HCC Insurance 8-K Results of Operations and Financial Condition

Exhibit 99.1

HCC Insurance Holdings, Inc. and Subsidiaries

Consolidated Statement of Ratios

(Unaudited, in thousands except ratios)

	2014															2013
	First			Second			Third			Fourth						First			Second			Third			Fourth
	Quarter			Quarter			Quarter			Quarter			Full Year			Quarter			Quarter			Quarter			Quarter			Full Year
Loss and loss adjustment expense, net (1)	$	330,746		$	335,897		$	320,758		$	339,434		$	1,326,835		$	341,094		$	347,353		$	328,530		$	305,477		$	1,322,454
Net earned premium	562,612			572,248			586,935			601,832			2,323,627			561,186			561,356			556,668			560,030			2,239,240
Net loss ratio (2)	58.8		%	58.7		%	54.6		%	56.4		%	57.1		%	60.8		%	61.9		%	59.0		%	54.5		%	59.1		%
Segment underwriting expense	$	138,586		$	143,527		$	152,350		$	156,057		$	590,520		$	130,026		$	134,586		$	137,287		$	149,956		$	551,855
Segment net earned premium	562,321			571,919			587,073			601,838			2,323,151			555,754			557,022			555,462			558,071			2,226,309
Expense ratio (3)	24.6		%	25.1		%	26.0		%	25.9		%	25.4		%	23.4		%	24.2		%	24.7		%	26.9		%	24.8		%
Combined ratio (4)	83.4		%	83.8		%	80.6		%	82.3		%	82.5		%	84.2		%	86.1		%	83.7		%	81.4		%	83.9		%

(1)Includes internal claims department costs.

(2)Net loss ratio = net loss and loss adjustment expense divided by net earned premium.

(3)Expense ratio = segment underwriting expense divided by segment net earned premium.

(4)Combined ratio = net loss ratio plus expense ratio.

S-1

HCC Insurance Holdings, Inc. and Subsidiaries

Segment Operations - North America Property & Casualty Segment

(Unaudited, in thousands except ratios)

	2014															2013
	First			Second			Third			Fourth						First			Second			Third			Fourth
	Quarter			Quarter			Quarter			Quarter			Full Year			Quarter			Quarter			Quarter			Quarter			Full Year
Net earned premium	$	201,334		$	196,521		$	195,115		$	203,072		$	796,042		$	205,843		$	205,566		$	204,109		$	201,936		$	817,454
Other revenue	5,431			4,921			6,016			5,504			21,872			4,859			5,376			5,465			6,694			22,394
Segment revenue	206,765			201,442			201,131			208,576			817,914			210,702			210,942			209,574			208,630			839,848
Loss and loss adjustment expense, net (1)	103,553			104,737			69,969			90,370			368,629			113,958			113,593			58,530			98,365			384,446
Other expense	57,538			58,150			56,282			61,605			233,575			57,083			58,149			60,887			64,734			240,853
Segment expense	161,091			162,887			126,251			151,975			602,204			171,041			171,742			119,417			163,099			625,299
Segment pretax earnings	$	45,674		$	38,555		$	74,880		$	56,601		$	215,710		$	39,661		$	39,200		$	90,157		$	45,531		$	214,549
Net loss ratio (2)	51.4		%	53.3		%	35.9		%	44.5		%	46.3		%	55.4		%	55.3		%	28.7		%	48.7		%	47.0		%
Expense ratio (3)	28.6			29.6			28.8			30.3			29.3			27.7			28.3			29.8			32.1			29.5
Combined ratio (4)	80.0		%	82.9		%	64.7		%	74.8		%	75.6		%	83.1		%	83.6		%	58.5		%	80.8		%	76.5		%
Liability	$	96,075		$	98,136		$	100,817		$	103,921		$	398,949		$	100,655		$	101,993		$	101,413		$	100,173		$	404,234
Other Specialty	105,259			98,385			94,298			99,151			397,093			105,188			103,573			102,696			101,763			413,220
Total net earned premium	$	201,334		$	196,521		$	195,115		$	203,072		$	796,042		$	205,843		$	205,566		$	204,109		$	201,936		$	817,454
Liability	63.7		%	63.4		%	43.8		%	62.0		%	58.1		%	64.8		%	64.9		%	39.9		%	64.5		%	58.5		%
Other Specialty	40.2			43.3			27.4			26.2			34.4			46.4			45.8			17.6			33.2			35.8
Total net loss ratio	51.4		%	53.3		%	35.9		%	44.5		%	46.3		%	55.4		%	55.3		%	28.7		%	48.7		%	47.0		%
Liability	$	121,537		$	157,787		$	144,115		$	161,960		$	585,399		$	112,332		$	150,945		$	133,447		$	167,715		$	564,439
Other Specialty	166,737			178,738			162,608			140,802			648,885			175,740			186,543			185,506			134,710			682,499
Total gross written premium	$	288,274		$	336,525		$	306,723		$	302,762		$	1,234,284		$	288,072		$	337,488		$	318,953		$	302,425		$	1,246,938
Liability	$	85,403		$	108,283		$	106,575		$	120,973		$	421,234		$	78,943		$	105,890		$	95,296		$	118,660		$	398,789
Other Specialty	91,729			101,258			103,056			86,069			382,112			110,328			115,432			112,202			83,512			421,474
Total net written premium	$	177,132		$	209,541		$	209,631		$	207,042		$	803,346		$	189,271		$	221,322		$	207,498		$	202,172		$	820,263

