Formerly | HCC Insurance Holdings |
---|---|
Company type | Private |
Industry | Insurance |
Founder | Stephen L. Way |
Fate | Acquired by Tokio Marine |
Headquarters | Houston, Texas, United States |
Area served | Global |
Key people | Susan Rivera (Chief Executive Officer) Michael Schell (President) Tom Weist (Chief Financial Officer) |
Revenue | $2.3 billion |
Net income | $345 million |
Number of employees | 3,000 |
Divisions | Accident & Health, Surety & Credit, Directors & Officers and Professional Liability, U.S. Property & Casualty, International Property & Casualty |
Website | www |
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Tokio Marine HCC is an international insurance group with offices across the United States, the United Kingdom, Spain, and Ireland. The company is based in Houston, Texas, U.S.
History
The company (formerly HCC Insurance Holdings, Inc.) was formed as Houston Casualty Company in 1974 by Stephen L. Way. The company reports to have paid shareholder dividends for 67 consecutive quarters. In 2010, it posted $2.6 billion in gross premiums, $2.3 billion in total revenue, earnings of $345 million, and a combined ratio of less than 85%.
On June 10, 2015, the company announced it was being acquired by Japan's Tokio Marine for a fee of $7.5 billion. On October 27, 2015, the company announced the closing of the acquisition by Tokio Marine. The aggregate consideration paid in connection with the merger was approximately $7.5 billion, and the merger became effective at 4:05 p.m. EDT.
Aviation
Aviation was the first line of insurance provided by Tokio Marine HCC. The company's insurance for aviation includes liability, cargo, and war. HCC Aviation insures approximately 45,000 aircraft in the United States and more than 60 countries worldwide.
Avemco Insurance Company was a stand-alone NYSE company acquired by Tokio Marine HCC in 1997. Avemco provides traditional coverage on its standard policy and protects renters and borrowers of general aviation aircraft for non-owned aircraft policy.
Houston Casualty Company Aviation (HC Aviation) writes a combination of international and U.S. commercial aviation insurance. USSIC Aviation writes General Aviation and special risk insurance. General Aviation insurance provides insurance through brokers and agents. USSIC Aviation is the largest insurer of warbirds (that is, propeller- and jet-driven military surplus aircraft owned individually or held by aircraft museums).
Liability
The company underwrites Directors and officers liability insurance through its HCC Global subsidiary. The company offers both domestic U.S. and international coverage. The company reports to have relationships with approximately 550 brokers in more than 50 countries.
Accident and health
Tokio Marine HCC offers sports disability insurance to protect against the future loss of earnings of athletes who may become temporarily or permanently disabled and can no longer continue their professional sports career. Coverage is available for the team or individual players.
International operations
Houston Casualty Company was authorized by Her Majesty's Treasury in 1998 to operate a full branch office in the United Kingdom. HCC has offices in the United Kingdom, Ireland, and Spain. Tokio Marine HCC is an owner of a Lloyd's managing agency and 100% capital provider of a Lloyd's syndicate.
In anticipation of Brexit, a new insurance company, Tokio Marine Europe S.A. (TME), was set up in Luxembourg, following regulatory approval from the Commissariat aux Assurances (CAA) and the Japanese Financial Services Authority (JFSA). TME operates as a subsidiary of HCC International Insurance Company plc. in partnership with Tokio Marine Kiln. With approval from the High Court of England and Wales, the Part VII process of transferring the existing portfolio of policies written out of Continental European operations to Tokio Marine Europe S.A. was executed.
On May 7, 2018, S&P Global Ratings assigned Tokio Marine Europe S.A. a "AA- (Very Strong)" financial strength rating. The company is based in Houston, Texas, but it also has offices in Connecticut, Frederick (Maryland), Ireland, the United Kingdom, and New York.
Acquisitions
- In 1996, the company acquired LDG Management Company.
- In 1997, the company acquired Managed Group Underwriting.
- In 1998, the company acquired Guarantee Insurance Resources.
- In 1999, the company acquired Centris Group Inc. (insurance company). The same year, the company also acquired Midwest Stop Loss Underwriters.
- In 2002, the company acquired Dickson Manchester Ltd. and MAG Global Financial Products.
- In 2004, the company acquired American Contractors Indemnity Company and RA&MCO Insurance companies.
- In 2005, the company acquired US Surety company, DeMontfort Group, Ltd., Perico Ltd., MIC Life Insurance, and the Ilium Insurance Group.
- In 2006, the company acquired Novia Underwriters, Inc., G.B. Kenrick & Associates, and the Health Products Division of Allianz Life Insurance.
- In 2008, the company acquired Cox Insurance Group, Arrowhead Public Risk, VMGU Insurance Agency, the Surety Company of the Pacific, and MultiNational Underwriters.
- In 2009, the company sold its reinsurance brokerage business Rattner MacKenzie Limited and transferred rights relating to brown water marine to its original owner. The company also combined two Lloyd's syndicates to try to achieve more operational efficiency. The company formed a Property Treaty underwriting team.
- In 2010, the company started a Technical Property division.
- In 2011, the company opened Primary Casualty and Excess Casualty divisions.
- In 2013, the company enters the North American construction property risks markets, and begins to offer builders risk treaty reinsurance out of London office.
- In 2015, the company acquired Producers Ag Insurance Group (ProAg), a writer of crop insurance.
- In 2016, the company acquired Bail USA, Inc., a wholesale bail agency and On Call International.
