Essent profits boosted by investment gains

Essent Group, the mortgage insurance and reinsurance company, has reported a leap in profits for 2015. Its net income reached $157.3 million last year, compared with a profit of $88.5 million in 2014.

The company also posted an increase in its net premiums written last year, up to $306.6 million, compared with $276.8 million in 2014. Essent’s combined ratio improved in 2015 to 38.3 percent, compared with 46.4 percent in 2014.

Essent’s net realised investment gains also increased to $2.55 billion last year, compared with $925 million in 2014.

“2015 was another successful year for Essent, as we continue to grow a high-quality and profitable mortgage insurance portfolio,” said Mark Casale, chairman and chief executive officer.

“Not only did we grow net income 78 percent year over year, we also generated a return on average equity of over 15 percent for our shareholders in 2015.”