(1)Includes internal claims department costs.

(2)Net loss ratio = net loss and loss adjustment expense divided by net earned premium.

(3)Expense ratio = other expense divided by net earned premium.

(4)Combined ratio = net loss ratio plus expense ratio.

S-2

HCC Insurance Holdings, Inc. and Subsidiaries

Segment Operations - Accident & Health Segment

(Unaudited, in thousands except ratios)

	2014															2013
	First			Second			Third			Fourth						First			Second			Third			Fourth
	Quarter			Quarter			Quarter			Quarter			Full Year			Quarter			Quarter			Quarter			Quarter			Full Year
Net earned premium	$	232,143		$	240,338		$	250,570		$	258,168		$	981,219		$	217,125		$	217,822		$	223,048		$	225,520		$	883,515
Other revenue	1,640			3,862			2,363			1,798			9,663			1,190			1,140			1,406			1,196			4,932
Segment revenue	233,783			244,200			252,933			259,966			990,882			218,315			218,962			224,454			226,716			888,447
Loss and loss adjustment expense, net (1)	170,805			174,139			180,620			179,983			705,547			161,897			161,673			164,636			148,069			636,275
Other expense	34,573			36,032			38,183			37,422			146,210			29,656			31,049			32,212			31,832			124,749
Segment expense	205,378			210,171			218,803			217,405			851,757			191,553			192,722			196,848			179,901			761,024
Segment pretax earnings	$	28,405		$	34,029		$	34,130		$	42,561		$	139,125		$	26,762		$	26,240		$	27,606		$	46,815		$	127,423
Net loss ratio (2)	73.6		%	72.5		%	72.1		%	69.7		%	71.9		%	74.6		%	74.2		%	73.8		%	65.7		%	72.0		%
Expense ratio (3)	14.9			15.0			15.2			14.5			14.9			13.7			14.3			14.4			14.1			14.1
Combined ratio (4)	88.5		%	87.5		%	87.3		%	84.2		%	86.8		%	88.3		%	88.5		%	88.2		%	79.8		%	86.1		%
Total gross written premium	$	235,917		$	250,559		$	259,870		$	252,041		$	998,387		$	215,561		$	214,909		$	222,312		$	230,273		$	883,055
Total net written premium	$	234,751		$	249,010		$	257,991		$	250,282		$	992,034		$	215,268		$	214,600		$	221,992		$	229,508		$	881,368

(1)Includes internal claims department costs.

