorconstruinganyprovisionofthisPlan.

(j) AmendmentandTermination.NotwithstandingSection7(a),theBoardortheCommitteemayatanytimeamend,suspend,discontinueorterminatethePlaninwholeorinpartandfromtimetotime;provided;however,thatnosuchactionshallbeeffectivewithoutapprovalbytheshareholdersoftheCompanytotheextentnecessarytocontinuetoqualifytheamountspayablehereundertoCoveredEmployeesas“performance-basedcompensation”underSection162(m).ThePlanshallcontinuetobeineffectuntilitisterminatedbytheBoardortheCommittee.

(k) UnfundedPlan;PlanNotSubjecttoERISA.ThePlanisanunfundedplanandParticipantsshallhavethestatusofunsecuredcreditorsoftheCompany.ThePlanisnotintendedtobesubjecttotheU.S.EmployeeRetirementIncomeandSecurityActof1974,asamended.

(l) 409ACompliance.ThisPlanisintendedtoprovideforpaymentsthatareexemptfromtheprovisionsofSection409Atothemaximumextentpossibleandotherwisetobeadministeredinamannerconsistentwiththerequirements,whereapplicable,ofSection409A.Wherereasonablypossibleandpracticable,thePlanshallbeadministeredinamannertoavoidtheimpositiononParticipantsofimmediatetaxrecognitionandadditionaltaxespursuanttoSection409A.Inthecaseofany“nonqualifieddeferredcompensation”(withinthemeaningofSection409A)thatmaybetreatedaspayableintheformof

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“aseriesofinstallmentpayments,”asdefinedinU.S.TreasuryRegulationSection§1.409A-2(b)(2)(iii),aParticipant’sordesignatedbeneficiary’srighttoreceivesuchpaymentsshallbetreatedasarighttoreceiveaseriesofseparatepaymentsforpurposesofsuchregulation.Notwithstandingtheforegoing,neithertheCompanynortheCommittee,noranyoftheCompany’sdirectors,officersoremployeesshallhaveanyliabilitytoanypersonintheeventSection409AappliestoanypaymentorrightunderthisPlaninamannerthatresultsinadversetaxconsequencesfortheParticipantoranyofhisbeneficiariesortransferees.NotwithstandinganyprovisionofthisPlantothecontrary,theBoardortheCommitteemayunilaterallyamend,modifyorterminatethePlanoranyrighthereunderiftheBoardorCommitteedetermines,initssoleandabsolutediscretion,thatsuchamendment,modificationorterminationisnecessaryoradvisabletocomplywithapplicableU.S.law,asaresultofchangesinlaworregulationortoavoidtheimpositionofanadditionaltax,interestorpenaltyunderSection409A.

NotwithstandingthetermsofthisPlantothecontrary,ifatthetimeoftheParticipant’s“separationfromservice”withinthemeaningofSection409A,heorsheisa“specifiedemployee”withinthemeaningofSection409A,anypaymentofany“nonqualifieddeferredcompensation”amounts(withinthemeaningofSection409AandaftertakingintoaccountallexclusionsapplicabletosuchpaymentsunderSection409A)requiredtobemadetotheParticipantuponorasaresultoftheseparationfromservice(asdefinedinSection409A)shallbedelayeduntilafterthesix-monthanniversaryoftheterminationfromservicetotheextentnecessarytocomplywithandavoidtheimpositionoftaxes,interestandpenaltiesunderSection409A.Anysuchpaymentstowhichheorshewouldotherwisebeentitledduringthefirstsixmonthsfollowinghisorherterminationfromservicewillbeaccumulatedandpaidwithoutinterestonthefirstpayrolldateafterthesix-monthanniversaryoftheseparationfromservice(unlessanotherSection409A-compliantpaymentdateapplies)orwithinthirtydaysthereafter.Theseprovisionswillonlyapplyifandtotheextentrequiredtoavoidtheimpositionoftaxes,interestandpenaltiesunderSection409A.

(m) NoAttachment.Exceptasrequiredbylaw,norighttoreceivepaymentsunderthisPlanshallbesubjecttoanticipation,commutation,alienation,sale,assignment,encumbrance,charge,pledgeorhypothecation,ortoexecution,attachment,levyorsimilarprocessorassignmentbyoperationoflaw,andanyattempt,voluntaryorinvoluntary,toeffectanysuchactionshallbenull,voidandofnoeffect.

(n) Severability.IfanyprovisionofthisPlanisheldunenforceable,theremainderofthePlanshallcontinueinfullforceandeffectwithoutregardtosuchunenforceableprovisionandshallbeappliedasthoughtheunenforceableprovisionwerenotcontainedinthePlan.

(o) Headings.HeadingsareinsertedinthisPlanforconvenienceofreferenceonlyandaretobeignoredinaconstructionoftheprovisionsofthePlan.

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APPENDIX B

AMENDED AND RESTATEDESSENT GROUP LTD.

2013 LONG-TERM INCENTIVE PLAN

1. Purpose.

ThepurposeofthePlanistoassisttheCompanyinattracting,retaining,motivating,andrewardingcertainemployees,officers,directors,andconsultantsof the Company and its Affiliates and promoting the creation of long-term value for stockholders of the Company by closely aligning the interests of suchindividualswiththoseofsuchstockholders.ThePlanauthorizestheawardofStock-basedandcash-basedincentivestoEligiblePersonstoencouragesuchEligiblePersonstoexpendmaximumeffort inthecreationofstockholdervalue.ThePlanwasoriginallyadoptedonOctober30,2013,andamendedandrestatedinitspresentform,onFebruary8,2017.

2. Definitions.

ForpurposesofthePlan,thefollowingtermsshallbedefinedassetforthbelow:

(a) “Affiliate”means,withrespecttoanyPerson,anyotherPersonthat,directlyorindirectlythroughoneormoreintermediaries,controls,iscontrolledby,orisundercommoncontrolwith,suchPerson.

(b) “Award”meansanyOption,RestrictedStock,RestrictedStockUnit,StockAppreciationRight,PerformanceAward,orotherStock-basedawardgrantedunderthePlan.

(c) “AwardAgreement”meansanOptionAgreement,aRestrictedStockAgreement,anRSUAgreement,aSARAgreement,aPerformanceAwardAgreement,oranagreementgoverningthegrantofanyotherStock-basedAwardgrantedunderthePlan.

(d) “Board”meanstheBoardofDirectorsoftheCompany.

(e) “Cause”means,withrespecttoanyParticipantandintheabsenceofanAwardAgreementorParticipantAgreementotherwisedefiningCause, (1) the Participant’s plea of nolo contendere, conviction of or indictment for any crime (whether or not involving the Company or its Affiliates)(i)constitutingafelonyor(ii)thathas,orcouldreasonablybeexpectedtoresultin,anadverseimpactontheperformanceoftheParticipant’sdutiestotheServiceRecipient, or otherwise has, or could reasonably be expected to result in, an adverse impact on the business or reputation of the Company or its Affiliates,(2)conductoftheParticipant,inconnectionwiththeParticipant’semploymentorservice,thathasresulted,orcouldreasonablybeexpectedtoresult,inmaterialinjurytothebusinessorreputationoftheCompanyoritsAffiliates,(3)anymaterialviolationofthepoliciesoftheCompanyoritsAffiliates,includingbutnotlimitedtothoserelatingtosexualharassmentorthedisclosureormisuseofconfidentialinformation,orthosesetforthinthemanualsorstatementsofpolicyoftheCompanyoritsAffiliates,or(4)willfulneglectintheperformanceoftheParticipant’sdutiesfortheServiceRecipientorwillfulorrepeatedfailureorrefusaltoperformsuchduties.IntheeventthatthereisanAwardAgreementorParticipantAgreementdefiningCause,“Cause”shallhavethemeaningprovidedinsuchagreement,andaTerminationbytheServiceRecipientforCausehereundershallnotbedeemedtohaveoccurredunlessallapplicablenoticeandcureperiodsinsuchAwardAgreementorParticipantAgreementarecompliedwith.

(f) “ChangeinControl”meansthefirstofthefollowingtooccuraftertheEffectiveDate:

(1) AcquisitionofControllingInterest.AnyPersonorgroupofPersonsactinginconcert(otherthanPersonswhoareemployeesatanytimemorethanoneyearbeforeatransaction)becomesthebeneficialowner(withinthemeaningofRule13d-3promulgatedundertheExchangeAct),directlyorindirectly, of securities of the Company representing thirty-five percent (35%) or more of the combined voting power of the Company’s then outstandingsecurities, excluding, however, thefollowing: (A)anyacquisitiondirectlyfromtheCompany,(B)anyacquisitionbytheCompany;(C)anyacquisitionbyanyemployee benefit plan (or related trust) sponsored or maintained by the Company or any corporation controlled by the Company; or (D) any underwritertemporarilyholdingsecuritiespursuanttoanofferingofsuchsecurities.Inapplyingtheprecedingsentence,anagreementtovotesecuritiesshallbedisregardedunlessitsultimatepurposeistocausewhatwouldotherwisebeChangeinControl,asreasonablydeterminedbytheBoard.

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(2) Change in Board Control . During any consecutive one-year period commencing after the Effective Date, individuals whoconstitutedtheBoardatthebeginningoftheperiod(ortheirapprovedreplacements,asdefinedinthenextsentence)ceaseforanyreasontoconstituteamajorityoftheBoard.Anewdirectorshallbeconsideredan“approvedreplacement”directorifhisorherelection(ornominationforelection)wasapprovedbyavoteofatleastamajorityofthedirectorsthenstillinofficewhoeitherweredirectorsatthebeginningoftheperiodorwerethemselvesapprovedreplacementdirectors,butineithercaseexcludinganydirectorwhoseinitialassumptionofofficeoccurredasaresultofanactualorthreatenedsolicitationofproxiesorconsentsbyoronbehalfofanyPersonotherthantheBoard.

(3) Merger.TheCompanyconsummatesamerger,orconsolidationoftheCompanywithanyothercorporationunless:(a)thevotingsecuritiesoftheCompanyoutstandingimmediatelybeforethemergerorconsolidationwouldcontinuetorepresent(eitherbyremainingoutstandingorbybeingconvertedintovotingsecuritiesofthesurvivingentity)atleastfiftypercent(50%)ofthecombinedvotingpowerofthevotingsecuritiesoftheCompanyorsuchsurvivingentityoutstandingimmediatelyaftersuchmergerorconsolidation;and(b)noPerson(otherthanPersonswhoareemployeesatanytimemorethanoneyear before the transaction) becomes the beneficial owner, directly or indirectly, of securities of the Companyrepresenting fifty percent (50%) or more of thecombinedvotingpoweroftheCompany’sthenoutstandingsecurities.

(4) SaleofAssets.TheCompanyconsummatesasaleordispositionofall,orsubstantiallyall,oftheCompany’sassets.

(5) LiquidationorDissolution.TheCompanyimplementsaplanforliquidationordissolutionoftheCompany.

