Markel Insurance Company (Markel), a subsidiary of Markel Corporation, announced today that it is acquiring certain rights to the Hiscox Insurance Company Inc. (Hiscox) animal mortality business which provides both equine and livestock coverage. The business, which operates under the American Live Stock name, will be transitioned to Markel subject to receipt of required regulatory approvals and compliance with regulatory requirements. Hiscox will continue to operate as an admitted insurer within the Hiscox Group.
Terms of the transaction are not disclosed, but it is due to be completed October 1, 2010, subject to customary closing conditions. In connection with the acquisition, Markel will also obtain rights to the American Live Stock and Harding & Harding names. Markel will also assist Hiscox with their run-off. Several key members of the Hiscox team are expected to join Markel as part of their Equine & Livestock Division. The Markel Livestock team will be based in Geneva, Illinois. The equine business acquired from Hiscox will be handled by Markel’s existing teams based in Richmond, Virginia and Lexington, Kentucky.
The acquisition of the Hiscox animal mortality business including several key members of its staff, combines with the breadth and depth of Markel’s equine and livestock team, building on both companies’ strong relationships in the industry and Markel’s objective to build its brand and maintain leadership in the equine and livestock insurance market.
“It is exciting for us to acquire such a well established name in the business,” said Julian Bowen-Rees, Markel’s Managing Director for Equine & Livestock. “I am confident that with our commitment to animal mortality insurance we can help the clients of American Live Stock to grow their businesses going forward.”
Richard Watson, CEO of Hiscox USA, commented, “I am pleased that this equine and livestock business could be transitioned to a long standing and respected insurer with a focus in the area of animal mortality. Both companies are committed to working closely together to ensure a smooth transition for agents and insureds.”
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About Markel Insurance Company
A subsidiary of Markel Corporation, Markel Insurance Company underwrites commercial lines coverage for a variety of niche markets including horse and farm programs; a wide range of non-profit social service agencies; camps; child care centers; youth recreation centers; private schools, museums and historic homes; and dance, gymnastics, and martial arts schools. The company also underwrites special risk accident and health insurance. Markel has maintained a commitment to a complete spectrum of coverage for horses and horse-related risks. In 2009 Markel’s expanded its position in this product area, with the recruitment of several key individuals from XL Capital in the United Kingdom and United States. In the same year the company also purchased the well established equine agency, Agri Risk Services Inc, based in Kansas. In 2010, Markel International (a subsidiary of Markel Corporation) acquired Le Centaure, the market leader in equine insurance in France.