Hiscox declines to comment as takeover talk surfaces

Hiscox has declined to comment after a report suggested it had attracted takeover interest.

According to Insurance Insider, Japan’s Sompo Holdings and European insurer Generali are considering a potential acquisition of the insurer.

Sompo focuses on property and casualty insurance, while Generali is a general insurer.

Following the news of a potential bid on Monday, Hiscox’s share price surged by 14%, with it reaching its highest level since February 2020.

When Insurance Times approached Hiscox about the report, a spokesperson said: “We don’t comment on market speculation.”

Generali also told this publication that it does not comment on market rumours or speculation.

Sompo has also been approached for comment.

Other examples

Hiscox is among insurers to have attracted takeover interest in recent times.

For example, earlier this year, Ageas made two bids for Direct Line Group, with both proposals being rejected.

And back in 2023, there were rumours Aviva could be the subject of a takeover bid.

The Times cited that “chatter surrounding Aviva refused to die down”, claiming that Allianz, Intact Financial Corporation and Scandinavian group Tryg were considering their options.

The news around Hiscox came after the insurer revealed in March 2024 that its UK insurance contract written premium (ICWP) grew by 2.4% year-on-year on a constant currency basis, reaching £630m ($793.8m) for 2023.

Speaking about the results, Hiscox chief executive Aki Hussain said: ”The UK broker commercial business continued to enjoy excellent retention, illustrating the underlying quality of the business and loyalty of our customers.

“However, new business growth was below management expectation, particularly in the fourth quarter – this was primarily due to a delay in the activation of several broker distribution deals signed in the latter part of the year.”