Notwithstanding the foregoing, (x) a “Changein Control” shall not be deemedto haveoccurred byvirtue of the consummation of anytransaction or series ofintegratedtransactionsimmediatelyfollowingwhichtherecordholdersofthecommonstockoftheCompanyimmediatelypriortosuchtransactionorseriesoftransactions continue to have substantially the same proportionate ownership in an entity which owns all or substantially all of the assets of the Companyimmediately followingsuchtransactionor series of transactions and(y) withrespect to thepayment of anyamount that constitutes a deferral of compensationsubjecttoSection409AoftheCodepayableuponaChangeinControl,a“ChangeinControl”shallnotbedeemedtohaveoccurredunlesstheChangeinControlconstitutes a change in the ownership or effective control of the Company or in the ownership of a substantial portion of the assets of the Company underSection409A(a)(2)(A)(v)oftheCode.

(g) “Code”meanstheU.S.InternalRevenueCodeof1986,asamendedfromtimetotime,includingtherulesandregulationsthereunderandanysuccessorprovisions,rulesandregulationsthereto.

(h) “Committee”meanstheBoardorsuchothercommitteeconsistingoftwoormoreindividualsappointedbytheBoardtoadministerthePlanandeachotherindividualorcommitteeofindividualsdesignatedtoexerciseauthorityunderthePlan.

(i) “Company”meansEssentGroupLtd.,alimitedliabilitycompanyorganizedunderthelawsofBermuda,anditssuccessorsbyoperationoflaw.

(j) “CorporateEvent”hasthemeaningsetforthinSection11(b)hereof.

(k) “Data”hasthemeaningsetforthinSection21(c)hereof.

(l) “Disability”means,intheabsenceofanAwardAgreementorParticipantAgreementotherwisedefiningDisability,thepermanentandtotaldisabilityofsuchParticipantwithinthemeaningofSection22(e)(3)oftheCode.IntheeventthatthereisanAwardAgreementorParticipantAgreementdefiningDisability,“Disability”shallhavethemeaningprovidedinsuchAwardAgreementorParticipantAgreement.

(m) “DisqualifyingDisposition”meansanydisposition(includinganysale)ofStockacquiredupontheexerciseofanIncentiveStockOptionmadewithintheperiodthatendseither(1)twoyearsafterthedateonwhichtheParticipantwasgrantedtheIncentiveStockOptionor(2)oneyearafterthedateuponwhichtheParticipantacquiredtheStock.

(n) “EffectiveDate”meansOctober30,2013.

(o) “EligiblePerson”means(1)eachemployeeandofficeroftheCompanyoranyofitsAffiliates,includingeachsuchemployeeandofficerwhomayalsobeadirectoroftheCompanyoranyofitsAffiliates,(2)eachnon-employeedirectoroftheCompanyoranyofitsAffiliates,(3)eachothernaturalPersonwhoprovidessubstantialservicestotheCompanyoranyofitsAffiliatesasaconsultantoradvisor(orawhollyownedalteregoentityofthenaturalPersonprovidingsuchservicesofwhich

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such Person is an employee, shareholder or partner) and who is designated as eligible by the Committee, and (4) each natural Person who has been offeredemploymentbytheCompanyoranyofitsAffiliates;providedthatsuchprospectiveemployeemaynotreceiveanypaymentorexerciseanyrightrelatingtoanAwarduntilsuchPersonhascommencedemploymentorservicewiththeCompanyoritsAffiliates;providedfurther,however,that(i)withrespecttoanyAwardthatisintendedtoqualifyasa“stockright”thatdoesnotprovidefora“deferralofcompensation”withinthemeaningofSection409AoftheCode,thetermAffiliateasusedinthisSection2(o)shallincludeonlythosecorporationsorotherentitiesintheunbrokenchainofcorporationsorotherentitiesbeginningwiththeCompanywhereeachofthecorporationsorotherentitiesintheunbrokenchainotherthanthelastcorporationorotherentityownsstockpossessingatleastfiftypercent(50%)ormoreofthetotalcombinedvotingpowerofallclassesofstockinoneoftheothercorporationsorotherentitiesinthechain,and(ii)withrespecttoanyAwardthatisintendedtoqualifyasanIncentiveStockOption,theterm“Affiliate”asusedinthisSection2(o)shallincludeonlythoseentitiesthatqualifyasa“subsidiarycorporation”withrespecttotheCompanywithinthemeaningofSection424(f)oftheCode.AnemployeeonanapprovedleaveofabsencemaybeconsideredasstillintheemployoftheCompanyoranyofitsAffiliatesforpurposesofeligibilityforparticipationinthePlan.

(p) “Exchange Act ” means the U.S. Securities Exchange Act of 1934, as amended from time to time, including the rules and regulationsthereunderandanysuccessorprovisions,rulesandregulationsthereto.

(q) “Expiration Date” means, with respect to an Option or Stock Appreciation Right, the date on which the term of such Option or StockAppreciationRightexpires,asdeterminedunderSection5(b)or8(b)hereof,asapplicable.

(r) “FairMarketValue”means,asofanydatewhentheStockislistedononeormorenationalsecuritiesexchanges,theclosingpricereportedontheprincipalnationalsecuritiesexchangeonwhichsuchStockislistedandtradedonthedateofdeterminationor,iftheclosingpriceisnotreportedonsuchdate of determination, the closing price reported on the most recent date prior to the date of determination. If the Stock is not listed on a national securitiesexchange,“FairMarketValue”shallmeantheamountdeterminedbytheBoardingoodfaith,andinamannerconsistentwithSection409AoftheCode,tobethefairmarketvaluepershareofStock.

(s) “GAAP”hasthemeaningsetforthinSection9(f)(3)hereof.

(t) “IncentiveStockOption”meansanOptionintendedtoqualifyasanincentivestockoptionwithinthemeaningofSection422oftheCode.

(u) “NonqualifiedStockOption”meansanOptionnotintendedtoqualifyasanIncentiveStockOption.

(v) “Option”meansaconditionalright,grantedtoaParticipantunderSection5hereof,topurchaseStockataspecifiedpriceduringaspecifiedtimeperiod.

(w) “OptionAgreement”meansawrittenagreement(includinganelectronicwritingtotheextentpermittedbyapplicablelaw)betweentheCompanyandaParticipantevidencingthetermsandconditionsofanindividualOptiongrant.

(x) “Participant”meansanEligiblePersonwhohasbeengrantedanAwardunderthePlanor,ifapplicable,suchotherPersonwhoholdsanAward.

(y) “ParticipantAgreement”meansanemploymentorotherservicesagreementbetweenaParticipantandtheServiceRecipientthatdescribesthetermsandconditionsofsuchParticipant’semploymentorservicewiththeServiceRecipientandiseffectiveasofthedateofdetermination.

(z) “Performance Award” means an Award granted to a Participant underSection 9hereof, which Award is subject to the achievement ofPerformanceObjectivesduringaPerformancePeriod.APerformanceAwardshallbedesignatedasaPerformanceShare,aPerformanceUnitoraPerformanceCashAwardatthetimeofgrant.

(aa) “PerformanceAwardAgreement”meansawrittenagreement(includinganelectronicwritingtotheextentpermittedbyapplicablelaw)betweentheCompanyandaParticipantevidencingthetermsandconditionsofanindividualPerformanceAwardgrant.

(ab) “Performance Cash Award ” means a Performance Award which is a cash award (for a dollar value not in excess of that set forth inSection4(c)(1)hereof),thepaymentofwhichissubjecttotheachievementofPerformanceObjectivesduringaPerformancePeriod.APerformanceCashAwardmayalsorequirethecompletionofaspecifiedperiodofemploymentorservice.

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(ac) “ Performance Objectives ” means the performance objectives established pursuant to the Plan for Participants who have receivedPerformanceAwards.

(ad) “PerformancePeriod”meanstheperiodoftimedesignatedbytheCommitteeoverwhichtheachievementofoneormorePerformanceObjectiveswill bemeasuredforthepurposeofdeterminingaParticipant’s right toandthepaymentof anAward. PerformancePeriodsmaybeofvaryingandoverlappingduration,atthesolediscretionoftheCommittee.

(ae) “PerformanceShare”meansaPerformanceAwarddenominatedinsharesofStockwhichmaybeearnedinwholeorinpartbasedupontheachievementofPerformanceObjectivesduringaPerformancePeriod.

(af) “PerformanceUnit”meansaPerformanceAwarddenominatedasanotionalunitrepresentingtherighttoreceiveoneshareofStock(orthecash value of one share of Stock, if so determined by the Committee) which may be earned in whole or in part based upon the achievement of PerformanceObjectivesduringaPerformancePeriod.

(ag) “ Person ” means any individual, corporation, partnership, firm, joint venture, association, joint­stock company, trust, unincorporatedorganization,orotherentity.

(ah) “Plan”meansthisEssentGroupLtd.2013Long­TermIncentivePlan,asmaybeamendedfromtimetotime.

(ai) “QualifiedMember”meansamemberoftheCommitteewhoisa“Non­EmployeeDirector”withinthemeaningofRule16b­3undertheExchange Act, an “outside director ” within the meaning of Treasury Regulation Section 1.162­27(c) under Section 162(m) of the Code and an “independentdirector”asdefinedunder,asapplicable,theNASDAQListingRules,theNYSEListedCompanyManualorotherapplicablestockexchangerules.

(aj) “QualifiedPerformance-BasedAward”meansanOption,StockAppreciationRight,orPerformanceAwardthatisintendedtoqualifyas“qualifiedperformance­basedcompensation”withinthemeaningofSection162(m)oftheCode.

(ak) “QualifyingCommittee”hasthemeaningsetforthinSection3(b)hereof.

(al) “Restricted Stock” means Stock granted to a Participant under Section 6hereof that is subject to certain restrictions and to a risk offorfeiture.

(am) “Restricted Stock Agreement ” means a written agreement (including an electronic writing to the extent permitted by applicable law)betweentheCompanyandaParticipantevidencingthetermsandconditionsofanindividualRestrictedStockgrant.

(an) “RestrictedStockUnit”meansanotionalunitrepresentingtherighttoreceiveoneshareofStock(orthecashvalueofoneshareofStock,ifsodeterminedbytheCommittee)onaspecifiedsettlementdate.

(ao) “RSUAgreement ” means a written agreement (including an electronic writing to the extent permitted by applicable law) between theCompanyandaParticipantevidencingthetermsandconditionsofanindividualgrantofRestrictedStockUnits.

(ap) “SARAgreement ” means a written agreement (including an electronic writing to the extent permitted by applicable law) between theCompanyandaParticipantevidencingthetermsandconditionsofanindividualgrantofStockAppreciationRights.

(aq) “SecuritiesAct”meanstheU.S.SecuritiesActof1933,asamendedfromtimetotime,includingtherulesandregulationsthereunderandanysuccessorprovisions,rulesandregulationsthereto.

(ar) “ServiceRecipient”means,withrespecttoaParticipantholdinganAward,eithertheCompanyoranAffiliateoftheCompanybywhichthe original recipient of such Award is, or following a Termination was most recently, principally employed or to which such original recipient provides, orfollowingaTerminationwasmostrecentlyproviding,services,asapplicable.

(as) “Stock”meanstheCompany’scommonshares,parvalue$0.015pershare,andsuchothersecuritiesasmaybesubstitutedforsuchstockpursuanttoSection11hereof.

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(at) “StockAppreciation Right” means a conditional right to receive an amount equal to the value of the appreciation in the Stock over aspecifiedperiod.Exceptintheeventofextraordinarycircumstances,asdeterminedinthesolediscretionoftheCommittee,orpursuanttoSection11(b)hereof,StockAppreciationRightsshallbesettledinStock.