(2)Net loss ratio = net loss and loss adjustment expense divided by net earned premium.

(3)Expense ratio = other expense divided by net earned premium.

(4)Combined ratio = net loss ratio plus expense ratio.

S-3

HCC Insurance Holdings, Inc. and Subsidiaries

Segment Operations - International Segment

(Unaudited, in thousands except ratios)

	2014															2013
	First			Second			Third			Fourth						First			Second			Third			Fourth
	Quarter			Quarter			Quarter			Quarter			Full Year			Quarter			Quarter			Quarter			Quarter			Full Year
Net earned premium	$	128,844		$	135,060		$	141,388		$	140,598		$	545,890		$	132,786		$	133,634		$	128,305		$	130,615		$	525,340
Other revenue	976			855			855			976			3,662			600			1,117			577			985			3,279
Segment revenue	129,820			135,915			142,243			141,574			549,552			133,386			134,751			128,882			131,600			528,619
Loss and loss adjustment expense, net (1)	56,314			56,518			72,369			68,926			254,127			60,269			68,151			103,849			52,110			284,379
Other expense	46,475			49,345			57,885			57,030			210,735			43,287			45,388			44,188			53,390			186,253
Segment expense	102,789			105,863			130,254			125,956			464,862			103,556			113,539			148,037			105,500			470,632
Segment pretax earnings (loss)	$	27,031		$	30,052		$	11,989		$	15,618		$	84,690		$	29,830		$	21,212		$	(19,155	)	$	26,100		$	57,987
Net loss ratio (2)	43.7		%	41.8		%	51.2		%	49.0		%	46.6		%	45.4		%	51.0		%	80.9		%	39.9		%	54.1		%
Expense ratio (3)	36.1			36.5			40.9			40.6			38.6			32.6			34.0			34.4			40.9			35.5
Combined ratio (4)	79.8		%	78.3		%	92.1		%	89.6		%	85.2		%	78.0		%	85.0		%	115.3		%	80.8		%	89.6		%
London Market	$	61,661		$	63,295		$	70,760		$	61,967		$	257,683		$	69,754		$	69,009		$	63,641		$	63,178		$	265,582
Specialty	67,183			71,765			70,628			78,631			288,207			63,032			64,625			64,664			67,437			259,758
Total net earned premium	$	128,844		$	135,060		$	141,388		$	140,598		$	545,890		$	132,786		$	133,634		$	128,305		$	130,615		$	525,340
London Market	36.5		%	35.5		%	14.4		%	53.7		%	34.3		%	37.3		%	56.0		%	32.8		%	36.4		%	40.9		%
Specialty	50.3			47.4			88.0			45.4			57.5			54.3			45.6			128.3			43.2			67.7
Total net loss ratio	43.7		%	41.8		%	51.2		%	49.0		%	46.6		%	45.4		%	51.0		%	80.9		%	39.9		%	54.1		%
London Market	$	131,979		$	139,133		$	69,058		$	33,466		$	373,636		$	128,508		$	158,279		$	54,359		$	34,388		$	375,534
Specialty	90,261			106,183			95,403			103,090			394,937			82,632			94,433			82,098			102,643			361,806
Total gross written premium	$	222,240		$	245,316		$	164,461		$	136,556		$	768,573		$	211,140		$	252,712		$	136,457		$	137,031		$	737,340
London Market	$	107,259		$	102,897		$	46,985		$	11,057		$	268,198		$	106,253		$	113,706		$	28,524		$	13,601		$	262,084
Specialty	70,749			85,237			70,725			82,480			309,191			62,960			75,072			62,514			78,131			278,677
Total net written premium	$	178,008		$	188,134		$	117,710		$	93,537		$	577,389		$	169,213		$	188,778		$	91,038		$	91,732		$	540,761

(1)Includes internal claims department costs.

(2)Net loss ratio = net loss and loss adjustment expense divided by net earned premium.

(3)Expense ratio = other expense divided by net earned premium.

(4)Combined ratio = net loss ratio plus expense ratio.

S-4