Conversion of Loan Stock

Hiscox PLC
15 November 2000



                                  HISCOX PLC

                           Conversion of Loan Stock


As part of the consideration for the acquisition of Hiscox Select Insurance
Fund PLC, acquired by Hiscox plc ('Hiscox' or the 'Company') in early 1998,
Hiscox issued £10.47 million nominal of nil-paid convertible loan stock (the
'Loan Stock').  Under the Loan Stock trust deed, the Loan Stock is now due to
be called.  The amount of the call is at the option of Hiscox.

The Board of Hiscox announces that it has decided to call 50 per cent. of the
nominal value of the Loan Stock. This amounts to £5.24 million which, as
adjusted by the conversion calculation detailed in the Loan Stock trust deed,
is converted into new Ordinary Shares in Hiscox at a 5 per cent. discount to a
share price, again determined by the Loan Stock trust deed, of 108p per share.
 The conversion of 50 per cent. of the Loan Stock will therefore result in the
issue of 3,435,043 new Ordinary Shares, representing 2.3 per cent. of the
enlarged issued share capital of the Company.  

Hiscox has posted a conversion notice and letter detailing the conversion to
all Loan Stock holders.  It is expected that the new Ordinary Shares arising
on conversion of the Loan Stock will be issued by the Company on 19 December
2000.  The 3,435,043 new Ordinary Shares will rank pari passu with the
existing issued Ordinary Share capital of the Company.  Applications will be
made to the U.K. Listing Authority and the London Stock Exchange for the
3,435,043 new Ordinary Shares to be admitted to the Official List and to enter
trading on the London Stock Exchange.


For more information contact:

Bronek Masojada/Stuart Bridges                          020 7448 6000