Presentation to analysts and investors

June 2007

Welcome

14.30 - 15.15 Introduction Robert Hiscox

Hiscox Global Markets Richard Watson

Hiscox Bermuda Rob Childs

Questions

15.15 - 15.45 Coffee

15.45 - 17.00 Hiscox USA Ed Donnelly

Hiscox Europe Marc van der Veer

Hiscox UK Steve Langan

Conclusion Bronek Masojada

Questions

17.00 Drinks and canapés

Hiscox 2002

Hiscox plc

Hiscox Global Markets

One location Reinsurance Property Marine and

Energy Specialty Space Technology

and Media PI

Hiscox Guernsey

One location Art and

Private Client Kidnap and

Ransom

Hiscox International

Hiscox

UK

Hiscox

Europe

Four locations Art and

Private Client PI and

Specialty Commercial

Technology and Media PI

Direct

Hiscox UK and Hiscox Europe

2002 gross written premium £677 million

Three locations Art and Private

Client PI and

Specialty Commercial

Hiscox 2007

Hiscox Ltd

Hiscox Global Markets

Hiscox Bermuda

Hiscox Guernsey

Hiscox USA

One location Reinsurance Group

Capital Support

One location Art and

Private Client Kidnap and

Ransom

Three locations Art and

Private Client PI and

Specialty Commercial

Regional Media and Technology

Hiscox International

Hiscox

UK

Hiscox

Europe

Ten locations Art and

Private Client PI and

Specialty Commercial

Regional Media and Technology

Nine locations Art and

Private Client PI and

Specialty Commercial

Regional Media and Technology

Direct

Hiscox UK and Hiscox Europe

Four locations Reinsurance Property Marine and

Energy Specialty Space Technology

and Media PI

2006 gross written premium £1,126 million

Business growth

Global Markets 335 352 5

UK 87 92 5

Europe 30 36 20

Bermuda (external reinsurance) 41 82 100

Guernsey 21 20 (1)

USA 1 8 800

GWP total 515 590 15

Panther Re - 27 -

GWP total (excluding Panther Re) 515 563 9

IFRS Hiscox Group share

2006 £m 2007 £m %

Gross written premium for the five months to May

Hiscox Global MarketsRichard Watson

What do we do?

Characteristics of what we do

• Larger individual risks

• Bundles of small risks

• Catastrophe exposed risks

• Specialist lines

Characteristics of what we do not do

• Process orientated

• High volume, small margin

• Direct to consumer

Offices in London, Paris and New York

An experienced underwriting team

Division DirectorYears'

experienceYears at Hiscox

Active Underwriter

Richard Watson 26 21

Reinsurance Russell Merrett 17 10

Property Paul Lawrence 21 15

Marine and Energy

Simon Williams 22 12

Specialty David Bruce 35 35

Space Bruno Ritchie 13 9

Technology and Media PI

Neil Bolton 16 13

Rates

Hiscox Global Markets - divisional 12 month rolling rate since 1998M

ay-9

8 to

Ap

r-99

Sep

-98

to A

ug

-99

Jan

-99

to D

ec-9

9

May

-99

to A

pr-

00

Sep

-99

to A

ug

-00

Jan

-00

to D

ec-0

0

May

-00

to A

pr-

01

Sep

-00

to A

ug

-01

Jan

-01

to D

ec-0

1

May

-01

to A

pr-

02

Sep

-01

to A

ug

-02

Jan

-02

to D

ec-0

2

May

-02

to A

pr-

03

Sep

-02

to A

ug

-03

Jan

-03

to D

ec-0

3

May

-03

to A

pr-

04

Sep

-03

to A

ug

-04

Jan

-04

to D

ec-0

4

May

-04

to A

pr-

05

Sep

-04

to A

ug

-05

Jan

-05

to D

ec-0

5

May

-05

to A

pr-

06

Sep

-05

to A

ug

-06

Jan

-06

to D

ec-0

6

May

-06

to A

pr-

07

Jan

-88

to D

ec-9

8

900%

800%

700%

600%

500%

400%

300%

200%

100%

0%

Ro

llin

g 1

2 m

on

th i

nd

ex

of

rate

s

Marine and Energy Professional Indemnity Property Reinsurance Specialty and other

Reinsurance - Panther Re

Panther Re created with W L Ross & Company

• Special purpose reinsurer, capitalised at $360m, $144m of equity and two debt tranches totalling $216m, rated BBB+ and BB+ by Standard and Poor's

• Underwrites a 40% pro-rata quota share of property catastrophe account

• Hiscox Syndicate 33 receives an over-rider and profit commission

• Arrangements cover 2007 and 2008, but with appropriate mid-term protections

Good opportunities at January renewals

• May 07 GWP £224m

• May 06 GWP £168m

• June renewals went well

Market share for reinsurance business in Lloyd's increased from 6.0% to 10.9%

Good prices and volume in Florida

Looking ahead

• Across the board reductions

• Reduction of Syndicate capacity for 2008

First cut business plan for Lloyd's sets capacity for 2008 at £700 million (2007: £875 million)

