Tokio Marine HCC
| Company type | Subsidiary |
|---|---|
| Industry | Insurance |
| Predecessor | Houston Casualty Company (founded 1974) |
| Founded | 1974 |
| Founder | Stephen L. Way |
| Headquarters | Houston, Texas , United States |
Area served | Worldwide (United States, United Kingdom, Spain, Ireland, and others) |
| Products | Aviation insurance, liability insurance, accident and health insurance, specialty insurance products |
| Owner | Tokio Marine Group |
| Parent | Tokio Marine Group |
Tokio Marine HCC is a global insurance organization with operational offices located throughout the United States, United Kingdom, Spain, and Ireland. The company’s headquarters are situated in Houston, Texas, and it maintains a worldwide presence.
History
Established in 1974 by Stephen L. Way as Houston Casualty Company, the firm—previously known as HCC Insurance Holdings, Inc.—has consistently distributed dividends to shareholders for 67 straight quarters. In 2010, it achieved $2.6 billion in gross premiums, generated $2.3 billion in revenue, recorded $345 million in net income, and maintained a combined ratio under 85%.
On June 10, 2015, Japan-based Tokio Marine announced its intention to acquire the company for $7.5 billion. This transaction was finalized on October 27, 2015, becoming effective at 4:05 p.m. EDT, thereby establishing Tokio Marine HCC as a prominent entity within specialty insurance sectors.
Aviation
The company’s initial insurance specialty was aviation, providing coverage for liability, cargo, and war-related risks. HCC Aviation currently insures approximately 45,000 aircraft throughout the United States and more than 60 other countries.
Avemco Insurance Company, which Tokio Marine HCC acquired in 1997, offers both standard policies and coverage for non-owned aircraft used by general aviation renters and borrowers.
Houston Casualty Company Aviation (HC Aviation) delivers commercial aviation insurance across both U.S. and international markets. USSIC Aviation focuses on General Aviation and specialized risk insurance products distributed via brokers and agents. It holds the distinction of being the largest insurer of warbirds—privately owned or museum-held military surplus aircraft.
Liability
Via its HCC Global division, the company provides Directors and Officers liability insurance with coverage spanning domestic U.S. markets as well as international locations. Its network includes partnerships with around 550 brokers operating in over 50 countries.
Accident and health
Tokio Marine HCC offers sports disability insurance designed to safeguard athletes against income loss due to temporary or permanent disabilities, covering both individual athletes and teams.
International operations
Houston Casualty Company expanded to establish a full branch in the UK in 1998 and now maintains offices in the United Kingdom, Ireland, and Spain. Tokio Marine HCC owns a Lloyd's managing agency and fully capitalizes a Lloyd's syndicate.
In anticipation of Brexit, Tokio Marine Europe S.A. (TME) was created in Luxembourg as a subsidiary of HCC International Insurance Company plc., in collaboration with Tokio Marine Kiln. The company completed a Part VII transfer to relocate its Continental European portfolio to TME.
On May 7, 2018, S&P Global Ratings awarded Tokio Marine Europe S.A. a financial strength rating of "AA- (Very Strong)." While headquartered in Houston, Texas, Tokio Marine HCC also operates offices in Connecticut, Frederick (Maryland), Ireland, the United Kingdom, and New York.
Acquisitions
- In 1996, LDG Management Company was acquired.
- Managed Group Underwriting was added in 1997.
- Guarantee Insurance Resources joined the portfolio in 1998.
- The year 1999 saw acquisitions of Centris Group Inc. and Midwest Stop Loss Underwriters.
- In 2002, Dickson Manchester Ltd. and MAG Global Financial Products were acquired.
- American Contractors Indemnity Company and RA&MCO Insurance companies became part of the company in 2004.
- The acquisitions during 2005 included US Surety company, DeMontfort Group, Ltd., Perico Ltd., MIC Life Insurance, and Ilium Insurance Group.
- Novia Underwriters, Inc., G.B. Kenrick & Associates, and Allianz Life Insurance’s Health Products Division were added in 2006.
- In 2008, Cox Insurance Group, Arrowhead Public Risk, VMGU Insurance Agency, Surety Company of the Pacific, and MultiNational Underwriters were acquired.
- The company divested its reinsurance brokerage Rattner MacKenzie Limited in 2009 while consolidating two Lloyd's syndicates to enhance operational effectiveness; it also established a Property Treaty underwriting team.
- A Technical Property division was launched in 2010.
- Primary Casualty and Excess Casualty divisions were inaugurated in 2011.
- Entry into North American construction property risk markets occurred in 2013 alongside offering builders risk treaty reinsurance from its London office.
- Producers Ag Insurance Group (ProAg), specializing in crop insurance, was acquired in 2015.
- Bail USA, Inc., a wholesale bail agency, and On Call International were added to the portfolio in 2016.
- In 2017, AIG’s Medical Stop-Loss and Organ Transplant operations were acquired.
- Qdos Contractor—a UK-based insurance products provider—was acquired in 2018.
- NAS Insurance Services, LLC—specializing in U.S. cyber insurance—joined the company in 2019.
- GCube was acquired during 2020.
References