(au) “SubstituteAward”hasthemeaningsetforthinSection4(a)hereof.

(av) “ Termination ” means the termination of a Participant’s employment or service, as applicable, with the Service Recipient; provided,however , that, if so determinedbythe Committee at thetimeof anychangein status in relationto the Service Recipient (e.g. , a Participant ceasestobeanemployee and begins providing services as a consultant, or vice versa), such change in status will not be deemed a Termination hereunder. Unless otherwisedeterminedbytheCommittee, intheeventthat theServiceRecipient ceasestobeanAffiliateoftheCompany(byreasonofsale, divestiture, spin­off, orothersimilartransaction),unlessaParticipant’semploymentorserviceistransferredtoanotherentitythatwouldconstitutetheServiceRecipientimmediatelyfollowingsuch transaction, such Participant shall be deemed to have suffered a Termination hereunder as of the date of the consummation of such transaction.Notwithstanding anything herein to the contrary, a Participant’s change in status in relation to the Service Recipient (for example, a change fromemployee toconsultant)shallnotbedeemedaTerminationhereunderwithrespecttoanyAwardsconstituting“nonqualifieddeferredcompensation”subjecttoSection409AoftheCodethatarepayableuponaTerminationunlesssuchchangeinstatusconstitutesa“separationfromservice”withinthemeaningofSection409AoftheCode. Any payments in respect of an Award constituting nonqualified deferred compensation subject to Section 409A of the Code that are payable upon aTerminationshall bedelayedfor suchperiodasmaybenecessarytomeet therequirements of Section409A(a)(2)(B)(i) of theCode. Onthefirst business dayfollowing the expiration of such period, the Participant shall be paid, in a single lump sum without interest, an amount equal to the aggregate amount of allpayments delayed pursuant to the preceding sentence, and any remaining payments not so delayed shall continue to be paid pursuant to the payment scheduleapplicabletosuchAward.

3. Administration.

(a) AuthorityoftheCommittee.Exceptasotherwiseprovidedbelow,thePlanshallbeadministeredbytheCommittee.TheCommitteeshallhavefullandfinalauthority,ineachcasesubjecttoandconsistentwiththeprovisionsofthePlan,to(1)selectEligiblePersonstobecomeParticipants,(2)grantAwards,(3)determinethetype,numberofsharesofStocksubjectto,othertermsandconditionsof,andallothermattersrelatingto,Awards,(4)prescribeAwardAgreements(whichneednotbeidenticalforeachParticipant)andrulesandregulationsfortheadministrationofthePlan,(5)construeandinterpretthePlanandAwardAgreementsandcorrectdefects,supplyomissions,andreconcileinconsistenciestherein,(6)suspendtherighttoexerciseAwardsduringanyperiodthattheCommitteedeemsappropriatetocomplywithapplicablesecuritieslaws,andthereafterextendtheexerciseperiodofanAwardbyanequivalentperiodoftimeorsuchshorterperiodrequiredby,ornecessarytocomplywith,applicablelaw,and(7)makeall otherdecisionsanddeterminationsastheCommitteemaydeemnecessaryoradvisablefortheadministrationofthePlan.AnyactionoftheCommitteeshallbefinal,conclusive,andbindingonallPersons,including,withoutlimitation,theCompany,itsstockholdersandAffiliates,EligiblePersons,Participants,andbeneficiariesofParticipants.NotwithstandinganythinginthePlantothecontrary,theCommitteeshallhavetheabilitytoacceleratethevestingofanyoutstandingAwardatanytimeandforanyreason,includinguponaCorporateEvent,subjecttoSection11(d), or intheevent ofaParticipant’s TerminationbytheServiceRecipient otherthanforCause, orduetotheParticipant’s death,Disabilityorretirement(assuchtermmaybedefinedinanapplicableAwardAgreementorParticipantAgreement,or,ifnosuchdefinitionexists,inaccordancewiththeCompany’sthen-currentemploymentpoliciesandguidelines).Fortheavoidanceofdoubt,theBoardshallhavetheauthoritytotakeallactionsunderthePlanthattheCommitteeispermittedtotake.

(b) MannerofExerciseofCommitteeAuthority . Atanytimethat amemberoftheCommitteeis notaQualifiedMember, anyactionoftheCommitteerelatingtoaQualifiedPerformance-BasedAwardorrelatingtoanAwardgrantedortobegrantedtoaParticipantwhoisthensubjecttoSection16oftheExchangeActinrespectoftheCompany,mustbetakenbytheremainingmembersoftheCommitteeorasubcommittee,designatedbytheCommitteeortheBoard,composedsolelyoftwoormoreQualifiedMembers(a“QualifyingCommittee”).AnyactionauthorizedbysuchaQualifyingCommitteeshallbedeemedtheactionoftheCommitteeforpurposesofthePlan.TheexpressgrantofanyspecificpowertoaQualifyingCommittee,andthetakingofanyactionbysuchaQualifyingCommittee,shallnotbeconstruedaslimitinganypowerorauthorityoftheCommittee.

(c) Delegation.Totheextentpermittedbyapplicablelaw,theCommitteemaydelegatetoofficersoremployeesoftheCompanyoranyofitsAffiliates,orcommitteesthereof,theauthority,subjecttosuchtermsastheCommitteeshalldetermine,toperformsuchfunctionsunderthePlan,including,butnotlimitedto,administrativefunctions, astheCommitteemaydetermineappropriate. TheCommitteemayappointagentstoassist it inadministeringthePlan.AnyactionstakenbyanofficeroremployeedelegatedauthoritypursuanttothisSection3(c)withinthescopeofsuchdelegationshall,forallpurposesunderthePlan,bedeemedtobeanactiontakenbytheCommittee. NotwithstandingtheforegoingoranyotherprovisionofthePlantothecontrary, anyAwardgrantedunderthePlantoanyEligiblePersonwhoisnotanemployeeoftheCompanyoranyofitsAffiliates(including

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anynon-employee director of the Companyor anyAffiliate) or to anyEligible Personwhois subject to Section 16of the ExchangeAct or is to be granted aQualifiedPerformance-BasedAwardmustbeexpresslyapprovedbytheCommitteeorQualifyingCommitteeinaccordancewithsubsection(b)above.

(d) Section409A;Section457A.AllAwardsmadeunderthePlanthatareintendedtobe“deferredcompensation”subjecttoSection409AorSection457AoftheCodeshall beinterpreted, administeredandconstruedtocomplywithSection409AorSection457A,asapplicable, andall AwardsmadeunderthePlanthatareintendedtobeexemptfromSection409AorSection457Ashallbeinterpreted,administeredandconstruedtocomplywithandpreservesuchexemption,asapplicable.TheCommitteeshallhavefullauthoritytogiveeffecttotheintentoftheforegoingsentence.Totheextentnecessarytogiveeffecttothisintent,inthecaseofanyconflictorpotentialinconsistencybetweenthePlanandaprovisionofanyAwardorAwardAgreementwithrespecttoanAward,thePlanshallgovern.Notwithstandingtheforegoing,neithertheCompanynortheCommitteeshallhaveanyliabilitytoanyPersonintheeventSection409AorSection457AappliestoanyAwardinamannerthatresultsinadversetaxconsequencesfortheParticipantoranyofhisorherbeneficiariesortransferees.

(e) Section162(m).Notwithstandinganythinghereintothecontrary,withregardtoanyprovisionofthePlanoranyAwardAgreementthatisintended to comply with Section 162(m) of the Code, any action or determination by the Committee shall be permitted only to the extent such action ordetermination would be permitted under Section 162(m) of the Code. The Plan has been adopted by the Board, with respect to Awards intended to be“performance-based”withinthemeaningofSection162(m)oftheCode,tocomplywiththeapplicableprovisionsofSection162(m)oftheCode,andthePlanshallbelimited,construedandinterpretedinamannersoastocomplytherewith.

4. Shares Available Under the Plan; Other Limitations.

(a) Number of Shares Available for Delivery . Subject to adjustment as provided in Section 11hereof, the total number of shares of Stockreserved and available for delivery in connection with Awards under the Plan shall equal 7,500,000. Shares of Stock delivered under the Plan shall consist ofauthorizedandunissuedsharesorpreviouslyissuedsharesofStockreacquiredbytheCompanyontheopenmarketorbyprivatepurchase.Notwithstandingtheforegoing,(i)exceptasmayberequiredbyreasonofSection422oftheCode,thenumberofsharesofStockavailableforissuancehereundershallnotbereducedby shares issued pursuant to Awards issued or assumed in connection with a merger or acquisition as contemplated by, as applicable, NASDAQListing Rule5635(c) andIM-5635-1, NYSEListedCompanyManual Section303A.08, AMEXCompanyGuideSection711, or other applicable stockexchangerules, andtheirrespectivesuccessorrulesandlistingexchangepromulgations(eachsuchAward,a“SubstituteAward”);and(ii)sharesofStockshallnotbedeemedtohavebeenissuedpursuanttothePlanwithrespecttoanyportionofanAwardthatissettledincash.

(b) ShareCountingRules. TheCommitteemayadoptreasonablecountingprocedurestoensureappropriate counting, avoiddouble-counting(as,forexample,inthecaseoftandemawardsorSubstituteAwards)andmakeadjustmentsifthenumberofsharesofStockactuallydelivereddiffersfromthenumber of shares previously counted in connection with an Award. Other than with respect to a Substitute Award, to the extent that an Award expires or iscanceled,forfeited,settledincash,orotherwiseterminatedwithoutdeliverytotheParticipantofthefullnumberofsharesofStocktowhichtheAwardrelated,theundeliveredsharesofStockwillagainbeavailableforgrant.SharesofStockwithheldinpaymentoftheexercisepriceortaxesrelatingtoanAwardandsharesofStock equal to the number surrendered in payment of any exercise price or taxes relating to an Award shall be deemed to constitute shares delivered to theParticipantandshallnotbedeemedtoagainbeavailablefordeliveryunderthePlan.

(c) 162(m)Limitation;IncentiveStockOptions.

(1) Notwithstandinganythingtothecontraryherein,atalltimeswhentheCompanyissubjecttotheprovisionsofSection162(m)oftheCode,(i)themaximumnumberofsharesofStockwithrespecttowhichOptions,StockAppreciationRights,andPerformanceAwards,ineachcaseandtotheextent the Awardis intendedto qualify as a Qualified Performance-Based Award, maybe granted to anyindividual in anyone calendar year shall not exceed1,000,000(subjecttoadjustmentasprovidedinSection11hereof); and(ii) themaximumvalueoftheaggregatepaymentthatanyindividualmayreceivewithrespecttoaQualifiedPerformance-BasedAwardthatisvaluedindollarsinrespectofanyannualPerformancePeriodis$40,000,000,andforanyPerformancePeriod in excess of one (1) year, such amount multiplied by a fraction, the numerator of which is the number of months in the Performance Period and thedenominatorofwhichistwelve(12).NoQualifiedPerformance-BasedAwards(otherthanOptionsorStockAppreciationRights)maybegrantedhereunderbasedonthePerformanceObjectivesfollowingthefirst(1st)meetingoftheCompany’sstockholderthatoccursinthefifth(5th)yearfollowingtheyearinwhichtheCompany’s stockholders most recently approved the Performance Objectives for purposes of satisfying the “qualified performance­ based compensation”exemptionunderSection162(m)(4)(C)oftheCodeunlessthePerformanceObjectivesarereapproved(orotherdesignatedperformancegoalsareapproved)bythestockholdersonorbeforesuchstockholdermeeting.

