##### 



Exhibit 99.1
 Investor Conference Presentation




---



##### 



|
|



---



##### 



|NOTICE ABOUT THIS PRESENTATION

ABOUT FORWARD LOOKING STATEMENTS:  This presentation contains certain "forward looking statements"
within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange
Act of 1934, which are intended to be covered by the safe harbors created by those laws. These forward
looking statements include information about possible or assumed future results of our operations.  All
statements, other than statements of historical facts, included in this presentation that address activities,
events or developments that we expect or anticipate may occur in the future, including, such things as future
capital expenditures, business strategies, competitive strengths, goals, growth of our business and
operations, plans, and references to future successes may be considered forward looking statements. Also,
when we use the words such as "anticipate", "believe", "estimate", "expect", "intend", "plan", "probably", or
similar expressions, we are making forward looking statements.  Many risks and uncertainties may impact the
matters addressed in these forward looking statements.  Many possible events or factors could affect our
future financial results and performance.  These could cause our results or performance to differ materially
from those we express in our forward looking statements.  Although we believe that the assumptions
underlying our forward looking statements are reasonable, any of these assumptions, and therefore also the
forward looking statements based on these assumptions, could themselves prove to be inaccurate.  In light of
the significant uncertainties inherent in the forward looking statements included in this presentation, our
inclusion of this information is not a representation by us or any other person that our objectives and plans
will be achieved.  Our forward looking statements speak only as of the date made and we will not update these
forward looking statements unless the securities laws require us to do so.  In light of these risks, uncertainties
and assumptions, the forward looking events discussed in this presentation may not occur.



PRESENTATION FORMATTING:  Certain figures included in this publication have been rounded for
presentation and are provided for comparative purposes only.  Our periodic reports filed with the Securities
and Exchange Commission contain more detailed information, including specific figures.
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|OVERVIEW
|--------



---



##### 



|CORPORATE PROFILE

Specialty Insurance since 1974


Based in Houston, Texas with offices across the
USA and international offices in Bermuda, Spain
and the U.K.

Diversified operations include Insurance
Companies, Underwriting Agencies and
Intermediaries

Rated A+ (Superior) by A.M. Best Company and

AA (Very Strong) by Standard & Poor's
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|CORPORATE PHILOSOPHY

Long Term Growth of Shareholders' Equity

  Capital Preservation

  Diversification of Operations

  Disciplined Underwriting

  Cycle Management

  Conservative Investments

  Risk Management
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|SHAREHOLDERS EQUITY

($ in millions)

$1,500

$1,000

$500

1998

2000

2002

2004

9/30/06

$2,000

See Notice About This Presentation
|---------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|RETURN ON EQUITY

2003

16.1%

2004

15.6%

14.4%

9/30/06


15.5%

2005

See Notice About This Presentation
|------------------------------------------------------------------------------------------------------------



---



##### 



|GROWTH IN BOOK VALUE

(per share data)

2003

$ 10.91

2004

$ 12.99

$15.26

2005

9/30/06

$17.59

See Notice About This Presentation
|---------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|OPERATIONS
|----------



---



##### 



|EXECUTIVE MANAGEMENT

Frank Bramanti

Age 50

CEO

Edward Ellis

Age 64

EVP & CFO
|----------------------------------------------------------------------------------



---



##### 



|SENIOR MANAGEMENT


Michael Schell

Age 56

EVP - Property & Casualty

Robert Thomas

Age 43

EVP - Credit & Surety

Pamela Penny

Age 51

SVP - Finance

Farid Nagji

Age 41

EVP - Corporate Services

Cory Moulton

Age 38

President & CEO - PIA

Laurence Donnelly

Age 48

CEO - HCCIG

Craig Kelbel

Age 52

EVP - Life, A&H

Barry Cook

Age 46

EVP - International
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|OPERATIONS

(Subsidiaries / Divisions)

Michael Schell

(Property & Casualty)

Houston Casualty

Company



U.S. Specialty
Insurance Company



Avemco Insurance

Company



PIA



HCC Global (US)



Covenant

Underwriters

Robert Thomas

(Credit & Surety)

American Contractors

Indemnity Company



United States Surety
Company







HCC Credit
Underwriters



HCC Indemnity
Guaranty

Craig Kelbel

(Life, Accident & Health)

HCC Life

Insurance Company



Perico Life

Insurance Company







HCC Specialty
Underwriters

Barry Cook

(International)

HCC International
Insurance Company



HCC Europe











HCC Global
(International)



Rattner Mackenzie
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|OPERATIONS

(Lines of Business)

Michael Schell

(Property & Casualty)

Aviation



Directors' & Officers'



Professional

Indemnity



Kidnap & Ransom



Marine



Employers Practice

Liability


Craig Kelbel

(Life, Accident & Health)

Medical Stop Loss



Excess Medical



Group Life Products



Disability



Contingency

Robert Thomas

(Credit & Surety)

Surety



Credit



Financial Products


Barry Cook

(International)

Property, Marine &
Energy



Directors' & Officers'



Professional

Indemnity



Surety



Credit



Accident & Health
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|FINANCIALS
|----------



---



##### 



|BALANCE SHEET
|-------------



---



##### 



|STRONG BALANCE SHEET

Conservative Loss Reserves

Strong Liquidity

Low debt to total capital ratio of 17%

Shareholders' Equity of $2 billion

Assets of more than $7 Billion

High Quality Reinsurers

Low Risk Investment Portfolio
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|REINSURANCE RECOVERABLES

($ in millions)

9/30/06


$1,300

2003

$900

$1,100

2004

2005

$1,360

See Notice About This Presentation
|---------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|NET LOSS RESERVES

($ in millions)

