Last checked at 7 Nov 2019 14:08
Hiscox Ltd market announcement
Hamilton, Bermuda (7 November 2019) - In its trading statement released to the market on Monday 4 November, Hiscox ("The Group") made the following statement:
"Due to the combined impact of increased claims activity and a cautious approach to reserve development, the Group expects the full year combined ratio for Hiscox Retail to be between 97-99%. The Group continues to target a combined ratio range for Hiscox Retail between 90-95% over the medium term."
At a meeting for analysts on Wednesday 6 November, responding to questions requesting clarification over the meaning of medium term, the Group's management team described an expected return to a target range of underwriting profitability for Hiscox Retail with a progressive improvement of 1-2% per annum over the next two to three years.
Specifically the Group provided the following ranges for the estimated combined ratio for Hiscox Retail:
2019: 97%-99%2020: 96%-98%2021: 95%-97%2022: 90%-95%
The Group did not believe that this constituted inside information, rather it was a clarification of the meaning of "medium term".
Hiscox believes that these are conservative expectations, which of course it will aim to exceed. The Retail market opportunity for the Group remains significant and the growth engine of the business remains intact.
ENDS
For further information:
Hiscox Ltd
Marc Wetherhill, Group Company Secretary, Bermuda +1 441 278 8321
Kylie O'Connor, Head of Communications, London +44 (0)20 7448 6656
Ryan Thompson, Investor Relations Manager, London +44 (0)20 7448 6522
Brunswick
Tom Burns +44 (0)20 7404 5959
Simone Selzer +44 (0)20 7404 5959
Notes to editors
About The Hiscox Group
Hiscox is a global specialist insurer, headquartered in Bermuda and listed on the London Stock Exchange (LSE:HSX). Our ambition is to be a respected specialist insurer with a diverse portfolio by product and geography. We believe that building balance between catastrophe-exposed business and less volatile local specialty business gives us opportunities for profitable growth throughout the insurance cycle. It's a long-standing strategy which in 2018 saw the business deliver a profit before tax of $137.4 million in a challenging year for insurers.
The Hiscox Group employs over 3,300 people in 14 countries, and has customers worldwide. Through the retail businesses in the UK, Europe, Asia and the US, we offer a range of specialist insurance for professionals and business customers as well as homeowners. Internationally traded, bigger ticket business and reinsurance is underwritten through Hiscox London Market and Hiscox Re & ILS.
Our values define our business, with a focus on people, ownership, courage and integrity. We pride ourselves on being true to our word and our award-winning claims service is testament to that. For more information, visit www.hiscoxgroup.com.