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(2) Nomorethan7,500,000sharesofStock(subjecttoadjustmentasprovidedinSection11hereof)reservedforissuancehereundermaybeissuedortransferreduponexerciseorsettlementofIncentiveStockOptions.

(d) Shares Available Under Acquired Plans . Additionally, to the extent permitted by NYSE Listed Company Manual Section 303A.08,NASDAQListingRule5635(c)orotherapplicablestockexchangerules,subjecttoapplicablelaw,intheeventthatacompanyacquiredbytheCompanyorwithwhichtheCompanycombineshassharesavailableunderapre-existingplanapprovedbystockholdersandnotadoptedincontemplationofsuchacquisitionorcombination,thesharesavailableforgrantpursuanttothetermsofsuchpre-existingplan(asadjusted,totheextentappropriate,usingtheexchangeratioorotheradjustmentorvaluationratioorformulausedinsuchacquisitionorcombinationtodeterminetheconsiderationpayabletotheholdersofcommonstockoftheentitiespartytosuchacquisitionorcombination)maybeusedforAwardsunderthePlanandshallnotreducethenumberofsharesofStockreservedandavailablefordeliveryinconnectionwithAwardsunderthePlan;providedthatAwardsusingsuchavailablesharesshallnotbemadeafterthedateawardscouldhavebeenmade under the terms of such pre-existing plan, absent the acquisition or combination, and shall only be made to individuals who were not employed by theCompanyoranysubsidiaryoftheCompanyimmediatelypriortosuchacquisitionorcombination.

(e) MinimumVestingPeriod.NoAward(otherthananyPerformanceCashAward)mayvestoveraperiodthatislessthanone(1)yearfromthe date of grant;provided ,however , that the foregoing minimum vesting period shall not apply: (i) to Awards granted in payment of or exchange for anequivalentamountofsalary,bonusorotherearnedcashcompensation(includingPerformanceShares);(ii)toaSubstituteAwardthatdoesnotreducethevestingperiodof the awardbeingreplaced or assumed; or (iii) to Awardsinvolvinganaggregate number of shares of Stocknot in excess of five percent (5%)of theaggregatenumberofsharesofStockthatmaybedeliveredinconnectionwithAwards(assetforthinSection4hereof).

(f) Limitation on Awards to Non-Employee Directors . Notwithstanding anything to the contrary herein, the maximumnumber of shares ofStockthat maybe subject to Awards granted to anynon-employee director of the Companyin anyone calendar year shall not exceed 50,000shares of Stock(subjecttoadjustmentasprovidedinSection11hereof).

5. Options.

(a) General . Certain Options granted under the Plan are intended to qualify as Incentive Stock Options. Options may be granted to EligiblePersonsinsuchformandhavingsuchtermsandconditionsastheCommitteeshalldeemappropriate;provided,however , thatIncentiveStockOptionsmaybegrantedonlytoEligiblePersonswhoareemployeesoftheCompanyoranAffiliate(assuchdefinitionislimitedpursuanttoSection2(o)hereof)oftheCompany.TheprovisionsofseparateOptionsshallbesetforthinseparateOptionAgreements,whichagreementsneednotbeidentical.NodividendsordividendequivalentsshallbepaidonOptions.

(b) Term.ThetermofeachOptionshallbesetbytheCommitteeatthetimeofgrant;provided,however , thatnoOptiongrantedhereundershallbeexercisableafter,andeachOptionshallexpire,ten(10)yearsfromthedateitwasgranted.

(c) ExercisePrice.TheexercisepricepershareofStockforeachOptionshallbesetbytheCommitteeatthetimeofgrant;provided,however,thatifanOptionisintendedtoqualifyaseither(1)a“stockright”thatdoesnotprovidefora“deferralofcompensation”withinthemeaningofSection409AoftheCode,(2)aQualifiedPerformance-BasedAward,or(3)anIncentiveStockOption,thenineachcasetheapplicableexercisepriceshallnotbelessthantheFairMarketValueonthedateofgrant,subjecttosubsection(g)belowinthecaseofanyIncentiveStockOption.

(d) PaymentforStock.PaymentforsharesofStockacquiredpursuanttoanOptiongrantedhereundershallbemadeinfulluponexerciseoftheOptioninamannerapprovedbytheCommittee,whichmayincludeanyofthefollowingpaymentmethods:(1)inimmediatelyavailablefundsinU.Sdollars,orbycertified or bankcashier’s check, (2) bydeliveryof shares of Stockhavingavalueequal totheexercise price, (3) byabroker-assisted cashless exercise inaccordancewithproceduresapprovedbytheCommittee,wherebypaymentoftheOptionexercisepriceortaxwithholdingobligationsmaybesatisfied,inwholeorinpart,withsharesofStocksubjecttotheOptionbydeliveryofanirrevocabledirectiontoasecuritiesbroker(onaformprescribedbytheCommittee)tosellsharesofStockandtodeliverallorpartofthesaleproceedstotheCompanyinpaymentoftheaggregateexercisepriceand,ifapplicable,theamountnecessarytosatisfytheCompany’swithholdingobligations,or(4)byanyothermeansapprovedbytheCommittee(including,bydeliveryofanoticeof“netexercise”totheCompany,pursuanttowhichtheParticipantshallreceivethenumberofsharesofStockunderlyingtheOptionsoexercisedreducedbythenumberofsharesofStock equal to the aggregate exercise price of the Option divided by the Fair Market Value on the date of exercise). Notwithstanding anything herein to thecontrary,iftheCommitteedeterminesthatanyformofpaymentavailablehereunderwouldbeinviolationofSection402oftheSarbanes-OxleyActof2002,suchformofpaymentshallnotbeavailable.

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(e) Vesting.SubjecttotheprovisionsofSection4(e),Optionsshallvestandbecomeexercisableinsuchmanner,onsuchdateordates,oruponthe achievement of performance or other conditions, in each case as may be determined by the Committee and set forth in an Option Agreement; provided,however,thatnotwithstandinganysuchvestingdates,theCommitteemayinitssolediscretionacceleratethevestingofanyOptionatanytimeandforanyreason.UnlessotherwisespecificallydeterminedbytheCommittee,thevestingofanOptionshalloccuronlywhiletheParticipantisemployedbyorrenderingservicestotheServiceRecipient,andallvestingshallceaseuponaParticipant’sTerminationforanyreason.IfanOptionisexercisableininstallments,suchinstallmentsorportionsthereofthatbecomeexercisableshallremainexercisableuntiltheOptionexpires,iscanceledorotherwiseterminates.

(f) TerminationofEmploymentorService.ExceptasprovidedbytheCommitteeinanOptionAgreement,ParticipantAgreementorotherwise:

(1) In the event of a Participant’s Termination prior to the applicable Expiration Date for any reason other than (i) by the ServiceRecipient forCause,or(ii) byreasonoftheParticipant’s deathorDisability, (A)all vestingwithrespect tosuchParticipant’s outstandingOptionsshall cease,(B)allofsuchParticipant’soutstandingunvestedOptionsshallterminateandbeforfeitedfornoconsiderationasofthedateofsuchTermination,and(C)allofsuchParticipant’soutstandingvestedOptionsshallterminateandbeforfeitedfornoconsiderationontheearlierof(x)theapplicableExpirationDateand(y)thedatethatisninety(90)daysafterthedateofsuchTermination.

(2) In the event of a Participant’s Termination prior to the applicable Expiration Date by reason of such Participant’s death orDisability, (i) all vesting with respect to such Participant’s outstanding Options shall cease, (ii) all of such Participant’s outstanding unvested Options shallterminateandbeforfeitedfornoconsiderationasofthedateofsuchTermination,and(iii)allofsuchParticipant’soutstandingvestedOptionsshallterminateandbeforfeitedfornoconsiderationontheearlierof(x)theapplicableExpirationDateand(y)thedatethatistwelve(12)monthsafterthedateofsuchTermination.In the event of a Participant’s death, suchParticipant’s Options shall remain exercisable bythe Personor Persons to whomsuchParticipant’s rights under theOptionspassbywillorbytheapplicablelawsofdescentanddistributionuntiltheapplicableExpirationDate,butonlytotheextentthattheOptionswerevestedatthetimeofsuchTermination.

(3) IntheeventofaParticipant’sTerminationpriortotheapplicableExpirationDatebytheServiceRecipientforCause,allofsuchParticipant’soutstandingOptions(whetherornotvested)shallimmediatelyterminateandbeforfeitedfornoconsiderationasofthedateofsuchTermination.

(g) SpecialProvisionsApplicabletoIncentiveStockOptions.

(1) NoIncentiveStockOptionmaybegrantedtoanyEligiblePersonwho,atthetimetheOptionisgranted,ownsdirectly,orindirectlywithinthemeaningofSection424(d)oftheCode,stockpossessingmorethantenpercent(10%)ofthetotalcombinedvotingpowerofallclassesofstockoftheCompanyorofanyparentorsubsidiarythereof,unlesssuchIncentiveStockOption(i)hasanexercisepriceofatleastonehundredtenpercent(110%)oftheFairMarketValueonthedateofthegrantofsuchOptionand(ii)cannotbeexercisedmorethanfive(5)yearsafterthedateitisgranted.

(2) TotheextentthattheaggregateFairMarketValue(determinedasofthedateofgrant)ofStockforwhichIncentiveStockOptionsareexercisableforthefirst timebyanyParticipantduringanycalendaryear(underall plansoftheCompanyanditsAffiliates)exceeds$100,000,suchexcessIncentiveStockOptionsshallbetreatedasNonqualifiedStockOptions.

(3) Each Participant who receives an Incentive Stock Option must agree to notify the Company in writing immediately after theParticipantmakesaDisqualifyingDispositionofanyStockacquiredpursuanttotheexerciseofanIncentiveStockOption.

6. Restricted Stock.

(a) General . RestrictedStockmaybegrantedtoEligiblePersonsinsuchformandhavingsuchtermsandconditionsastheCommitteeshalldeemappropriate.TheprovisionsofseparateAwardsofRestrictedStockshallbesetforthinseparateRestrictedStockAgreements,whichagreementsneednotbeidentical.SubjecttotherestrictionssetforthinSection6(b)hereof,andexceptasotherwisesetforthintheapplicableRestrictedStockAgreement,theParticipantshallgenerallyhavetherightsandprivilegesofastockholderastosuchRestrictedStock,includingtherighttovotesuchRestrictedStock.Cashdividendsandstockdividends,ifany,withrespecttotheRestrictedStockshallbewithheldbytheCompanyfortheParticipant’saccount,andshallbesubjecttoforfeituretothesamedegreeasthesharesofRestrictedStocktowhichsuchdividendsrelate.ExceptasotherwisedeterminedbytheCommittee,nointerestwillaccrueorbepaidontheamountofanycashdividendswithheld.

