Independent auditors’ ethical requirements and plan and perform Opinion
report to the Board the audit to obtain reasonable assurance
whether the consolidated financial
In our opinion:
the consolidated financial statements
of Directors and statements and the part of the Directors’ present fairly, in all material respects,
the shareholders remuneration report to be audited are free
from material misstatement.
the consolidated financial position of
the Company as at 31 December 2012,
of Hiscox Ltd and of its consolidated financial
An audit involves performing procedures performance and its consolidated
to obtain audit evidence about the amounts cash flows for the year then ended in
and disclosures in the consolidated financial accordance with International Financial
statements and the part of the Directors’ Reporting Standards as adopted by the
remuneration report to be audited. The EU; and
procedures selected depend on our the part of the Directors’ remuneration
We have audited the accompanying judgement, including the assessment of report which we were engaged to
consolidated financial statements of Hiscox the risks of material misstatement of the audit has been properly prepared in
Ltd (‘the Company’) on pages 51 to 103 consolidated financial statements and the accordance with Schedule 8 to the
which comprise the consolidated balance part of the Directors’ remuneration report UK Companies Act 2006 The Large
sheet as at 31 December 2012, and the to be audited, whether due to fraud or error. and Medium-sized Companies and
consolidated income statement, In making those risk assessments, we Groups (Accounts and Reports)
consolidated statement of comprehensive consider internal control relevant to the Regulations 2008 (SI 2008 No.410),
income, consolidated statement of changes entity’s preparation and fair presentation as if those requirements were to apply
in equity and consolidated cash flow of the consolidated financial statements to the Company.
statement for the year then ended, and a and the part of the Directors’ remuneration
summary of significant accounting policies report to be audited in order to design audit KPMG Audit Limited
and other explanatory notes. procedures that are appropriate in the Hamilton, Bermuda
circumstances, but not for the purpose of 25 February 2013
In addition to our audit of the consolidated expressing an opinion on the effectiveness
financial statements, the Directors have of the entity’s internal control. An audit also
engaged us to audit the information in the includes evaluating the appropriateness
Directors’ remuneration report that is of accounting policies used and the
described as having been audited, which reasonableness of accounting estimates
the Directors have decided to prepare made by management, as well as evaluating
(in addition to that required to be prepared) the overall presentation of the consolidated
as if the Company were required to comply financial statements and the part of the
with the requirements of Schedule 8 to the Directors’ remuneration report to be audited.
UK Companies Act 2006 The Large and
Medium-sized Companies and Groups We believe that the audit evidence we have
(Accounts and Reports) Regulations 2008 obtained is sufficient and appropriate to
(SI 2008 No.410). provide a basis for our audit opinion.
Management’s responsibility for the We review whether the corporate
consolidated financial statements governance statement reflects the
Management is responsible for the Company’s compliance with the nine
preparation and fair presentation of these provisions of the UK Corporate Governance
consolidated financial statements in Code specified for our review by those rules,
accordance with International Financial and we report if it does not. We are not
Reporting Standards as adopted by the EU required by the terms of our engagement
and for such internal control as management to consider whether the Board’s statements
determines is necessary to enable the on internal control cover all risks and
preparation of consolidated financial controls, or to form an opinion on the
statements that are free from material effectiveness of the Group’s corporate
misstatement whether due to fraud or error. governance procedures or its risk and
control procedures.
Auditors’ responsibility
Our responsibility is to express an opinion We also read the other information
on these consolidated financial statements contained in the Report and Accounts and
based on our audit and, under the terms of consider whether it is consistent with the
our engagement letter, to audit the part of audited consolidated financial statements.
the Directors’ remuneration report that is We consider the implications for our report
described as having been audited. if we become aware of any apparent
misstatements or material inconsistencies
We conducted our audit in accordance with with the consolidated financial statements.
International Standards on Auditing. Those Our responsibilities do not extend to any
standards require that we comply with other information.
50 Independent auditors’ report to the Board of Directors and the shareholders of Hiscox Ltd Hiscox Ltd Report and Accounts 2012