Trading Statement

RNS Number : 6169I

Hiscox Ltd

16 March 2010

 



Hiscox Ltd Announcement

Impact of the Chilean earthquake and Windstorm Xynthia

Hamilton, Bermuda (16 March 2010) -- Hiscox Ltd (LSE:HSX), the international specialist insurer, has undertaken a first estimate of the impact of the Chilean earthquake and Windstorm Xynthia.

Loss estimation, particularly around the very severe earthquake in Chile, is still at an early stage so considerable uncertainties exist. Hiscox underwrites no specific Chilean reinsurance programmes, but has exposure through its underwriting of global and regional reinsurance and retrocessional programmes.  Hiscox has no material direct insurance exposure to this event. 

Current insured market loss estimates for Chile range from US$2 billion to US$10 billion, and for Xynthia US$2 billion to US$4 billion.  The breadth of these ranges reflect market uncertainties and this could lead to a later revision of Hiscox's estimate. 

Based on an insured market loss of US$8 billion for the Chilean earthquake, and US$3 billion for windstorm Xynthia, Hiscox estimates a combined net loss of approximately £100 million.  

This estimate is within budgeted losses for such events and the Group has reinsurance cover remaining for other catastrophes.  Hiscox believes these losses will result in the firming of some reinsurance rates. 

ENDS

For further information:
Hiscox Ltd
Charles Dupplin, Company Secretary	[phone]
Kylie O'Connor, Head of Communications	[phone]
Maitland	[phone]
Philip Gawith
Anthony Silverman

Notes to editors

About Hiscox

Hiscox, headquartered in Bermuda, is an international specialist insurance group listed on the London Stock Exchange (LSE:HSX). There are three main underwriting parts of the Group - Hiscox London Market, Hiscox UK and Europe and Hiscox International. Hiscox London Market underwrites mainly internationally traded business in the London Market - generally large or complex business which needs to be shared with other insurers or needs the international licences of Lloyd's. Hiscox UK and Hiscox Europe offer a range of specialist insurance for professionals and business customers, as well as high net worth individuals. Hiscox International includes operations in Bermuda, Guernsey and USA. Hiscox Insurance Company Limited, Hiscox Underwriting Limited and Hiscox Syndicates Ltd are regulated by the Financial Services Authority.  For further information, visit www.hiscox.com.

 

END

 

 

TSTFMGMFNKRGGZM