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(b) VestingandRestrictionsonTransfer.SubjecttotheprovisionsofSection4(e),RestrictedStockshallvestinsuchmanner,onsuchdateordates, or upon the achievement of performance or other conditions, in each case as may be determined by the Committee and set forth in a Restricted StockAgreement;provided,however , that notwithstanding any such vesting dates, the Committee mayin its sole discretion accelerate the vesting of any Award ofRestrictedStockatanytimeandforanyreason.UnlessotherwisespecificallydeterminedbytheCommittee, thevestingofanAwardofRestrictedStockshalloccuronlywhiletheParticipantisemployedbyorrenderingservicestotheServiceRecipient,andallvestingshallceaseuponaParticipant’sTerminationforanyreason.InadditiontoanyotherrestrictionssetforthinaParticipant’sRestrictedStockAgreement,theParticipantshallnotbepermittedtosell,transfer,pledge,orotherwiseencumbertheRestrictedStockpriortothetimetheRestrictedStockhasvestedpursuanttothetermsoftheRestrictedStockAgreement.

(c) TerminationofEmploymentorService.ExceptasprovidedbytheCommitteeinaRestrictedStockAgreement,ParticipantAgreementorotherwise, in the event of a Participant’s Termination for any reason prior to the time that such Participant’s Restricted Stock has vested, (1) all vesting withrespect to such Participant’s Restricted Stock shall cease, and (2) as soon as practicable following such Termination, the Company shall repurchase from theParticipant,andtheParticipantshallsell,allofsuchParticipant’sunvestedsharesofRestrictedStockatapurchasepriceequaltotheoriginalpurchasepricepaidfortheRestrictedStock;providedthatiftheoriginalpurchasepricepaidfortheRestrictedStockisequaltozerodollars($0),suchunvestedsharesofRestrictedStockshallbeforfeitedtotheCompanybytheParticipantfornoconsiderationasofthedateofsuchTermination.

7. Restricted Stock Units.

(a) General .RestrictedStockUnitsmaybegrantedtoEligiblePersonsinsuchformandhavingsuchtermsandconditionsastheCommitteeshalldeemappropriate.TheprovisionsofseparateRestrictedStockUnitsshallbesetforthinseparateRSUAgreements,whichagreementsneednotbeidentical.

(b) Vesting. Subject to the provisions of Section 4(e), Restricted Stock Units shall vest in such manner, on such date or dates, or upon theachievementofperformanceorotherconditions,ineachcaseasmaybedeterminedbytheCommitteeandsetforthinanRSUAgreement;provided,however,thatnotwithstandinganysuchvestingdates,theCommitteemayinitssolediscretionacceleratethevestingofanyRestrictedStockUnitatanytimeandforanyreason.UnlessotherwisespecificallydeterminedbytheCommittee,thevestingofaRestrictedStockUnitshalloccuronlywhiletheParticipantisemployedbyorrenderingservicestotheServiceRecipient,andallvestingshallceaseuponaParticipant’sTerminationforanyreason.

(c) Settlement.RestrictedStockUnitsshallbesettledinStock,cash,orproperty,asdeterminedbytheCommittee,initssolediscretion,onthedateordatesdeterminedbytheCommitteeandsetforthinanRSUAgreement.AParticipantshallnotbeentitledtodividends,ifany,ordividendequivalents,withrespecttoRestrictedStockUnitspriortosettlement.

(d) TerminationofEmploymentorService.ExceptasprovidedbytheCommitteeinanRSUAgreement,ParticipantAgreementorotherwise,intheeventofaParticipant’sTerminationforanyreasonpriortothetimethatsuchParticipant’sRestrictedStockUnitshavebeensettled,(1)allvestingwithrespectto such Participant’s Restricted Stock Units shall cease, (2) all of such Participant’s outstanding unvested Restricted Stock Units shall be forfeited for noconsideration as of the date of such Termination, and (3) any shares remaining undelivered with respect to vested Restricted Stock Units then held by suchParticipantshallbedeliveredonthedeliverydateordatesspecifiedintheRSUAgreement.

8. Stock Appreciation Rights.

(a) General.StockAppreciationRightsmaybegrantedtoEligiblePersonsinsuchformandhavingsuchtermsandconditionsastheCommitteeshall deem appropriate. The provisions of separate Stock Appreciation Rights shall be set forth in separate SAR Agreements, which agreements need not beidentical.NodividendsordividendequivalentsshallbepaidonStockAppreciationRights.

(b) Term.ThetermofeachStockAppreciationRightshall besetbytheCommitteeat thetimeofgrant;provided,however , thatnoStockAppreciationRightgrantedhereundershallbeexercisableafter,andeachStockAppreciationRightshallexpire,ten(10)yearsfromthedateitwasgranted.

(c) BasePrice.ThebasepricepershareofStockforeachStockAppreciationRightshallbesetbytheCommitteeatthetimeofgrant;provided,however,thatifaStockAppreciationRightisintendedtoqualifyaseither(1)a“stockright”thatdoesnotprovidefora“deferralofcompensation”withinthemeaning of Section 409Aof the Code or (2) a Qualified Performance­Based Award, then in each case the applicable base price shall not be less than the FairMarketValueonthedateofgrant.

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(d) Vesting.SubjecttotheprovisionsofSection4(e),StockAppreciationRightsshallvestandbecomeexercisableinsuchmanner,onsuchdateordates,orupontheachievementofperformanceorotherconditions,ineachcaseasmaybedeterminedbytheCommitteeandsetforthinaSARAgreement;provided,however,thatnotwithstandinganysuchvestingdates,theCommitteemayinitssolediscretionacceleratethevestingofanyStockAppreciationRightatanytimeandfor anyreason. Unless otherwisespecifically determinedbytheCommittee, thevestingof a StockAppreciationRight shall occur onlywhile theParticipantisemployedbyorrenderingservicestotheServiceRecipient,andallvestingshallceaseuponaParticipant’sTerminationforanyreason.IfaStockAppreciation Right is exercisable in installments, such installments or portions thereof that become exercisable shall remain exercisable until the StockAppreciationRightexpires,iscanceledorotherwiseterminates.

(e) PaymentuponExercise.PaymentuponexerciseofaStockAppreciationRightmaybemadeincash,Stock,orpropertyasspecifiedintheSARAgreementordeterminedbytheCommittee,ineachcasehavingavalueinrespectofeachshareofStockunderlyingtheportionoftheStockAppreciationRightsoexercised,equaltothedifferencebetweenthebasepriceofsuchStockAppreciationRightandtheFairMarketValueofone(1)shareofStockontheexercisedate. Forpurposesofclarity, eachshareofStocktobeissuedinsettlementofaStockAppreciationRightis deemedtohaveavalueequaltotheFairMarketValueofone(1)shareofStockontheexercisedate.InnoeventshallfractionalsharesbeissuableupontheexerciseofaStockAppreciationRight,andintheeventthatfractionalshareswouldotherwisebeissuable,thenumberofsharesissuablewillberoundeddowntothenextlowerwholenumberofshares,andtheParticipantwillbeentitledtoreceiveacashpaymentequaltothevalueofsuchfractionalshare.

(f) TerminationofEmploymentorService.ExceptasprovidedbytheCommitteeinaSARAgreement,ParticipantAgreementorotherwise:

(1) In the event of a Participant’s Termination prior to the applicable Expiration Date for any reason other than (i) by the ServiceRecipient for Cause, or (ii) byreasonof the Participant’s death or Disability, (A) all vesting with respect to suchParticipant’s outstandingStockAppreciationRightsshallcease,(B)allofsuchParticipant’soutstandingunvestedStockAppreciationRightsshallterminateandbeforfeitedfornoconsiderationasofthedateofsuchTermination,and(C)allofsuchParticipant’soutstandingvestedStockAppreciationRightsshallterminateandbeforfeitedfornoconsiderationontheearlierof(x)theapplicableExpirationDateand(y)thedatethatisninety(90)daysafterthedateofsuchTermination.

(2) In the event of a Participant’s Termination prior to the applicable Expiration Date by reason of such Participant’s death orDisability, (i)all vestingwithrespecttosuchParticipant’soutstandingStockAppreciationRightsshallcease,(ii)all ofsuchParticipant’soutstandingunvestedStockAppreciationRightsshallterminateandbeforfeitedfornoconsiderationasofthedateofsuchTermination,and(iii)eachofsuchParticipant’soutstandingvestedStockAppreciationRightsshallterminateandbeforfeitedfornoconsiderationontheearlierof(x)theapplicableExpirationDateand(y)thedatethatistwelve(12)monthsafterthedateofsuchTermination.IntheeventofaParticipant’sdeath,suchParticipant’sStockAppreciationRightsshallremainexercisablebythePersonorPersonstowhomsuchParticipant’srightsundertheStockAppreciationRightspassbywillorbytheapplicablelawsofdescentanddistributionuntiltheapplicableExpirationDate,butonlytotheextentthattheStockAppreciationRightswerevestedatthetimeofsuchTermination.

(3) IntheeventofaParticipant’sTerminationpriortotheapplicableExpirationDatebytheServiceRecipientforCause,allofsuchParticipant’soutstandingStockAppreciationRights(whetherornotvested)shallimmediatelyterminateandbeforfeitedfornoconsiderationasofthedateofsuchTermination.

9. Performance Awards.

(a) General.PerformanceAwardsmaybegrantedtoEligiblePersonsinsuchformandhavingsuchtermsandconditionsastheCommitteeshalldeem appropriate. The provisions of separate Performance Awards, including the determination of the Committee with respect to the form of payout ofPerformanceAwards,shallbesetforthinseparatePerformanceAwardAgreements,whichagreementsneednotbeidentical.Cashdividendsandstockdividends,ifany,withrespecttothePerformanceAwardsshallbewithheldbytheCompanyfortheParticipant’saccount,andshallbesubjecttoforfeituretothesamedegreeas the Performance Shares to which such dividends relate. A Participant shall not be entitled to dividends, if any, or dividend equivalents with respect toPerformanceAwardsthatarenotearnedandvested.ExceptasotherwisedeterminedbytheCommittee,nointerestwillaccrueorbepaidontheamountofanycashdividendswithheld.

(b) ValueofPerformanceAwards.EachPerformanceUnitshallhaveaninitialvaluethatisestablishedbytheCommitteeatthetimeofgrant.Each Performance Share shall have an initial value equal to the Fair Market Value of the Stock on the date of grant. Each Performance Award Agreement inrespectofanyPerformanceCashAwardshallspecifythedollaramountpayableunderthePerformanceCashAward.Inadditiontoanyothernon-performancetermsincludedinthePerformanceAwardAgreement,theCommitteeshallsettheapplicablePerformanceObjectivesinitsdiscretion,whichobjectives,depending

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ontheextenttowhichtheyaremet,willdeterminethevalueandnumberofPerformanceUnitsorPerformanceShares,orthevalueofaPerformanceCashAwardasthecasemaybe,thatwillbepaidouttotheParticipant.

(c) EarningofPerformanceAwards.UpontheexpirationoftheapplicablePerformancePeriodorothernon-performance-basedvestingperiod,iflonger,theholderofaPerformanceAwardshallbeentitledtoreceivethefollowingpayouts:(1)iftheholderholdsPerformanceUnitsorPerformanceShares,payoutonthevalueandnumberoftheapplicablePerformanceUnitsorPerformanceSharesearnedbytheParticipantoverthePerformancePeriod,or(2)iftheholderholdsaPerformanceCashAward,payoutonthevalueofthePerformanceCashAwardearnedbytheParticipantoverthePerformancePeriod,inanycase,tobedeterminedasafunctionoftheextenttowhichthecorrespondingPerformanceObjectiveshavebeenachievedandanyothernon-performance-basedtermsmet. The Committee mayspecify a target, threshold or maximumamount payable and mayset a formula for determining the amount of Performance AwardsearnedifperformanceisatorabovethethresholdlevelbutfallsshortofthemaximumachievementofthespecifiedPerformanceObjectives.