Trimming of exposure of less profitable classes

Maintain exposure in well rated catastrophe business

• Continue to develop hub offices in Paris and New York

Hiscox BermudaRob Childs

Established team

Rob ChildsChief Executive Officer, Hiscox Bermuda; Chairman, Hiscox USA; Chief Underwriting Officer, Hiscox

• 21 years at Hiscox, active underwriter of Syndicate 33 from 1993 to 2005

Chris SharpeSenior Vice President

• Ten years at Hiscox as a treaty reinsurance underwriter, writing catastrophe and risk excess of loss and pro rata reinsurance worldwide

Robin MehtaChief Financial Officer and Chief Operating Officer; Company Secretary, Hiscox Ltd

• Joined Hiscox in 2006, 17 years with the Munich Re group of companies

Krystalle TobinFinancial Controller and Treasurer

• Joined Hiscox in 2006 with nine years experience in the reinsurance industry, previously worked with the Munich Re group of companies

Hiscox Bermuda written premium 2006

Gross written premium 2006 - $310 million

$173 million $137 million

56%

23%

9%

8%

4%

Reinsurance

Kidnap and RansomHiscox Insurance Company (Guernsey) Limited

UK errors and omissionsHiscox Insurance Company Limited

Share of Hiscox Syndicate 33Hiscox Dedicated Corporate Member

Fine ArtHiscox Insurance Company (Guernsey) Limited

External business Internal Group business

2000 - 2006

Syndicate 33 rating catastrophe exposed index

350%

300%

250%

200%

150%

100%

50%

0%

Ap

r 2

00

1

No

v 2

00

1

Ma

y 2

00

2

De

c 2

00

2

Ju

n 2

00

3

Ja

n 2

00

4

Au

g 2

00

4

Fe

b 2

00

5

Se

p 2

00

5

Ma

r 2

00

6

Oc

t 2

00

6

Ap

r 2

00

7

No

v 2

00

7

Hiscox Bermuda written premium 2007 YTD

External reinsurance

Total $239 million

Catastrophe excess of loss

60%

17%

Proportional treaties

Risk excess of loss

18%

Industry loss warranty 2%Aggregate excess of loss 1%

Stop loss 1%

Where we get our business from

Gross written premium by broker 2007 YTD

Aon

29%

Guy Carpenter

25%

Benfield

20%Other

13%

Willis

13%

Looking ahead

• Future prospects

• Maintain underwriting discipline

• Internal quota shares depends on my colleagues!

• External: catastrophe market firm in 2007, will it continue in 2008?

• Bermuda under no pressure to follow market down

Questions

Coffee

Hiscox USAEd Donnelly

The intellectual capital

Edward DonnellyPresident

• Over 24 years insurance experience• Formally with AIG• Started and grew professional lines with Houston Casualty Company• Underwrote on behalf of Lloyd's for 17 years as a PI coverholder

Gavin WatsonCFO

• Joined Hiscox in 1998, FD of Hiscox Insurance Company for four years

Eric PrussCOO

• Ten years in the insurance industry, five years of management consulting, most recently with Chubb

Admitted vs. surplus lines

• $470 billion market

• Intense regulation of rates and wordings, less flexibility

• State guarantee funds available

• No individual risk filings

• More direct client and broker relationships

• More cost-efficient at the right scale

• $33 billion market

• Less regulation of rates and wordings

• No guarantee funds

• Heavy administration/ documentation on heavy risks

• Must deal through surplus brokers

• Less cost-efficient

Admitted Surplus lines

Phased approach to growth

Scale through reputation of staff

Small wholesale surplus lines business

Phase 3Phase 1 Phase 2

More surplus lines business

Entry to the admitted market

Build reputation of Hiscox

Rollout products into the admitted market

Core Hiscox products

• Non-profit Directors and Officers' Liability

• Public Officials' Liability

• Terrorism

• Professional Indemnity (E&O) Allied Healthcare

Architect and Engineers

Miscellaneous

• Media and Broadcasters' Liability

• Technology and Privacy Liability

American Live Stock Insurance Company

Acquired, subject to regulatory consents (closing expected in July)

