HSX: Highlights from UK Retail CEO investor meeting

Research evidence excerpt

HSX: Highlights from UK Retail CEO investor meeting

and providing a DPS 0.50 0.54 0.57 0.60 balance against the softening in the big ticket businesses. Div Yield 2.1% 2.3% 2.4% 2.5%

ROTE, Adj 20.9% 21.2% 25.5% 25.6% Doing more with the same; AI driving efficiency gains

The $200m change programme target by 2028 is moving at pace, with Retail All market data in GBp; all financial data in USD.

the primary contributor as guided. Within UK Retail, the clearest example Priced as of prior trading day's market close, EST (unless otherwise noted).

is in HNW (high net worth) business, where a new AI-driven triage tool

which automatically declines out of appetite risks at submission has already

delivered a 40% productivity uplift without adding headcount. Hiscox also

performs strongly on search and review platforms, underpinned by an

NPS score of +83 for claims services in the UK (in the +80s across overall

Retail) against a market average of +1, and this reputation is increasingly

translating into premiums, with 1% of business now sourced through LLMs,

up from virtually nothing 12 months ago.

Broker relationships, technology and claims

Much of the discussion centred on HNW, where Hiscox holds c.15%

market share and has delivered seven consecutive quarters of double-digit

customer growth, helped by a structural tailwind from generalist market

exits. SME differentiates by a focus on industry sub-segments, technology-

enabled underwriting and strong claims service. Hiscox also leverages the

breadth of its entire business, with three quarters of its 300 retail brokers

also trading with the big ticket businesses.

Multiple steps down as profits step up

Performance has been strong YTD, with continued M&A interest in the

sector providing additional support.