(d) FormandTimingofPaymentofPerformanceAwards.PaymentofearnedPerformanceAwardsshallbeasdeterminedbytheCommitteeandasevidencedinthePerformanceAwardAgreement.SubjecttothetermsofthePlan,theCommittee,initssolediscretion,maypayearnedPerformanceUnitsand Performance Shares in the form of cash, Stock, or other Awards (or in any combination thereof) equal to the value of the earned Performance Units orPerformance Shares, as the case maybe, at the close of the applicable Performance Period, or as soon as practicable after the end of the Performance Period.UnlessotherwisedeterminedbytheCommittee,earnedPerformanceCashAwardsshallbepaidincash.Anycash,Stock,orotherAwardsissuedinconnectionwithaPerformanceAwardmaybeissuedsubjecttoanyrestrictionsdeemedappropriatebytheCommittee.

(e) TerminationofEmploymentorService.ExceptasprovidedbytheCommitteeinaPerformanceAwardAgreement,ParticipantAgreementorotherwise,if,priortotheendofanapplicablePerformancePeriod,aParticipantundergoesaTerminationforanyreason,allofsuchParticipant’sPerformanceAwardsshallbeforfeitedbytheParticipanttotheCompanyfornoconsideration.

(f) PerformanceObjectives.

(1) EachPerformance Awardshall specify the Performance Objectives that must be achieved before suchPerformance Awardshallbecomeearned.TheCompanymayalsospecifyaminimumacceptablelevelofachievementbelowwhichnopaymentwillbemadeandmaysetforthaformulafordeterminingtheamountofanypaymenttobemadeifperformanceisatorabovesuchminimumacceptablelevelbutfallsshortofthemaximumachievementofthespecifiedPerformanceObjectives.

(2) WithrespecttoQualifiedPerformance-BasedAwards,PerformanceObjectivesshallbelimitedtospecifiedlevelsoforincreasesinoneormoreofthefollowingbusinesscriteria(aloneorincombinationwithanyothercriterion,whethergrossornet,beforeoraftertaxes,and/orbeforeorafterotheradjustments,asdeterminedbytheCommittee): (i)earnings,includingnetearnings,totalearnings,operatingearnings,earningsgrowth,operatingincome,earningsbeforeoraftertaxes,earningsbeforeorafterinterest,depreciation,amortization,orextraordinaryorspecialitemsorbookvaluepershare(whichmayexcludenonrecurringitems);(ii)pre-taxincomeoraftertaxincome;(iii)earningspershare(basicordiluted);(iv)operatingprofit;(v)revenue,revenuegrowth,orrate of revenuegrowth; (vi) return onassets (gross or net), return oninvestment, return oncapital, return onequity, financial return ratios, or internal rates ofreturn;(vii)returnsonsalesorrevenues;(viii)operatingexpenses;(ix)stockpriceappreciation;(x)cashflow(including,butnotlimitedto,operatingcashflowandfreecashflow),cashflowreturnoninvestment(discountedorotherwise),netcashprovidedbyoperationsorcashflowinexcessofcostofcapital,workingcapital turnover; (xi) implementation or completion of critical projects or processes; (xii) economic value created; (xiii) balance sheet measurements;(xiv) cumulative earnings per share growth; (xv) operating margin, profit margin, or gross margin; (xvi) stock price or total stockholder return; (xvii) cost orexpense targets, reductions and savings, productivity and efficiencies; (xviii) sales or sales growth; (xix) strategic business criteria, consisting of one or moreobjectives based on meeting specified market penetration, market share, geographic business expansion, customer satisfaction, employee satisfaction, humanresourcesmanagement, supervisionoflitigation,informationtechnology,andgoalsrelatingtoacquisitions,divestitures,jointventures,andsimilartransactions,andbudgetcomparisons;and(xx)personalprofessionalobjectives,includinganyoftheforegoingperformancegoals,theimplementationofpoliciesandplans,thenegotiation of transactions, the development of long term business goals, the formation of joint ventures, research or development collaborations, and thecompletionofothercorporatetransactions.PerformanceObjectivesmaybeestablishedonaCompany-widebasis,projectorgeographicalbasisor,asthecontextpermits,withrespecttooneormorebusinessunits,divisions,linesofbusiness,subsidiaries,products,orotheroperationalunitsoradministrativedepartmentsoftheCompany(orincombinationthereof)ormayberelatedtotheperformanceofanindividualParticipantandmaybeexpressedinabsoluteterms,orrelativeorcomparativeto(A)currentinternaltargetsorbudgets,(B)thepastperformanceoftheCompany(includingtheperformanceofoneormoresubsidiaries,divisions,oroperatingunits),(C)theperformanceofoneormoresimilarlysituatedcompanies,(D)theperformanceofanindexcoveringmultiplecompanies,or(E)otherexternalmeasures

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oftheselectedperformancecriteria.PerformanceObjectivesmaybeineitherabsolutetermsorrelativetotheperformanceofoneormorecomparablecompaniesoranindexcoveringmultiplecompanies.

(3) Thebusinesscriteriamentionedabove(i)maybecombinedwithcostofcapital,assets,investedcapitalandshareholderequitytoformanappropriate measure of performance and(ii) shall haveanyreasonable definitions that the Committee mayspecify, and, to the extent permitted underSection 162(m) of the Code in the case of Qualified Performance-Based Awards, unless the Committee provides otherwise at the time of establishing thePerformance Objectives, the Committee may: (A) designate additional business criteria onwhichthe Performance Objectives maybe basedor (B) provide forobjectivelydeterminableadjustments,modificationsoramendments,asdeterminedinaccordancewithGenerallyAcceptedAccountingPrinciples(“GAAP”),toanyofthebusinesscriteriadescribedaboveforoneormoreofthefollowingitemsofgain,loss,profitorexpense:(a)determinedtobeitemsofanunusualnatureorofinfrequencyofoccurrenceornon-recurringinnature;(b)relatedtochangesinaccountingprinciplesunderGAAPortaxlaws(including,withoutlimitation,any adjustments that would result in the Company paying non-deductible compensation to a Participant); (c) related to currency fluctuations; (d) related tofinancingactivities(e.g. , effectonearningspershareofissuingconvertibledebtsecurities); (e)relatedtorestructuring,divestitures,productivityinitiativesornewbusinessinitiatives;(f)relatedtodiscontinuedoperationsthatdonotqualifyasasegmentofbusinessunderGAAP;(g)attributabletothebusinessoperationsofanyentityacquiredbytheCompanyduringthefiscalyear;non-operatingitems;and(h)acquisitionordivestitureexpenses.

(g) Section162(m)Compliance.UnlessotherwisepermittedincompliancewiththerequirementsofSection162(m)oftheCodewithrespecttoaPerformanceAwardintendedtobeaQualifiedPerformance-BasedAward,theCommitteewillestablishthePerformanceObjectivesapplicableto,andtheformulaforcalculatingtheamountpayableunder,thePerformanceAwardnolaterthantheearlierof(a)thedateninety(90)daysafterthecommencementoftheapplicablePerformancePeriod,and(b)thedateonwhichtwenty-fivepercent(25%)ofthePerformancePeriodhaselapsed,andinanyeventatatimewhentheachievementoftheapplicablePerformanceObjectivesremainssubstantiallyuncertain.PriortothepaymentofanycompensationunderaPerformanceAwardintendedtobeaQualifiedPerformance-BasedAward,theCommitteewillcertifytheextenttowhichanyPerformanceObjectivesandanyothermaterialtermsundersuchPerformanceAwardhavebeensatisfied(otherthanincaseswheresuchrelatesolelytotheincreaseinthevalueoftheStock).

(h) Negative Discretion . Notwithstanding satisfaction of any completion of any Performance Objectives, the number of shares ofStock,cashorotherbenefitsgranted,issued,retainableand/orvestedunderaPerformanceAwardonaccountofsatisfactionofsuchPerformanceObjectivesmaybereducedbytheCommitteeonthebasisofsuchfurtherconsiderationsastheCommittee,initssolediscretion,willdetermine.

10. Other Stock-Based Awards.

TheCommitteeisauthorized,subjecttolimitationsunderapplicablelaw,togranttoParticipantssuchotherAwardsthatmaybedenominatedorpayablein,valuedinwholeorinpartbyreferenceto,orotherwisebaseduponorrelatedtoStock,asdeemedbytheCommitteetobeconsistentwiththepurposesofthePlan.TheCommitteemayalsograntStockasabonus(whetherornotsubjecttoanyvestingrequirementsorotherrestrictionsontransfer),andmaygrantotherAwards in lieu of obligations of the Company or an Affiliate to pay cash or deliver other property under the Plan or under other plans or compensatoryarrangements, subject to suchtermsas shall be determinedbythe Committee. Thetermsandconditions applicable to suchAwardsshall bedeterminedbytheCommitteeandevidencedbyAwardAgreements,whichagreementsneednotbeidentical.

11. Adjustment for Recapitalization, Merger, etc.

(a) Capitalization Adjustments . The aggregate number of shares of Stock that may be delivered in connection with Awards (as set forth inSection4hereof),thenumericalsharelimitsinSection4,thenumberofsharesofStockcoveredbyeachoutstandingAward,andthepricepershareofStockunderlyingeachsuchAwardshallbeequitablyandproportionallyadjustedorsubstituted,asdeterminedbytheCommittee,initssolediscretion,astothenumber,price,orkindofashareofStockorotherconsiderationsubjecttosuchAwards(1)intheeventofchangesintheoutstandingStockorinthecapitalstructureoftheCompanybyreasonofstockdividends,extraordinarycashdividends,stocksplits,reversestocksplits,recapitalizations,reorganizations,mergers,amalgamations,consolidations,combinations,exchanges,orotherrelevantchangesincapitalizationoccurringafterthedateofgrantofanysuchAward(includinganyCorporateEvent);(2)inconnectionwithanyextraordinarydividenddeclaredandpaidinrespectofsharesofStock,whetherpayableintheformofcash,stock,oranyotherformofconsideration;or(3)intheeventofanychangeinapplicablelawsorcircumstancesthatresultsinorcouldresultin,ineithercase,asdeterminedbytheCommitteeinitssolediscretion,anysubstantialdilutionorenlargementoftherightsintendedtobegrantedto,oravailablefor,ParticipantsinthePlan.

