EXHIBIT 12

HCC INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

STATEMENT OF RATIOS

(in thousands, except ratios)

	Years ended December 31,
	2013			2012			2011			2010			2009
Net loss ratio
Loss and loss adjustment expense, net	$	1,290,050		$	1,305,511		$	1,399,247		$	1,213,029		$	1,215,759
Net earned premium		2,239,240			2,242,625			2,127,170			2,041,924			2,037,235
Net loss ratio (1)		57.6	%		58.2	%		65.8	%		59.4	%		59.7	%
(Net loss ratio = net loss and loss adjustment expense divided by net earned premium)
Expense ratio
Segment underwriting expense (2)	$	583,534		$	565,777		$	536,238		$	519,336		$	502,256
Segment revenue (3)		2,261,302			2,231,734			2,117,882			2,030,219			2,020,088
Expense ratio		25.8	%		25.4	%		25.3	%		25.6	%		24.9	%
(Expense ratio = segment underwriting expense divided by segment revenue)
Combined ratio		83.4	%		83.6	%		91.1	%		85.0	%		84.6	%
(Combined ratio = net loss ratio plus expense ratio)
Accident year net loss ratio
Loss and loss adjustment expense, net	$	1,290,050		$	1,305,511		$	1,399,247		$	1,213,029		$	1,215,759
Add: Favorable (adverse) development		73,742			70,011			(10,147	)		22,663			53,524
Accident year net loss and loss adjustment expense	$	1,363,792		$	1,375,522		$	1,389,100		$	1,235,692		$	1,269,283
Net earned premium	$	2,239,240		$	2,242,625		$	2,127,170		$	2,041,924		$	2,037,235
Add: (Increase) decrease related to prior year reinstatement premium		(818	)		(5,083	)		-			3,177			-
Accident year net earned premium	$	2,238,422		$	2,237,542		$	2,127,170		$	2,045,101		$	2,037,235
Accident year net loss ratio		60.9	%		61.5	%		65.3	%		60.4	%		62.3	%
(Accident year net loss ratio = accident year net loss and loss adjustment expense divided by accident year net earned premium)

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

(2) Sum of Other Expense for each of our insurance segments.

(3) Sum of Segment Revenue for each of our insurance segments.

HCC INSURANCE HOLDINGS, INC. AND SUBSIDIARIES

STATEMENT OF RATIOS

(in thousands, except ratios)

	Years ended December 31,
	2013			2012			2011			2010			2009
Net paid loss ratio
Losses paid, net of reinsurance	$	1,265,996		$	1,272,345		$	1,253,689		$	1,218,080		$	1,137,779
Net earned premium		2,239,240			2,242,625			2,127,170			2,041,924			2,037,235
Net paid loss ratio		56.5	%		56.7	%		58.9	%		59.7	%		55.8	%
(Net paid loss ratio = losses paid, net of reinsurance, divided by net earned premium)
Ratio of earnings to fixed charges
Interest factor of rent expense (4)	$	5,232		$	5,328		$	5,390		$	5,294		$	5,277
Interest expense		26,210			25,628			23,070			21,348			16,164
Capitalized interest		-			303			382			-			51
Total fixed charges	$	31,442		$	31,259		$	28,842		$	26,642		$	21,492
Earnings before income tax expense	$	572,710		$	554,427		$	355,006		$	489,827		$	518,551
Interest factor of rent expense (4)		5,232			5,328			5,390			5,294			5,277
Interest expense		26,210			25,628			23,070			21,348			16,164
Earnings per calculation	$	604,152		$	585,383		$	383,466		$	516,469		$	539,992
Ratio of earnings to fixed charges (5)		19.21			18.73			13.30			19.39			25.13

(4) Estimated to be 33% of total rent expense.

(5) Earnings per calculation divided by total fixed charges.