EXHIBIT 12

HCC INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

STATEMENT OF RATIOS

(in thousands)

	Years Ended December 31,
	2009			2008			2007			2006			2005
Gross premium to surplus ratio
Gross written premium	$	2,568,609		$	2,510,612		$	2,460,498		$	2,243,843		$	2,049,116
Policyholders’ surplus		2,103,892			1,852,684			1,744,889			1,342,054			1,110,268
Premium to surplus ratio(1)		122.1	%		135.5	%		141.0	%		167.2	%		184.6	%
(Gross premium to surplus ratio = gross written premium divided by policyholders’ surplus)
Net premium to surplus ratio
Net written premium	$	2,052,309		$	2,064,091		$	1,985,641		$	1,812,896		$	1,495,931
Policyholders’ surplus		2,103,892			1,852,684			1,744,889			1,342,054			1,110,268
Premium to surplus ratio(1)		97.5	%		111.4	%		113.8	%		135.1	%		134.7	%
(Net premium to surplus ratio = net written premium divided by policyholders’ surplus)
Loss ratio
Incurred loss and loss adjustment expense	$	1,232,510		$	1,216,746		$	1,194,925		$	1,020,221		$	925,130
Net earned premium		2,029,748			2,000,289			1,971,951			1,700,373			1,378,100
Loss ratio(1)		60.7	%		60.8	%		60.6	%		60.0	%		67.1	%
(Loss ratio = incurred loss and loss adjustment expense divided by net earned premium)
Expense ratio
Underwriting expense	$	528,077		$	501,948		$	473,597		$	435,371		$	381,680
Net written premium		2,052,309			2,064,091			1,985,641			1,812,896			1,495,931
Expense ratio(1)		25.7	%		24.3	%		23.9	%		24.0	%		25.5	%
(Expense ratio = underwriting expense divided by net written premium)
Combined ratio(1)		86.4	%		85.1	%		84.5	%		84.0	%		92.6	%
(Combined ratio = loss ratio plus expense ratio)

(1) Calculated for our insurance companies using financial data reported in accordance with statutory accounting principles.

EXHIBIT 12

HCC INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

STATEMENT OF RATIOS

(in thousands)

	Years Ended December 31,
	2009			2008			2007			2006			2005
Loss ratio
Incurred loss and loss adjustment expense	$	1,215,759		$	1,211,873		$	1,183,947		$	1,011,856		$	919,697
Net earned premium		2,037,235			2,007,774			1,985,086			1,709,189			1,369,988
Loss ratio(2)		59.7	%		60.4	%		59.6	%		59.2	%		67.1	%
(Loss ratio = incurred loss and loss adjustment expense divided by net earned premium)
Expense ratio
Underwriting expense	$	513,942		$	501,537		$	472,168		$	427,456		$	357,727
Net earned premium		2,037,235			2,007,774			1,985,086			1,709,189			1,369,988
Expense ratio(2)		25.2	%		25.0	%		23.8	%		25.0	%		26.1	%
(Expense ratio = underwriting expense divided by net earned premium)
Combined ratio(2)		84.9	%		85.4	%		83.4	%		84.2	%		93.2	%
(Combined ratio = loss ratio plus expense ratio)
Ratio of earnings to fixed charges
Interest factor of rent expense(3)	$	5,277		$	4,581		$	4,067		$	3,944		$	3,373
Interest expense		16,164			20,362			16,270			18,128			14,126
Capitalized interest		51			104			—			—			—
Total fixed charges	$	21,492		$	25,047		$	20,337		$	22,072		$	17,499
Earnings from continuing operations before income tax expense	$	518,551		$	432,238		$	579,904		$	503,102		$	266,167
Interest factor of rent expense(3)		5,277			4,581			4,067			3,944			3,373
Interest expense		16,164			20,362			16,270			18,128			14,126
Earnings per calculation	$	539,992		$	457,181		$	600,241		$	525,174		$	283,666
Ratio of earnings to fixed charges(4)		25.13			18.25			29.51			23.79			16.21

(2)	Calculated for our insurance companies using financial data reported in accordance with generally accepted accounting principles.
(3)	Estimated to be 33% of total rent expense.
(4)	Earnings per calculation divided by total fixed charges.