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(b) CorporateEvents.Notwithstandingtheforegoing,exceptasprovidedbytheCommitteeinanAwardAgreement,ParticipantAgreementorotherwise,inconnectionwith(i)amerger,amalgamation,orconsolidationinvolvingtheCompanyinwhichtheCompanyisnotthesurvivingcorporation,(ii)amerger, amalgamation, or consolidation involving the Company in which the Company is the surviving corporation but the holders of shares of Stock receivesecuritiesofanothercorporationorotherpropertyorcash,(iii)aChangeinControl,or(iv)thereorganization,dissolutionorliquidationoftheCompany(each,a“CorporateEvent”),theCommitteemay,initsdiscretion,provideforanyoneormoreofthefollowing:

(1) TheassumptionorsubstitutionofanyorallAwardsinconnectionwithsuchCorporateEvent,inwhichcasetheAwardsshallbesubjecttotheadjustmentsetforthinsubsection(a)above,andtotheextentthatsuchAwardsarePerformanceAwardsorotherAwardsthatvestsubjecttotheachievement of Performance Objectives or similar performance criteria, such Performance Objectives or similar performance criteria shall be adjustedappropriatelytoreflecttheCorporateEvent;

(2) The acceleration of vesting of any or all Awards, subject to the consummation of such Corporate Event; provided that anyPerformance Awards or other Awards that vest subject to the achievement of Performance Objectives or similar performance criteria will be deemed earned(i)basedonactualperformancethroughthedateoftheCorporateEvent,or(ii)atthetargetlevel(orifnotargetisspecified,themaximumlevel),intheeventactualperformancecannotbemeasuredthroughthedateoftheCorporateEvent,ineachcase,withrespecttoallunexpiredPerformancePeriodsorPerformancePeriodsforwhichsatisfactionofthePerformanceObjectivesorothermaterialtermsfortheapplicablePerformancePeriodhasnotbeencertifiedbytheCommitteepriortothedateoftheCorporateEvent;

(3) ThecancellationofanyorallAwards(whethervestedorunvested)asoftheconsummationofsuchCorporateEvent,togetherwiththepaymenttotheParticipantsholdingvestedAwards(includinganyAwardsthatwouldvestupontheCorporateEventbutforsuchcancellation)socanceledofanamountinrespectofcancellationequaltotheamountpayablepursuanttoanyCashAwardor,withrespecttootherAwards,anamountbasedupontheper-shareconsiderationbeingpaidfortheStockinconnectionwithsuchCorporateEvent,less,inthecaseofOptions,StockAppreciationRights,andotherAwardssubject to exercise, the applicable exercise or base price;provided,however , that holders of Options, StockAppreciation Rights, andother Awardssubject toexerciseshallbeentitledtoconsiderationinrespectofcancellationofsuchAwardsonlyiftheper-shareconsiderationlesstheapplicableexerciseorbasepriceisgreaterthanzerodollars($0),andtotheextentthattheper-shareconsiderationislessthanorequaltotheapplicableexerciseorbaseprice,suchAwardsshallbecanceledfornoconsideration;

(4) ThecancellationofanyorallOptions,StockAppreciationRightsandotherAwardssubjecttoexercisenotassumedorsubstitutedin connection with such Corporate Event (whether vested or unvested) as of the consummation of such Corporate Event; provided that all Options, StockAppreciationRightsandotherAwardstobesocanceledpursuanttothisparagraph(4)shallfirstbecomeexercisableforaperiodofatleastten(10)dayspriortosuchCorporateEvent,withanyexerciseduringsuchperiodofanyunvestedOptions,StockAppreciationRightsorotherAwardstobe(A)contingentuponandsubjecttotheoccurrenceoftheCorporateEvent,and(B)effectuatedbysuchmeansasareapprovedbytheCommittee;and

(5) Thereplacementofanyorall Awards(otherthanAwardsthatareintendedtoqualifyas“stockrights”thatdonotprovidefora“deferralofcompensation”withinthemeaningofSection409AoftheCode)withacashincentiveprogramthatpreservesthevalueoftheAwardssoreplaced(determinedasoftheconsummationoftheCorporateEvent),withsubsequentpaymentofcashincentivessubjecttothesamevestingconditionsasapplicabletotheAwardssoreplacedandpaymenttobemadewithinthirty(30)daysoftheapplicablevestingdate.

Paymentstoholderspursuanttoparagraph(3)aboveshallbemadeincashor,inthesolediscretionoftheCommittee,andtotheextentapplicable,intheformofsuchotherconsiderationnecessaryforaParticipanttoreceiveproperty,cash,orsecurities(oracombinationthereof)assuchParticipantwouldhavebeenentitledtoreceiveupontheoccurrenceofthetransactioniftheParticipanthadbeen,immediatelypriortosuchtransaction,theholderofthenumberofsharesofStockcovered by the Award at such time (less any applicable exercise or base price). In addition, in connection with any Corporate Event, prior to any payment oradjustmentcontemplatedunderthissubsection(b),theCommitteemayrequireaParticipantto(A)representandwarrantastotheunencumberedtitletohisorherAwards,(B)bearsuchParticipant’spro­ratashareofanypost­closingindemnityobligations,andbesubjecttothesamepost-closingpurchasepriceadjustments,escrowterms,offsetrights,holdbackterms,andsimilarconditionsastheotherholdersofStock,and(C)delivercustomarytransferdocumentationasreasonablydetermined by the Committee. The Committee need not take the same action or actions with respect to all Awards or portions thereof or with respect to allParticipants.TheCommitteemaytakedifferentactionswithrespecttothevestedandunvestedportionsofanAward.

(c) FractionalShares.AnyadjustmentprovidedunderthisSection11may,intheCommittee’sdiscretion,providefortheeliminationofanyfractionalsharethatmightotherwisebecomesubjecttoanAward.Nocashsettlementsshallbemadewithrespecttofractionalsharessoeliminated.

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12. Use of Proceeds.

TheproceedsreceivedfromthesaleofStockpursuanttothePlanshallbeusedforgeneralcorporatepurposes.

13. Rights and Privileges as a Stockholder.

ExceptasotherwisespecificallyprovidedinthePlan,noPersonshallbeentitledtotherightsandprivilegesofStockownershipinrespectofsharesofStockthataresubjecttoAwardshereunderuntilsuchshareshavebeenissuedtothatPerson.

14. Transferability of Awards.

Awardsmaynotbesold,transferred,pledged,assigned,orotherwisealienatedorhypothecated,otherthanbywillorbytheapplicablelawsofdescentanddistribution,andtotheextentsubjecttoexercise,Awardsmaynotbeexercisedduringthelifetimeofthegranteeotherthanbythegrantee.Notwithstandingtheforegoing, except with respect to Incentive StockOptions, Awardsanda Participant’s rights under the Planshall be transferable for novalue to the extentprovidedinanAwardAgreementorotherwisedeterminedatanytimebytheCommittee.

15. Employment or Service Rights.

NoindividualshallhaveanyclaimorrighttobegrantedanAwardunderthePlanor,havingbeenselectedforthegrantofanAward,tobeselectedforthegrantofanyotherAward.NeitherthePlannoranyactiontakenhereundershallbeconstruedasgivinganyindividualanyrighttoberetainedintheemployorserviceoftheCompanyoranAffiliateoftheCompany.

16. Compliance with Laws.

TheobligationoftheCompanytodeliverStockuponissuance,vesting,exercise,orsettlementofanyAwardshallbesubjecttoallapplicablelaws,rules,andregulations,andtosuchapprovalsbygovernmentalagenciesasmayberequired.NotwithstandinganytermsorconditionsofanyAwardtothecontrary,theCompanyshallbeundernoobligationtooffertosellortosell,andshallbeprohibitedfromofferingtosellorselling,anysharesofStockpursuanttoanAwardunlesssuchshareshavebeenproperlyregisteredforsalewiththeU.S.SecuritiesandExchangeCommissionpursuanttotheSecuritiesAct(orwithasimilarnon-U.S.regulatoryagencypursuanttoasimilarlaworregulation)orunlesstheCompanyhasreceivedanopinionofcounsel,satisfactorytotheCompany,thatsuchsharesmaybeofferedorsoldwithoutsuchregistrationpursuanttoanavailableexemptiontherefromandthetermsandconditionsofsuchexemptionhavebeenfullycompliedwith.TheCompanyshallbeundernoobligationtoregisterforsaleorresaleundertheSecuritiesActanyofthesharesofStocktobeofferedorsoldunderthePlanoranysharesofStocktobeissueduponexerciseorsettlementofAwards.IfthesharesofStockofferedforsaleorsoldunderthePlanareofferedor sold pursuant to an exemption from registration under the Securities Act, the Company may restrict the transfer of such shares and may legend the Stockcertificatesrepresentingsuchsharesinsuchmannerasitdeemsadvisabletoensuretheavailabilityofanysuchexemption.

17. Withholding Obligations.

Asaconditiontotheissuance,vesting,exercise,orsettlementofanyAward(oruponthemakingofanelectionunderSection83(b)oftheCode),theCommitteemayrequirethataParticipantsatisfy,throughdeductionorwithholdingfromanypaymentofanykindotherwiseduetotheParticipant,orthroughsuchotherarrangementsasaresatisfactorytotheCommittee,theamountofallfederal,state,andlocalincomeandothertaxesofanykindrequiredorpermittedtobewithheldinconnectionwithsuchissuance,vesting,exercise,orsettlement(orelection).TheCommittee,initsdiscretion,maypermitsharesofStocktobeusedtosatisfytaxwithholdingrequirements,andsuchsharesshallbevaluedattheirFairMarketValueasoftheissuance,vesting,exercise,orsettlementdateoftheAward,asapplicable.Dependingonthewithholdingmethod,theCompanymaywithholdbyconsideringtheapplicableminimumstatutorilyrequiredwithholdingratesorotherapplicablewithholdingratesintheapplicableParticipant’sjurisdiction,includingmaximumapplicableratesthatmaybeutilizedwithoutcreatingadverseaccountingtreatmentunderFinancialAccountingStandardsBoardAccountingStandardsCodificationTopic718(oranysuccessorpronouncementthereto).

18. Amendment of the Plan or Awards.

(a) AmendmentofPlan.TheBoardortheCommitteemayamendthePlanatanytimeandfromtimetotime.

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(b) AmendmentofAwards.TheBoardortheCommitteemayamendthetermsofanyoneormoreAwardsatanytimeandfromtimetotime.

(c) StockholderApproval;NoMaterialImpairment.Notwithstandinganythinghereintothecontrary,noamendmenttothePlanoranyAwardshall be effective without stockholder approval to the extent that such approval is required pursuant to applicable law or the applicable rules of each nationalsecurities exchangeonwhichtheStockislisted. Additionally, noamendmenttothePlanoranyAwardshall materiallyimpair aParticipant’s rights underanyAwardunlesstheParticipantconsentsinwriting(itbeingunderstoodthatnoactiontakenbytheBoardortheCommitteethatisexpresslypermittedunderthePlan,including, without limitation, any actions described in Section 11 hereof, shall constitute an amendment to the Plan or an Award for such purpose).Notwithstandingtheforegoing,subjecttothelimitationsofapplicablelaw,ifany,andwithoutanaffectedParticipant’sconsent,theBoardortheCommitteemayamendthetermsofthePlanoranyoneormoreAwardsfromtimetotimeasnecessarytobringsuchAwardsintocompliancewithapplicable law,including,withoutlimitation,Section409AoftheCode.

