Technology evolves fast… so do the risks

1. Technology evolves fast… so do the risks Launching the Hiscox Technology Insurance Portfolio June 2013

2. Why are we here? • Share fascinating facts • Claims....claims...claims • Discuss our new technology insurance portfolio • How can we help you sell more?

3. Our pedigree in the technology sector TMT launches in America. TMT division formed. Rumoured millennium bug – Hiscox pays for Y2K survey of every technology client. First insurer to provide breach of contract cover. Release sixth technology PI wording and first tailored commercial combined product. Insure first technology client – one of first insurers to write this type business. Employ two claims specialists to focus exclusively on TMT business. 36% of claims arise from breach of contract. Include ‘duty to defend’ cover. 26,000 clients 0clients

4. Why place your technology clients with Hiscox? • Experience – Hiscox insures over 26,000 technology businesses in the UK • Global reach - Hiscox is a FTSE 250 company employing over 1,400 people in 11 different countries. We write technology professional indemnity insurance in 24 of our 28 offices across the world, from Manhattan to Dublin and Lisbon. • Commitment to the IT sector – Hiscox are proud to continue to sponsor the Sunday Times Tech Track 2013 • Hiscox have insured an average of 30% of the Tech Track top 100 over the last three years • Chartered insurer - we are proud to be among a small number of insurers who have achieved a gold standard of excellence, professionalism and integrity in insurance. • Award-winning - providing superb service to our brokers and customers is at the heart of everything we do.

5. Our dedicated in-house team of technology lawyers • Dedicated team of legally trained solicitors • Fair and flexible approach to claims handling • ‘Free-range’ claims handlers Kate JacquesT 020 7448 6496 E kate.jacques@hiscox.com James WebsterT 020 7448 6454 E james.webster@hiscox.com Chris CharltonT 0113 205 1036 E chris.charlton@hiscox.com Carol McGladeT 01206 773741 E carol.mcglade@hiscox.com

6. Where is my client’s exposure? • Tactical litigation • Expect the unexpected • Contractual liability • Small errors becoming very costly

7. Our claims experience Losses in 2012 We handle 94% technology claims in house – protecting your clients’ loss records

8. The ingredients of innovation “The breadth of contractual cover is the first thing I point to when pitching to a new technology client.” • “I like insurerswho have clear focus, wording and people.” • “If you cover it, say you cover it.” Learning– insight sessions with brokers and clients Big data – informed underwriting decisions Full collaboration – our underwriters and claims handlers work together to develop our products In-house expertise – all our wordings are written in house

9. Product changes Five ways our new technology insurance portfolio better meets the needs of your technology clients

10. Need – what we’ve done Client need Product enhancement  *CBC Insights 2012 Tech M&A Activity Report – Private Company Acquisitions Professional indemnity • 62% of claims come from breach of contract • Unrestricted breach of contract cover • Your insurance contract should underpin all other contracts you sign • Specific cover for liquidated damages • 2,277 technology companies were acquired globally in 2012* • Automatic cover for acquired entities Specialty commercial • Not just an office • specific cover for property in transit, contract sites and contract works • Increasing threat of online attacks • First party cyber business interruption cover

11. One more thing 62% claims arise from breach of contract Unrestrictive cover Contractual review service • Most requested service from our research groups • Contractual review service • Differentiate with a unique offering • Preferred and three specialists • Generate new business and retain renewals

12. Would we insure this company? Company A Company C • Turnover - £90m • Managed services provider, offering fully managed hosting, network security and solutions services • Largest contract >£8m • Turnover £0 (forecast £60K) • IT consultancy, web design • Covers South Tunbridge Wells mainly operating from his bedroom Company B Company D Turnover €350m Software house providing real time solutions across multiple asset classes for electronic trading, position management, pricing, risk management Clients – global financial institutions to leading niche financial specialists Contracts up to $10m Turnover - £120m Provision of gaming machines to gaming and leisure industries Operate globally in 22 countries with over 50,000 gaming terminals Clients – major bookmakers

13. Being the local expert We have dedicated technology underwriters and claims managers across the UK Leeds Ken Phillips 0113 205 1032 ken.phillips@hiscox.com London David Smith 020 7448 6321 david.smith@hiscox.com Maidenhead Louise Barratt 01628 762925 louise.barrett@hiscox.com Manchester James Brady 0161 245 3350 james.brady@hiscox.com Head of TechnologyMatt Webb020 7448 6786 matthew.webb@hiscox.com NationalsCaspar Stops020 7448 6311caspar.stops@hiscox.com BirminghamSarah Mason01446 560 9309sarah.mason@hiscox.com Colchester Jon Hall 01206 788810 jon.hall@hiscox.com Dublin Richard O’Dwyer 00 35 31 237 4651 richard.o’dwyer@hiscox.com Glasgow Chris Sloan 0141 285 6517 chris.sloan@hiscox.com

14. Thought Leadership

15. Product launching on Monday 24th June • Look out for an email with your marketing toolkit containing: • Wording • Application form • Wording comparison summary • Technology professional indemnity client flyer • Technology insurance portfolio brochure • Technology newsletters • Claims videos • Contractual hints and tips

16. Appendix

17. Our appetite for technology companies We do not insure: Industrial control processing, payment processing, non-IT business process outsourcers.