2021 Preliminary Results

Hiscox Ltd full year results

For the year ended 31 December 2021

"Profitable growth despite elevated natural catastrophe losses"


  2021 2020 
Gross premiums written $4,269.2m $4,033.1m
Net premiums earned $2,919.9m $2,752.2m
Profit/(loss) before tax $190.8m $(268.5)m
Earnings/(loss) per share 55.3¢ (91.6)¢
Total ordinary dividend per share for the year 34.5¢ -
Net asset value per share 739.8¢ 689.0¢
Group combined ratio 93.2% 114.5%
Return on equity 8.1% (11.8)%
Investment return 0.7% 2.8%
Positive prior year development $148.9m $32.0m



  • Gross premiums written increased by 5.9% to $4,269.2 million (2020: $4,033.1 million), driven by continued positive rate momentum in all three divisions and strong customer growth in Retail.
  • Net premiums written increased by 17.0% in big-ticket businesses as more risk was retained in improving conditions. 
  • Underwriting profit of $215.6 million (2020: loss of $370.6 million) is the strongest in five years.
  • Hiscox London Market gross premiums written up 5.6% and delivered profit before tax of $104.8 million (2020: $155.2 million). Net premiums written increased by 9.5% as more business is retained.
  • Combined ratio of 89.1% reflects the benefits of multi-year underwriting actions undertaken to reduce volatility of returns.
  • Digital innovation with HiscoxPlus suite reaching over $100 million gross premiums written.
  • Hiscox Re & ILS gross premiums written up 8.7% and net premiums written up 42.3%; profit of $98.5 million (2020: loss of $35.1 million).
  • Prior year reserve releases together with a material improvement in current year non-catastrophe experience help deliver an excellent combined ratio of 68.0% despite significant natural catastrophe losses.
  • ILS proposition attracts new inflows, $190 million in 2021 and a further $217 million in January 2022. Assets Under Management (AUM) stands at $1.6 billion at 1 January 2022 ($1.4 billion at 31 December 2021), supporting GWP growth into 2022. 
  • Hiscox Retail gross premiums written grew 5.0% to $2.3 billion (2020: $2.2 billion); Retail underlying business1 up 6.8% in constant currency. 
  • Group digital partnerships and direct (DPD) business grew gross premiums written by 18.2% and now serves over 910,000 customers.
  • US DPD grew by 25.5% to $424 million gross premiums written and now serves circa 520,000 customers.
  • Hiscox Retail adjusted combined ratio2 of 97.3%; on track to meet the target of 90-95% in 2023.
  • Favourable current year non-natural catastrophe loss performance and positive prior year reserve releases across the Group off-set above mean natural catastrophe losses, demonstrating the advantage of our balanced strategy and the resilience of our business.
  • 15% of 2019 and prior years gross reserves reinsured from up to a 1-in-200 downside risk through two loss portfolio transfer (LPT) transactions.
  • Reserves strength at upper range of expectations, with an 11.7% margin above actuarial estimate (2020: 9.8%).
  • Investment return of $51.2 million (2020: $197.5 million) impacted by unrealised losses in our bond portfolio in light of rising interest rate expectations.
  • 200% Bermuda solvency capital ratio (BSCR), as proactive capital management and strong organic capital generation fully off-set the effect of the final stage of BSCR strengthening implemented by the Bermuda Monetary Authority (BMA).
  • Final dividend of 23.0¢ per share.

1 Adjusted for the reduction in gross premiums written in the US broker channel business over the course of 2021 to strategically reshape the portfolio towards smaller business customers with revenues below $100 million.   
2 2021 underlying Retail combined ratio excludes loss portfolio transfer costs and Covid-19 net loss impact. 2020 London Market and Retail numbers have been re-presented to reflect reclassification of the Special Risks division.


Aki Hussain, Chief Executive Officer, Hiscox Ltd, commented:

"I am pleased with the strong results the Group has delivered despite elevated natural catastrophe losses,  reflecting successful execution of our strategy, and the management actions we have undertaken to improve the performance and quality of our portfolios. Hiscox has a significant technical underwriting capability, which combined with investment in digital, positions us well to capitalise on the many opportunities ahead as we continue to serve our customers and build a sustainable insurance business."

View the full announcement



A conference call for investors and analysts will be held at 10:30 GMT on Wednesday, 2 March 2022.

Participant dial-in numbers:

United Kingdom (Local):  020 3936 2999
All other locations: +44 20 3936 2999
Participant Access Code: 080097

Inside information

This announcement contains inside information.

The person responsible for arranging and authorising the release of this announcement on behalf of the Company is Marc Wetherhill, Group Company Secretary and General Counsel.

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


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

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