- In 2017, the company acquired AIG's Medical Stop-Loss and Organ Transplant operations.
- In 2018, the company acquired Qdos Contractor, a provider of insurance products and services to the UK.
- In 2019, the company acquired NAS Insurance Services, LLC.
- In 2020, the company acquired GCube.
References
- "Company Website". Retrieved February 18, 2013.
- Stephen L. Way.
- Globe Newswire - HCC Press Release from November 26, 2012
- Taiga Uranaka (10 June 2015). "Tokio Marine to buy HCC Insurance for $7.5 billion". Reuters. Retrieved 10 June 2015.
- "Tokio Marine of Japan Agrees to Acquire HCC Insurance for $7.5 Billion". The New York Times, June 10, 2015.
- "With HCC Holdings Buy, Tokio Marine Enhances Already Top Commercial Lines Performance". Insurance Journal, June 17, 2015.
- "Acquisition of HCC Insurance Holdings, Inc. Closes" (Press release). Nasdaq. 27 October 2015. Retrieved 27 October 2015.
- Tokio Marine HCC, Inc 2007 Annual Report page 6
- Tokio Marine HCC, Inc 2007 Annual Report page 7
- Tokio Marine HCC 2007 Annual Report page 8
- HCC Insurance Holdings, Inc 2007 Annual Report page 10
- HCC Insurance Holdings, Inc 2010 Annual Report pages 11 - 14
- Tokio Marine HCC 2008 Annual Report pages 7 - 10
- HCC Insurance Holdings, Inc 2009 Annual Report pages 6 - 12
- "Part VII transfer documents - Tokiomarine Kiln". www.tokiomarinekiln.com. Archived from the original on 2019-01-20.
- "Tokio Marine Group receives regulatory approval for Tokio Marine Europe S.A. in Luxembourg - Tokiomarine Kiln". www.tokiomarinekiln.com. Archived from the original on 2019-01-12.
- The New York Times - "Company News: Shares of HCC Insurance up 14% After Acquisition Deal" - January 10, 1996
- The Free Library. 1997 PR Newswire Association LLC - "HCC Insurance Holdings, Inc. Announces the Acquisition of Managed Group Underwriting, Inc." - June 20, 1997
- Houston Business Journal - "HCC acquires Georgia firm" - January 15, 1998
- New York Times - "Company News: HCC Insurance holdings to Acquire Centris Group" - October 13, 1999
- Insurance Journal - "HCC to Acquire Dickson Manchester Ltd." - December 18, 2002
- Insurance Journal - "HCC Acquires MAG Global" - October 3, 2002
- Insurance Journal - "HCC Closes Its Acquisition of American Contractors Indemnity Company" - February 16, 2004
- Insurance Journal - "HCC Acquires RA&MCO Insurance" - September 30, 2004
- Insurance Journal - "HCC to Acquire United States Surety" - November 16, 2004
- HCC Insurance Holdings, Inc 2005 Annual Report page 8
- Insurance Journal - "HCC Holdings Buys Lloyd’s Syndicate Manager Illium" - October 24, 2005
- Insurance Journal - "HCC Insurance Acquires Ind.-based Novia Underwriters" - June 30, 2006
- Globe Newswire - "HCC to Expand Its Underwriting Agency Operations With the Acquisition of Kenrick" - July 13, 2006
- Insurance Journal - "HCC Insurance Holdings Acquires Minn. Allianz Life Insurance" - Aug. 4, 2006
- Globe Newswire - "HCC Acquires Cox Insurance Group, a Midwestern Medical Stop-Loss Underwriter" - November 3, 2008
- Insurance Journal - "HCC Insurance Holdings Acquires Arrowhead Public Risk, U.S. Risk Insurance Brokers’ Criminal Justice Division" - December 12, 2008
- Globe Newswire - "HCC to Acquire Surety Company of the Pacific" - December 3, 2008
- Insurance Journal - "HCC Acquires MultiNational Underwriters; Approved for Lloyd’s Syndicate" - January 3, 2008
- Houston Business Journal - "HCC Insurance sells Rattner MacKenzie affiliate" - October 5, 2005
- Insurance Journal - "HCC Insurance Holdings Hires Team for Technical Property Division" - November 19, 2010
- Insurance Journal - "HCC Insurance Opens New Primary and Excess Casualty Divisions" - October 10, 2011
- Insurance Journal - "HCC Insurance Holdings Launches Construction Property Risks Division" - May 31, 2013
- Globe Newswire - "HCC Insurance Holdings Completes Acquisition of Producers Ag Insurance Group" - January 2, 2015
- Tokio Marine HCC Acquires Bail USA - "Tokio Marine HCC Acquires On Call International" - February 4, 2016
- Tokio Marine HCC Acquires On Call International - "Tokio Marine HCC Acquires On Call International" - January 21, 2016
- "Tokio Marine HCC Announces Agreement to Acquire AIG's Medical Stop-Loss Operations". Globe News Wire (Press release). 2 October 2017.
- "Tokio Marine HCC Announces Agreement to Acquire UK Agency from Qdos Holdings". Tokio Marine HCC. 8 June 2018.
- "Tokio Marine HCC Announces Acquisition of U.S. Cyber Specialist NAS Insurance Service". Tokio Marine HCC. 1 April 2019.
- Wallace, Mia. "Tokio Marine HCC reaches acquisition agreement". Insurance Business. Retrieved 2020-03-05.
External links
- Historical business data for HCC Insurance Holidings, Inc.:
- SEC filings