This company should sell everything it has to someone who know something about running a business. From the inside too much management and too many decision left on the table. This ticker should be changed from HIG to PIG....
I think the market actually has a good idea of what's going on with this company; unfortunately it isn't very good news. The company is trading at such a discount to BV because:
1) The annuity liabilities are both large and unstable, particularly in an uncertain macro-economic environment. 2) The last few years have been somewhat lost in terms of pointing things in the right direction. In my opinion:
a) The annuities should've been shut down immediately once the new management took over. The attempt to "retool" the product line and distribution after such a meltdown was not wise and a waste of resources. b) There should have been an earlier and aggressive attempt to divest the company of businesses in favor of whichever businesses were deemed to be most promising, whether that's P&C or not. c) The P&C business has had little investment in the 4-5 years since the "troubles", while its competitors have gained marketshare either through acquisition or organic growth, or both. d) The P&C company has a national footprint (and the associated expense structure) when some of its businesses are regional-sized.
There's more, but bottom line is that its going to take a while before this ship is headed in a straight line and with any speed.