Acquisition

Hiscox Ltd
25 June 2007


             Hiscox acquires American Live Stock Insurance Company

   International specialist insurer grows its US business with purchase of
                                admitted carrier


Hamilton, Bermuda - Hiscox Ltd ('Hiscox'), the international specialist insurer,
announces the acquisition, subject to regulatory approval, of ALTOHA, Inc.
('ALTOHA') an insurance holding company and its subsidiaries American Live Stock
Insurance Company, the premier live stock insurer in the US, and Harding &
Harding, Inc. the affiliated insurance agency. The purchase price is $55 million
which will be satisfied out of internal resources and Hiscox will acquire net
tangible assets of $45 million. Closing is expected in July. ALTOHA is a
privately held group owned by various individuals and its subsidiaries are based
in Geneva, Illinois. It has a staff of 23.

American Live Stock Insurance Company is an admitted insurance company with
licences in all fifty US states. Its main business is animal mortality insurance
for cattle and horses. In 2006 it had gross written premium income of $16.9
million and a combined ratio of 80.9%. As an affiliated agency, Harding &
Harding, Inc. places all of its business with American Live Stock Insurance
Company.

Commenting on the acquisition Bronek Masojada, Chief Executive of Hiscox, said:
'Earlier in the year we said that in order to continue to develop our US
business we would acquire an admitted insurance carrier when the right
opportunity arose. The acquisition of ALTOHA is an excellent fit on all fronts.
It gives us a carrier admitted in 50 states through which we can expand our
existing US operations and product offering.

                                      Ends


For further information please contact:

Hiscox Ltd
Robin Mehta, Company Secretary                     [phone]
Kylie O'Connor, Head of Communications, London     [phone]

Maitland
Philip Gawith                                     [phone]
Richard Farnsworth                                [phone]


Notes to editors

About Hiscox

Hiscox, headquartered in Bermuda, is a specialist insurance group listed on the
London Stock Exchange. There are three main underwriting parts of the Group -
Hiscox Global Markets, Hiscox UK and Europe, and Hiscox International.  Hiscox
Global Markets 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 the USA.

For further information, visit www.hiscox.com


About Hiscox USA

Hiscox USA opened for business in March 2006 and is focused on rolling out
Hiscox's specialist products for small and mid-size US businesses. Hiscox USA
products can be purchased via US-based local and regional brokers. The company
has two New York City area operations in midtown Manhattan and just outside in
Westchester County (Armonk), as well as a third operation in San Francisco.
Hiscox USA (Hiscox Inc.) is a licensed insurance intermediary for surplus lines
business across the US underwriting on behalf of, and placing business with,
Syndicate 33 at Lloyd's of London.

For further information, visit www.hiscoxusa.com


About American Live Stock Insurance Company

Founded in 1952, American Live Stock Insurance Company is the premier live stock
insurer in the United States. Insurance is available in all 50 states, and
internationally in Australia and South Africa. Animal mortality insurance is its
primary business. As a specialty lines carrier, American Live Stock also
provides farmowners cover in selected areas. The Company prides itself in being
involved in the industries it serves with special emphasis and support of
veterinary medicine and education.

Through its affiliate agency, Harding & Harding, the Company can proudly trace
its history back to its early offices in the Chicago Stock Yards and the
involvement of the Company's founders, Frank Harding and Clint Tomson, in the
cattle import/export trade.

For further information, visit www.amlivestock.com





                      This information is provided by RNS
            The company news service from the London Stock Exchange