(d) NoRepricingofAwardsWithoutStockholderApproval.Notwithstandingsubsection(a)or(b)above,oranyotherprovisionofthePlan,therepricingofAwardsshallnotbepermittedwithoutstockholderapproval.Forthispurpose,a“repricing”meansanyofthefollowing(oranyotheractionthathasthe sameeffect as any of the following): (1) changing the terms of an Award to lower its exercise or base price (other than onaccount of capital adjustmentsresultingfromsharesplits,etc.,asdescribedinSection11(a)hereof),(2)anyotheractionthatistreatedasarepricingunderGAAP,and(3)repurchasingforcashorcancelinganAwardinexchangefor another Awardat atimewhenits exercise or basepriceis greater thantheFair Market ValueoftheunderlyingStock,unlessthecancellationandexchangeoccursinconnectionwithaneventsetforthinSection11(b)hereof.

19. Termination or Suspension of the Plan.

TheBoardortheCommitteemaysuspendorterminatethePlanatanytime.Unlesssoonerterminated,thePlanshallterminateonthedaybeforethetenth(10th)anniversaryoftheearlierof(i)thedatethePlanisadoptedbytheBoardand(ii)thedatethestockholdersoftheCompanyapprovethePlan.NoAwardsmaybegrantedunderthePlanwhilethePlanissuspendedorafteritisterminated;provided,however,thatfollowinganysuspensionorterminationofthePlan,the Plan shall remain in effect for the purpose of governing all Awards then outstanding hereunder until such time as all Awards under the Plan have beenterminated,forfeited,orotherwisecanceled,orearned,exercised,settled,orotherwisepaidout,inaccordancewiththeirterms.

20. Effective Date of the Plan.

ThePlaniseffectiveasoftheEffectiveDate,subjecttostockholderapproval.

21. Miscellaneous.

(a) Certificates . Stock acquired pursuant to Awards granted under the Plan may be evidenced in such a manner as the Committee shalldetermine.IfcertificatesrepresentingStockareregisteredinthenameoftheParticipant,theCommitteemayrequirethat(1)suchcertificatesbearanappropriatelegend referring to the terms, conditions, and restrictions applicable to such Stock, (2) the Company retain physical possession of the certificates, and (3) theParticipantdeliverastockpowertotheCompany,endorsedinblank,relatingtotheStock.Notwithstandingtheforegoing,theCommitteemaydetermine,initssolediscretion,thattheStockshallbeheldinbook-entryformratherthandeliveredtotheParticipantpendingthereleaseofanyapplicablerestrictions.

(b) Clawback/RecoupmentPolicy.Notwithstandinganythingcontainedhereintothecontrary,allAwardsgrantedunderthePlanshallbeandremain subject to any incentive compensation clawback or recoupment policy currently in effect or as may be adopted by the Board (or a committee orsubcommitteeoftheBoard)and,ineachcase,asmaybeamendedfromtimetotime.Nosuchpolicyadoptionoramendmentshallinanyeventrequirethepriorconsent of any Participant. No recovery of compensation under such a clawback policy will be an event giving rise to a right to resign for “good reason” or“constructivetermination”(orsimilarterm)underanyagreementwiththeCompanyoranyofitsAffiliates.IntheeventthatanAwardissubjecttomorethanonesuchpolicy,thepolicywiththemostrestrictiveclawbackorrecoupmentprovisionsshallgovernsuchAward,subjecttoapplicablelaw.

(c) DataPrivacy. Asaconditionofreceipt ofanyAward,eachParticipant explicitlyandunambiguouslyconsentstothecollection, use, andtransfer, in electronic or other form, of personal data as described in this Section 21(c) by and among, as applicable, the Company and its Affiliates for theexclusive purpose of implementing, administering, and managing the Plan and Awards and the Participant’s participation in the Plan. In furtherance of suchimplementation, administration, andmanagement, the Companyandits Affiliates mayhold certain personal information about a Participant, including, but notlimited to, the Participant’s name, home address, telephone number, date of birth, social security or insurance number or other identification number, salary,nationality,jobtitle(s),informationregardinganysecuritiesoftheCompanyoranyofitsAffiliates,anddetailsof

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allAwards(the“Data”).InadditiontotransferringtheDataamongstthemselvesasnecessaryforthepurposeofimplementation,administration,andmanagementofthePlanandAwardsandtheParticipant’sparticipationinthePlan,theCompanyanditsAffiliatesmayeachtransfertheDatatoanythirdpartiesassistingtheCompanyintheimplementation,administration,andmanagementofthePlanandAwardsandtheParticipant’sparticipationinthePlan.RecipientsoftheDatamaybelocatedintheParticipant’scountryorelsewhere,andtheParticipant’scountryandanygivenrecipient’scountrymayhavedifferentdataprivacylawsandprotections.ByacceptinganAward,eachParticipantauthorizessuchrecipientstoreceive,possess,use,retain,andtransfertheData,inelectronicorotherform,forthepurposesofassistingtheCompanyintheimplementation,administration,andmanagementofthePlanandAwardsandtheParticipant’sparticipationinthePlan, includinganyrequisite transfer ofsuchDataasmayberequiredtoabrokerorotherthirdpartywithwhomtheCompanyortheParticipant mayelect todepositanysharesofStock.TheDatarelatedtoaParticipantwillbeheldonlyaslongasisnecessarytoimplement,administer,andmanagethePlanandAwardsand the Participant’s participation in the Plan. A Participant may, at any time, view the Data held by the Company with respect to such Participant, requestadditionalinformationaboutthestorageandprocessingoftheDatawithrespecttosuchParticipant,recommendanynecessarycorrectionstotheDatawithrespecttotheParticipant,orrefuseorwithdrawtheconsentshereininwriting,inanycasewithoutcost,bycontactinghisorherlocalhumanresourcesrepresentative.TheCompanymaycanceltheParticipant’seligibilitytoparticipateinthePlan,andintheCommittee’sdiscretion,theParticipantmayforfeitanyoutstandingAwardsifthe Participant refuses or withdraws the consents described herein. For more information on the consequences of refusal to consent or withdrawal of consent,Participantsmaycontacttheirlocalhumanresourcesrepresentative.

(d) Participants Outside of the United States . The Committee may modify the terms of any Award under the Plan made to or held by aParticipant whois thena resident, or is primarily employedor providingservices, outside of the UnitedStates in anymanner deemedbythe Committee to benecessaryor appropriate inorder that suchAwardshall conformtolaws, regulations, andcustomsof thecountryin whichtheParticipant is thenaresident orprimarilyemployedorprovidingservices,orsothatthevalueandotherbenefitsoftheAwardtotheParticipant,asaffectedbynon-U.S.StatestaxlawsandotherrestrictionsapplicableasaresultoftheParticipant’sresidence,employment,orprovidingservicesabroad,shallbecomparabletothevalueofsuchAwardtoaParticipantwhoisaresident,orisprimarilyemployedorprovidingservices,intheUnitedStates.AnAwardmaybemodifiedunderthisSection21(d)inamannerthatisinconsistentwiththeexpresstermsofthePlan,solongassuchmodificationswillnotcontraveneanyapplicablelaworregulationorresultinactualliabilityunderSection16(b)oftheExchangeActfortheParticipantwhoseAwardismodified.Additionally,theCommitteemayadoptsuchproceduresandsub-plansasarenecessaryorappropriatetopermitparticipationinthePlanbyEligiblePersonswhoarenon-U.S.nationalsorareprimarilyemployedorprovidingservicesoutsidetheUnitedStates.

(e) NoLiabilityofCommitteeMembers.NeitheranymemberoftheCommitteenoranyoftheCommittee’spermitteddelegatesshallbeliablepersonallybyreasonofanycontractorotherinstrumentexecutedbysuchmemberoronhisorherbehalfinhisorhercapacityasamemberoftheCommitteeorforanymistakeofjudgmentmadeingoodfaith,andtheCompanyshallindemnifyandholdharmlesseachmemberoftheCommitteeandeachotheremployee,officer,ordirectoroftheCompanytowhomanydutyorpowerrelatingtotheadministrationorinterpretationofthePlanmaybeallocatedordelegated,againstallcostsandexpenses(includingcounselfees)andliabilities(includingsumspaidinsettlementofaclaim)arisingoutofanyactoromissiontoactinconnectionwiththePlan,unlessarisingoutofsuchPerson’sownfraudorwillfulmisconduct;provided,however,thatapprovaloftheBoardshallberequiredforthepaymentofanyamountinsettlementofaclaimagainstanysuchPerson.TheforegoingrightofindemnificationshallnotbeexclusiveofanyotherrightsofindemnificationtowhichsuchPersonsmaybeentitledundertheCompany’scertificateorarticlesofincorporationorbye­laws,eachasmaybeamendedfromtimetotime,asamatteroflaw,orotherwise,oranypowerthattheCompanymayhavetoindemnifythemorholdthemharmless.

(f) PaymentsFollowingAccidents or Illness . If the Committee shall find that anyPersonto whomanyamount is payable under the Planisunabletocareforhisorheraffairsbecauseofillnessoraccident,orisaminor,orhasdied,thenanypaymentduetosuchPersonorhisorherestate(unlessapriorclaimthereforhasbeenmadebyadulyappointedlegalrepresentative)may,iftheCommitteesodirectstheCompany,bepaidtohisorherspouse,child,relative,an institution maintaining or having custody of such Person, or any other Person deemed by the Committee to be a proper recipient on behalf of such Personotherwiseentitledtopayment.AnysuchpaymentshallbeacompletedischargeoftheliabilityoftheCommitteeandtheCompanytherefor.

(g) GoverningLaw. ThePlanshall be governedbyandconstruedin accordance withthe internal lawsof Bermudawithout reference to theprinciplesofconflictsoflawsthereof.

(h) Funding.NoprovisionofthePlanshallrequiretheCompany,forthepurposeofsatisfyinganyobligationsunderthePlan,topurchaseassetsorplaceanyassetsinatrustorotherentitytowhichcontributionsaremadeorotherwisetosegregateanyassets,norshalltheCompanyberequiredtomaintainseparate bank accounts, books, records, or other evidence of the existence of a segregated or separately maintained or administered fund for such purposes.ParticipantsshallhavenorightsunderthePlanotherthanasunsecuredgeneralcreditorsoftheCompany,exceptthatinsofarastheymayhavebecomeentitledtopaymentof

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additionalcompensationbyperformanceofservices,theyshallhavethesamerightsasotheremployeesandserviceprovidersundergenerallaw.

(i) RelianceonReports.EachmemberoftheCommitteeandeachmemberoftheBoardshallbefullyjustifiedinrelying,acting,orfailingtoact,andshallnotbeliableforhavingsorelied,acted,orfailedtoactingoodfaith,uponanyreportmadebytheindependentpublicaccountantoftheCompanyanditsAffiliatesanduponanyotherinformationfurnishedinconnectionwiththePlanbyanyPersonorPersonsotherthansuchmember.

(j) ElectronicDeliveryofDocuments.TheCompanymaydeliverbyemailorotherelectronicmeans(includingpostingonawebsitemaintainedbytheCompanyorbyathirdpartyundercontractwiththeCompany)alldocumentsrelatingtothePlanoranyAwardthereunder(includingwithoutlimitation,Planprospectuses)andallotherdocumentsthattheCompanyisrequiredtodelivertoitsstockholders(includingwithoutlimitation,annualreportsandproxystatements).

(k) Titles and Headings . The titles and headings of the sections in the Plan are for convenience of reference only, and in the event of anyconflict,thetextofthePlan,ratherthansuchtitlesorheadings,shallcontrol.

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