Hiscox unveils plans for EU subsidiary in response to Brexit

Specialist insurer Hiscox plans to establish a European subsidiary in Luxembourg in response to the UK's exit from the European Union.

As laid out in the group's interim management statement, Hiscox plans to begin the process of establishment immediately, and expects to complete the restructuring before March 2019.

Hiscox said that it had selected Luxembourg as its post-Brexit hub for its "pro-business position" and "strong financial services experience". Hiscox suggested it is a well-respected regulator, and is close to many of the major markets.

The group's existing European business, which consists of 350 people across seven EU countries, will continue to operate without interruption.
A Luxembourg team will be recruited to cover core functions such as compliance, risk and internal audit.

American International Group (AIG) had also previously announced plans to locate an insurance company in Luxembourg to write business across the European Economic Area and Switzerland once the UK leaves the EU.

The London-centred specialist re/insurance market Lloyd’s said that it would be setting up a new European insurance company in Brussels to secure access to the EU market after Brexit.

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