{"id":464,"date":"2025-05-01T13:30:11","date_gmt":"2025-05-01T13:30:11","guid":{"rendered":"http:\/\/www.vsdia.com\/?p=464"},"modified":"2025-05-01T18:49:11","modified_gmt":"2025-05-01T18:49:11","slug":"strong-rate-environment-comes-through-in-our-level-of-return-hiscox-cfo","status":"publish","type":"post","link":"http:\/\/www.vsdia.com\/index.php\/2025\/05\/01\/strong-rate-environment-comes-through-in-our-level-of-return-hiscox-cfo\/","title":{"rendered":"Strong rate environment comes through in our level of return: Hiscox CFO"},"content":{"rendered":"

Paul Cooper, CFO of specialist insurer Hiscox, said today that the company’s strong level of return within London Market and Re & ILS is a reflection of the excellent rating environment over the past couple of years.<\/p>\n

\"\"Hiscox, a specialist global insurer with operations across commercial, reinsurance, and retail lines, remains steady in its strategy amid evolving market conditions.<\/p>\n

Speaking on the Q1 2025 earnings call, Cooper shared cautious optimism around the upcoming mid-year reinsurance renewals.<\/p>\n

Reflecting on a challenging 12 months for the industry, marked by significant natural catastrophe activity, he suggested the renewal backdrop may actually improve relative to January.<\/p>\n

When asked about pricing trends across London Market and the Re & ILS platform, Cooper acknowledged a softening in rates but emphasised the strong gains the business had already captured. \u201cIf you look at the rate increases, for example, on London Market, they are up 69% since 2018, and the equivalent number for Re & ILS is more like 80%. So, we’re coming off of very significant highs,\u201d he said.<\/p>\n

\n
\n

\"Download<\/a><\/p>\n<\/div>\n<\/div>\n

He added that while some retreat in pricing was inevitable, it came after a period of exceptional improvement. \u201cThe general commentary in the market is that the rating environment is the best in a decade, for example, over the past couple of years, and that comes through in the level of return that we’ve delivered. So, yes, rates have come off, but they are off of those very strong highs.\u201d<\/p>\n

Cooper also pointed to improvements on the cost side, particularly around its outwards reinsurance. \u201cThe purchases that were undertaken actually came in below our plan. So, we are making savings on that perspective,\u201d he explained.<\/p>\n

Discussing profitability and margin resilience, Cooper highlighted the strength of Hiscox\u2019s long-standing reserving discipline. \u201cWe have a conservative reserving philosophy and have generated consistent reserve releases… over a more than 20 year track record. I think obviously that bodes well from a sort of an accretion perspective.\u201d<\/p>\n

He went on to stress the importance of the group\u2019s broader structure beyond large-ticket segments. \u201cWe are more than a big ticket business. Our Retail business continues to compound and generate good returns with our guidance of the sort of 89% to 94% combined ratio,\u201d Cooper said.<\/p>\n

Cooper also addressed the upcoming mid-year reinsurance renewals, expressing cautious optimism despite recent market losses.<\/p>\n

\u201cTurning to mid-year renewals, conditions are expected to be slightly more favourable than in January, following the nat cat losses in the market over the past 12 months. Given our substantial net growth in recent years, including the January 2025 renewal, we expect to maintain the level of capital deployed and take rate on loss affected business,\u201d he said.<\/p>\n

The post Strong rate environment comes through in our level of return: Hiscox CFO<\/a> appeared first on ReinsuranceNe.ws<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Paul Cooper, CFO of specialist insurer Hiscox, said today that the company’s strong level of return within London Market and Re & ILS is a reflection of the excellent rating environment over the past couple of years. Hiscox, a specialist global insurer with operations across commercial, reinsurance, and retail lines, remains steady in its strategy…<\/p>\n","protected":false},"author":1,"featured_media":466,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[9],"tags":[],"_links":{"self":[{"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/posts\/464"}],"collection":[{"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/comments?post=464"}],"version-history":[{"count":3,"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/posts\/464\/revisions"}],"predecessor-version":[{"id":468,"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/posts\/464\/revisions\/468"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/media\/466"}],"wp:attachment":[{"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/media?parent=464"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/categories?post=464"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.vsdia.com\/index.php\/wp-json\/wp\/v2\/tags?post=464"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}