• Purchase price of $55m: net tangible assets of $45m

• 2006: GWP of $16.9m, combined ratio of 80.9%

Admitted in all 50 states

• Licences for all livestock products

• Application process for Hiscox products will begin immediately

Presence in the important mid-west market

• Located just outside Chicago, a key insurance hub

Strong brand and complimentary business

• Recognised as a leading livestock insurer in the USA

• Hiscox active in bloodstock insurance for 15 years

Looking ahead

• Roll out admitted PI products across the whole of US

• Kidnap and Ransom product coming

• Hiscox Global Markets integration

• Extend geographic spread

New office in Chicago

Hiscox EuropeMarc van der Veer

European management team

Marc van der VeerManaging Director

• 13 years' insurance experience, previously with XL Capital

Marianda QuadakkersEuropean Operations Manager

• Previously with Deutsche Asset Management managing the start up of new operations in Europe and the UK

Heino HovinghHead of Sales and Marketing

• Previously with Axa and Coca-Cola

Paul CooperFinance Director

• Previously with Ernst and Young

Changing business mix

Business split 2000 Business split 2007

27%

73%97%

3%

Art and private client

Professions and specialty commercial

Growing distribution

• Focus within core countries

• Regional offices to get closer to local brokers and leverage scale

• Distribution partnerships with other insurers and private banks

• 20% YTD growth

Quote volume

Quote volume YTD

1000 2000 3000 4000 5000 6000

France

Germany

Belgium

Netherlands

Europe5012

5966

2504

2876

1633

2088

520

605

355

3972006

2007

Improving the expense ratio

France Germany Belgium Netherlands Europe total

10%

0%

Difference in growth between GWP and expenses YTD 2007

11.4%

12.7% 12.6%

7.5%

11.1%

Pricing environment

180%

160%

140%

120%

100%

80%

Europe rate index for Europe

Mar

-01

to F

eb-0

2

No

v-01

to

Oct

-02

Jul-

02 t

o J

un

-03

Mar

-03

to F

eb-0

4

No

v-03

to

Oct

-04

Jul-

04 t

o J

un

-05

Mar

-05

to F

eb-0

6

No

v-05

to

Oct

-06

Mo

y-06

to

Ap

r-07

Jul-

00 t

o J

un

-01

Europe property

Europe PI

Ro

llin

g 1

2 m

on

th i

nd

ex

of

rate

s

GWP and combined ratio

120

60

Gross written premium: million Combined ratio: %

20

29

41

64

81

80 8

5 11

1.1

11

9.4

11

1.3

10

7.4

10

3.2

99

.7

98

.7

20

00

20

01

20

02

20

03

20

04

20

05

20

06

20

00

20

01

20

02

20

03

20

04

20

05

20

06

0

Hiscox UKSteve Langan

Hiscox Insurance Company

Gross written premium: £million Combined ratio: %

250

100

120

60

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

74

.7 90

.0

97

.8 12

7.3 1

63

.9

17

6.4

21

8.7

23

1.3

23

2.8

24

2.4

11

8.0

10

7.9

10

2.6

97

.7

97

.8

97

.9

93

.6

92

.6

88

.5

87

.2

Core

Non-core

Brand and underwriting experience

Steve LanganManaging Director and Group Marketing Director

• Ten years with Diageo and Coca-Cola

Gary HeadUK Underwriting Manager

• Ten years broking, 11 years at Hiscox

Austyn TuslerHead of Art and Private Client

• 17 years in the insurance industry, three years with AIG

Glenn CatonCommercial Director

• Ten years with Proctor and Gamble

Alan MillardChief Operating Officer

• Ten years with GSK, previously with JP Morgan

Paul CooperFinance Director

• 12 years at PWC and Ernst and Young

Retail distribution model complete

• Market leading products

• Focus on: emerging wealth and

high net worth individuals

Professions/Specialty Commercial SMEs

• 250 employees in nine locations

• Nine underwriting offices plus Colchester (underwriting and claims processing)

