Specialist insurer Hiscox PLC said yesterday its new Bermuda subsidiary is off to a good start while work on moving the domicile of the company to Bermuda is progressing.

Overall, Hiscox PLC had a ?good start to the year,? said chairman Robert Hiscox .

?We are, of course, waiting for the effects of the wind season, but we have more income this year per pound of exposure. The two new businesses in Bermuda and the USA have both started well and, together with our growing retail book, give an even better balance to the Group,? said Mr. Hiscox.

Hiscox Bermuda which started up in December last year, has written $150 million new reinsurance business out of a target of $165 million for the year.

?Internal quota shares will add to that business to give balance. Our strong commitment to this market in terms of underwriting expertise and leadership has paid off with a good flow of business from brokers,? Hiscox PLC said in its Annual General Meeting statement released yesterday.

Hiscox USA opened for business in March this year and is already beating expectations as a result of good employees writing good quality, non-catastrophe, middle market commercial business with excellent support from brokers, the company said.

Hiscox is one of Lloyd?s of London?s largest insurers and was one of nine major insurers to join the Bermuda market late last year.

The company announced at the time of its rights issue in 2005 that it was considering moving its domicile to Bermuda. It said in its AGM statement yesterday that work has progressed on the move and it will release a more detailed statement at the time of the half-year results.

The Group?s gross written premium to the end of May 2006 increased 30 percent over the same period 2005 to over ?500 million with overall exposure remaining static. There were no material claims during the period, the company said.

In its global markets, Hiscox achieved total rate increases of 9 percent, with its reinsurance account achieving a 17 percent increase overall to the end of May. It expects rates in some areas of its business, especially reinsurance, to rise further in the coming months.

?There have been more claims from the 2005 hurricanes but the net increase after reinsurance was mitigated by other releases and reductions,? the company said in its statement.