1 EXHIBIT 11 MEADOWBROOK INSURANCE GROUP, INC. AND SUBSIDIARIES COMPUTATION OF PER SHARE EARNINGS INCOME SHARES PER SHARE (NUMERATOR) (DENOMINATOR) AMOUNT ----------- ------------- ------ FOR THE THREE MONTHS ENDED MARCH 31, 1999 ----------------------------------------- Net (loss) before cumulative effect of accounting change applicable to common Shareholders $ (1,437,766) ============ BASIC EPS (Loss) before cumulative effect of accounting change applicable to common shareholders 8,663,434 $ (0.16) ======= EFFECT OF DILUTIVE SECURITIES Options 168,262 DILUTED EPS (Loss) before cumulative effect of accounting change applicable to common shareholders 8,831,696 $ (0.16) ========= ======= Cumulative effect of accounting change $ (1,706,416) ============ BASIC EPS Cumulative effect of accounting change 8,663,434 $ (0.20) ======= EFFECT OF DILUTIVE SECURITIES Options 168,262 DILUTED EPS Cumulative effect of accounting change 8,831,696 $ (0.20) ========= ======= Net (loss) applicable to common shareholders $ (3,144,182) ============ BASIC EPS (Loss) applicable to common shareholders 8,663,434 $ (0.36) ======= EFFECT OF DILUTIVE SECURITIES Options 168,262 DILUTED EPS (Loss) applicable to common shareholders 8,831,696 $ (0.36) ========= ======= 2 INCOME SHARES PER SHARE (NUMERATOR) (DENOMINATOR) AMOUNT ----------- ------------- ------ FOR THE THREE MONTHS ENDED MARCH 31, 1998 ----------------------------------------- Net income applicable to common shareholders $ 3,283,796 =========== BASIC EPS Income applicable to common shareholders 8,660,164 $ 0.38 ====== EFFECT OF DILUTIVE SECURITIES Options 576,577 --------- DILUTED EPS Income applicable to common shareholders 9,236,741 $ 0.36 ========= ======