Market opportunities - personal lines

1,000,000 • 2.8m M/HNW households in UK: c17% of total

• 39% of all household sums insured

• Only 25% of these households have a specialist policy

• Hiscox = market leaders

UK contents > £75k The facts

750,000

500,000

250,000

0

£75k £1m +Contents sum insured

Po

lic

y v

olu

me

Source: Hiscox, Datamonitor, ABI

Market opportunities - commercial lines

• 95%+ UK companies employ <250 people

• Explosive growth in insurance opportunity

• Cost effective service is key

SMEs in the UK (2005) The facts

No

. o

f b

us

ine

ss

es

Source: DTI SME stats 2005

3,500,000

3,000,000

2,500,000

2,000,000

1,500,000

1,000,000

500,000

Self employed Micro

1-9 employees

Small

10-49employees

Medium

50-249 employees

Large

250+employees

Rates

Retail rates

180%

160%

140%

120%

100%

80%

60%

Jul-

00 t

o J

un

-01

Oct

-00

to S

ep-0

1

Jan

-01

to D

ec-0

1

Ap

r-01

to

Mar

-02

Jul-

01 t

o J

un

-02

Oct

-01

to S

ep-0

2

Jan

-02

to D

ec-0

2

Ap

r-02

to

Mar

-03

Jul-

02 t

o J

un

-03

Oct

-02

to S

ep-0

3

Jan

-03

to D

ec-0

3

Ap

r-03

to

Mar

-04

Jul-

03 t

o J

un

-04

Oct

-03

to S

ep-0

4

Jan

-04

to D

ec-0

4

Ap

r-04

to

Mar

-05

Jul-

04 t

o J

un

-05

Oct

-04

to S

ep-0

5

Jan

-05

to D

ec-0

5

Ap

r-05

to

Mar

-06

Jul-

05 t

o J

un

-06

Oct

-05

to S

ep-0

6

Jan

-06

to D

ec-0

6

Ap

r-06

to

May

-07

Ro

llin

g 1

2 m

on

th i

nd

ex

of

rate

s

UK PI

UK Personal Lines (inc. DPD)

Building the brand

DirectDirect marketing cost per sale total brand awareness growth and policy count (Jan-06 to May-07)

Brand awareness index

Commercial Direct policy count

Home Direct policy count

300%

250%

200%

150%

100%

50%

0%

50,000

45,000

40,000

35,000

30,000

25,000

20,000

15,000

10,000

5,000

0

Jan

-06

Feb

-06

Mar

-06

Ap

r-06

May

-06

Jun

-06

Jul-

06

Au

g-0

6

Sep

-06

Oct

-06

No

v-06

Dec

-06

Jan

-07

Feb

-07

Mar

-07

Ap

r-07

May

-07

350%

55,000

Cost per sale index

Ind

ex

Po

lic

y c

ou

nt

Outlook: choppy!

• New marketing campaign

• Steady growth of regions

• Grow commercial lines

• Walk away from unprofitable business

• Ongoing management of costs

ConclusionBronek Masojada

Hiscox 2007

Hiscox Ltd

Hiscox Global Markets

Hiscox Bermuda

Hiscox Guernsey

Hiscox USA

One location Reinsurance Group

Capital Support

One location Art and

Private Client Kidnap and

Ransom

Three locations Art and

Private Client PI and

Specialty Commercial

Regional Media and Technology

Hiscox International

Hiscox

UK

Hiscox

Europe

Ten locations Art and

Private Client PI and

Specialty Commercial

Regional Media and Technology

Nine locations Art and

Private Client PI and

Specialty Commercial

Regional Media and Technology

Direct

Hiscox UK and Hiscox Europe

Four locations Reinsurance Property Marine and

Energy Specialty Space Technology

and Media PI

2006 gross written premium £1,126 million

Business growth

Global Markets 335 352 5

UK 87 92 5

Europe 30 36 20

Bermuda (external reinsurance) 41 82 100

Guernsey 21 20 (1)

USA 1 8 800

GWP total 515 590 15

Panther Re - 27 -

GWP total (excluding Panther Re) 515 563 9

IFRS Hiscox Group share

2006 £m 2007 £m %

Gross written premium for the five months to May

Balance sheet

• Current debt facilities:

Syndicated Letter of Credit (LoC) Facility - £137.5 million

Revolving Credit Facility - $91 million

Term Loan - $91 million

• Gearing at 31/12/06 (including LoC) - 25%

• Looking to extend Facility duration

• Announced 2007 target dividend of 12p (2006:10p)

• Gained shareholder approval to buy back up to 10% of shares into treasury

• Capital management decision dependent on 2007 performance

Current debt arrangements Capital management

Group rating index

Jul-

99 t

o J

un

-00

Jan

-00

to D

ec-0

0

Jul-

00 t

o J

un

-01

Jan

-01

to D

ec-0

1

Jul-

01 t

o J

un

-02

Jan

-02

to D

ec-0

2

Jul-

02 t

o J

un

-03

Jan

-03

to D

ec-0

3

Jul-

03 t

o J

un

-04

Jan

-04

to D

ec-0

4

Jul-

04 t

o J

un

-05

Jan

-05

to D

ec-0

5

Jul-

05 t

o J

un

-06

Jan

-06

to D

ec-0

6

Jul-

06 t

o J

un

-07

Jan

-07

to D

ec-0

7

Jan

-99

to D

ec-9

9

50%

100%

150%

200%

250%

300%

0%

Catastrophe exposed index

Group composite index

Non cat exposed index

Ro

llin

g 1

2 m

on

th i

nd

ex

of

rate

s

Clear strategic focus

100% = £1,407m

Total group controlled income for 2006

London Market

Syndicate 33 and Hiscox Bermuda

Regional

Syndicate 33, Hiscox Insurance Company, Hiscox Guernsey and Hiscox USA

London Market

Reinsurance and Major Property

27%

30%

TMT

Art and Private Client

Specialty

Professions and Specialty Commercial

14%

6%

17%

6%

Questions