9/30/06


$1,750

2003

$700

$1,060

2004

2005

$1,530

See Notice About This Presentation
|--------------------------------------------------------------------------------------------------------------------------------



---



##### 



|CASH FLOW

($ in millions)

2003

$530

2004

$670

$620

2005

9/30/06




$360

See Notice About This Presentation
|--------------------------------------------------------------------------------------------------------------------



---



##### 



|INVESTMENT ASSETS

($ in millions)

2003

$1,710

2004

$2,470

$3,260

2005

9/30/06


$3,800

See Notice About This Presentation
|----------------------------------------------------------------------------------------------------------------------------------



---



##### 



|1st Qtr
    Tax Exempt Securities    34
    Short Term Investments    18
    Other    7
    Taxable Securities    41


Taxable Securities - 41%

Average Rating - AA+

Average Maturity: 3.6 years

Duration: 3.0 years

Tax Exempt Securities - 34%

Average Rating - AAA

Average Maturity: 12.0 years

Duration: 6.8 years

Other

7%

September 30, 2006

$3,804 million

Short Term

 Investments - 18%

CONSERVATIVE INVESTMENT PORTFOLIO
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|TOTAL ASSETS

($ in millions)

2003

$4,880

2004

$5,900

$7,030

2005

9/30/06

$7,540

See Notice About This Presentation
|----------------------------------------------------------------------------------------------------------------------------



---



##### 



|SHAREHOLDERS EQUITY

($ in millions)

2003

$1,050

2004

$1,330

$1,690

9/30/06

$1,960

2005

See Notice About This Presentation
|-----------------------------------------------------------------------------------------------------------------------------------



---



##### 



|INCOME STATEMENT
|----------------



---



##### 



|GROSS WRITTEN PREMIUM

($ in millions)

2003

$1,740

2004

$1,980

$2,040

2005

9/30/06

$1,630

See Notice About This Presentation
|-------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|NET WRITTEN PREMIUM

($ in millions)

2003

$870

2004

$1,110

$1,500

2005

9/30/06

$1,300

See Notice About This Presentation
|---------------------------------------------------------------------------------------------------------------------------------



---



##### 



|REVENUE: NET EARNED PREMIUM

($ in millions)

2003

$738

2004

$1,011

$1,370

2005

9/30/06

$1,205

See Notice About This Presentation
|-----------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|REVENUE: FEE & COMMISSION INCOME

($ in millions)

2003

$143

2004

$184

$133

2005

9/30/06

$104

See Notice About This Presentation
|----------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|REVENUE: INVESTMENT INCOME

($ in millions)

2003

$47

2004

$65

$99

2005

9/30/06

$109

See Notice About This Presentation
|-------------------------------------------------------------------------------------------------------------------------------



---



##### 



|TOTAL REVENUE

($ in millions)

2003

$942

2004

$1,285

$1,643

2005

9/30/06


$1,476

See Notice About This Presentation
|----------------------------------------------------------------------------------------------------------------------------



---



##### 



|GAAP COMBINED RATIO

(* affected by catastrophes)

2003

90.7%

2004*

90.5%

93.2%

9/30/06

82.9%

2005*

See Notice About This Presentation
|----------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|NET EARNINGS

($ in millions)

2003

$142

2004

$163

$191

2005

9/30/06




$262

See Notice About This Presentation
|-----------------------------------------------------------------------------------------------------------------------



---



##### 



|NET EARNINGS PER DILUTED SHARE

2003

$1.47

2004

$1.65

$1.75

2005

9/30/06

$2.24

See Notice About This Presentation
|-------------------------------------------------------------------------------------------------------------------------



---



##### 



|SUMMARY
|-------



---



##### 



|HCC KEY STRENGTHS

Specialty lines only, across property, casualty, life and
accident segments of the insurance industry


Strong management for operations

Conservative assessment of catastrophe exposures and
adequate reinsurance to protect shareholders' capital

No significant net loss reserve development

Consistent ROE averaging 15% during past 5 years despite
two years of major windstorm catastrophes

No significant credit exposure
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|NOTICE ABOUT THIS PRESENTATION

ABOUT FORWARD LOOKING STATEMENTS:  This presentation contains certain "forward looking statements"
within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange
Act of 1934, which are intended to be covered by the safe harbors created by those laws. These forward
looking statements include information about possible or assumed future results of our operations.  All
statements, other than statements of historical facts, included in this presentation that address activities,
events or developments that we expect or anticipate may occur in the future, including, such things as future
capital expenditures, business strategies, competitive strengths, goals, growth of our business and
operations, plans, and references to future successes may be considered forward looking statements. Also,
when we use the words such as "anticipate", "believe", "estimate", "expect", "intend", "plan", "probably", or
similar expressions, we are making forward looking statements.  Many risks and uncertainties may impact the
matters addressed in these forward looking statements.  Many possible events or factors could affect our
future financial results and performance.  These could cause our results or performance to differ materially
from those we express in our forward looking statements.  Although we believe that the assumptions
underlying our forward looking statements are reasonable, any of these assumptions, and therefore also the
forward looking statements based on these assumptions, could themselves prove to be inaccurate.  In light of
the significant uncertainties inherent in the forward looking statements included in this presentation, our
inclusion of this information is not a representation by us or any other person that our objectives and plans
will be achieved.  Our forward looking statements speak only as of the date made and we will not update these
forward looking statements unless the securities laws require us to do so.  In light of these risks, uncertainties
and assumptions, the forward looking events discussed in this presentation may not occur.



PRESENTATION FORMATTING:  Certain figures included in this publication have been rounded for
presentation and are provided for comparative purposes only.  Our periodic reports filed with the Securities
and Exchange Commission contain more detailed information, including specific figures.
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



---



##### 



|
|