Last checked at 3 Jun 2021 07:00
Hiscox Ltd announces legacy reinsurance deal with Enstar Group Ltd
Hamilton, Bermuda (3 June 2021) - Hiscox Ltd (LSE:HSX), the international specialist insurer, has completed a loss portfolio transfer ("LPT") agreement with Enstar Group Limited, whereby Enstar's Syndicate 2008 will assume historical liabilities for selected lines of Hiscox Syndicate 3624, including the majority of Hiscox USA's surplus lines broker business.
Under the terms of the agreement, Hiscox secures coverage for potential adverse development in respect of reserves valued at approximately $520 million at 31st December 2020 relating to 2019 and prior-year business.
The transaction is capital accretive to Hiscox adding an estimated 10 points to the Group's Bermuda Solvency Capital Ratio and will result in a P&L charge of $26 million in H1 2021.
ENDS
For further information
Investors and analysts
Yana O'Sullivan, Group Head of Investor Relations, London +44 (0)20 3321 5598
Marc Wetherhill, Group Company Secretary, Bermuda +1 441 278 8300
Media
Kylie O'Connor, Director of Communications, London +44 (0)20 7448 6656
Tom Burns, Brunswick +44 (0)20 7404 5959
Simone Selzer, Brunswick +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.
The Hiscox Group employs over 3,000 people in 14 countries, and has customers worldwide. Through the retail businesses in the UK, Europe, Asia and the USA, 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, courage, ownership 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.