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Owners of companies providing professional business services ranging from IT to architecture in California now have the option to purchase workers’ compensation insurance through Hiscox.

The international and national small business insurer made the announcement of the new option recently. Kevin Kerridge, Executive Vice President of Small Business Insurance at Hiscox USA, explains the company’s focus and future plans in the space.

“One of the key insights behind us launching our US small business operation in 2010 was just how underserved small business owners have been by the insurance industry,” Kerridge told Small Business Trends.

“We’re proud to add another product offering to what we already provide to those customers. We’ve started in California as a first step, and over the next 12 months we’ll selectively expand our geographic footprint in this new product line.” The company is headquartered in Bermuda and listed on the London Stock Exchange. Currently it has California offices in San Francisco and Los Angeles.

Hiscox is a specialist insurer, with roots dating back to 1901. It has offices in 14 countries and operate in all US states and the District of Columbia. The company offers a range of specialty insurance products through US based brokers as well as directly online to small businesses.

This month A.M. Best has affirmed the Financial Strength Ratings of A [Excellent] and the Long-Term Issuer Credit Ratings of “a+” of Hiscox Insurance Company [Bermuda] Limited [Hiscox Bermuda], Hiscox Insurance Company Limited [Hisco] [United Kingdom], Hiscox Insurance Company [Guernsey] Limited [Hiscox Guernsey], Hiscox Insurance Company, Inc. [HICI] [Chicago, Illinois, USA] and Lloyd’s Syndicate 33 [United Kingdom], which is managed by Hiscox Syndicates Limited.

The ratings agency said, “The rating affirmations of Hiscox, Hiscox Bermuda and Hisco reflect the Hiscox group’s strong consolidated risk-adjusted capitalisation and good financial flexibility. The ratings also reflect Hiscox’s strong operating performance, underpinned by an average five-year combined ratio of 86%. Hiscox pursues a successful strategy of balancing volatile international catastrophe and large loss-exposed insurance and reinsurance business with more stable local retail business, which continues to support its profitable performance.”

The company reported a profit surge in 2016 to $440.4 million, up 64% from the previous year, bolstered by good investment returns and a favorable foreign exchange gain. CEO Bronek Masojada said “Our retail business has come of age, driving growth and profitability for the group.” Mr. Masojada said the Hiscox USA unit’s “outstanding momentum has not stopped,” growing 30% in constant currency to $496.9 million, compared with $348.7 million a year ago.