Sue Watts
HCI GroupAbout Sue Watts
Sue Watts, age 63, has served as an independent director of HCI since April 2019 after first participating in the company’s Board Observer Program. She is President of Sapience Analytics Corporation since December 2021, and previously held senior operating and technology leadership roles at Capgemini, Xerox, Orange Business Services, and Unisys. She holds a BS in Business from Indiana University and an MBA (Finance) from the University of Notre Dame. Her core credentials include three decades in operations, IT, and leadership, enhancing oversight of management, operations, and technology at HCI .
Past Roles
| Organization | Role | Tenure | Committees/Impact |
|---|---|---|---|
| Sapience Analytics Corporation | President | Dec 2021–present | Workforce analytics leadership; technology oversight capability |
| Capgemini SE | Executive Vice President; earlier Corporate VP of Application Services; CEO Americas Outsourcing | EVP 2017–2021; leadership roles 2010–2014 | Digital transformation, outsourcing execution experience leveraged in board oversight |
| Xerox Corporation | Chief Operating Officer & Corporate Officer, Business Process Outsourcing | 2014–2017 | Large-scale operations management expertise |
| Orange Business Services | Vice President, Americas Global Service | 2009–2010 | Global IT/communications services perspective |
| Unisys Corporation | Multiple roles | 1985–2009 | Enterprise IT operations experience |
| Education | BS Indiana University; MBA University of Notre Dame (Finance) | — | Financial and managerial rigor for Compensation/Audit work |
External Roles
| Organization | Role | Public Company? | Notes |
|---|---|---|---|
| Sapience Analytics Corporation | President | Not disclosed as public | Current operating role |
| Other public boards | — | — | No other public company directorships disclosed in HCI proxy for Watts |
Board Governance
- Independence: Board determined Sue Watts is independent under NYSE Section 303A.02 .
- Committee assignments (2025): Compensation Committee (Chair); Audit Committee (Member). Compensation Committee met 6 times in 2024; Audit Committee met 6 times in 2024 .
- Committee assignments (2024): Governance & Nominating (Member); Audit (Member). Audit met 4 times in 2023; Governance & Nominating met 2 times in 2023 .
- Board structure: Staggered three-year terms; Class A/B/C rotation .
- Attendance: Board held 13 meetings in 2024; nine directors attended 100%, one attended 92%. Committee members attended 100% of meetings in 2024 except one Compensation Committee member at 83% (individual not named) .
- Shareholder support: Re-elected in 2024 with 95.4% “For” votes .
| Year | Audit | Compensation | Governance & Nominating | Key Governance Notes |
|---|---|---|---|---|
| 2025 (covering 2024 activity) | Member; 6 meetings | Chair; 6 meetings | — | Board confirmed Watts independent; pay-for-performance emphasis |
| 2024 (covering 2023 activity) | Member; 4 meetings | — | Member; 2 meetings | Governance committees fully independent |
Fixed Compensation
| Component (2024) | Amount/Detail | Vesting/Timing |
|---|---|---|
| Cash retainer | $25,000 per quarter ($100,000 total) | Quarterly; includes attendance at Board and committee meetings |
| Restricted stock | 750 shares; grant-date fair value $72,285 | Granted June 12, 2024; vests May 22, 2025 |
| All other compensation | $1,000 (dividends on unvested restricted shares) | As paid |
| Total | $173,285 | — |
Performance Compensation
- Directors receive service-based restricted stock with no performance metrics; 750 restricted shares granted June 12, 2024, vesting May 22, 2025 .
- No options or non-equity incentive plan compensation for directors in 2024 .
| Metric | Applies to Directors? | Detail |
|---|---|---|
| TSR/EPS/EBITDA targets | No | Restricted stock is service-based only |
| Options | No | Option awards not granted to directors in 2024 |
| Clawbacks | Executive-focused | Clawback policy in Compensation Committee charter applies to executive incentive pay |
Other Directorships & Interlocks
- Other public company boards for Watts: Not disclosed .
- Interlocks/related party transactions: None identified involving Watts. The proxy discloses reinsurance dealings with Oxbridge Re (director Jay Madhu’s company) and Centerbridge/Typtap history; Watts not party to these .
Expertise & Qualifications
- Operations management, CEO leadership, technology/industry background, public company board service, and financial experience attributed to Watts in HCI’s skills matrix .
- Board Observer Program participation prior to joining the Board signals governance acclimation; program currently paused since 2022 .
Equity Ownership
| Metric | As of Apr 15, 2024 | As of Apr 14, 2025 |
|---|---|---|
| Beneficially owned shares | 7,280; includes 500 restricted shares | 8,030; <1% of outstanding |
| Restricted shares outstanding | 500 (from 2021/2020 grants) | 750 (granted 6/12/2024; vest 5/22/2025) |
| Ownership guidelines | Directors must acquire $200,000 of HCI shares within 5 years of initial election and hold until retirement | Compliance status for Watts not disclosed |
| Hedging/pledging | Hedging prohibited by company policy; no pledging disclosed for Watts |
Director Compensation (Context and Mix)
- 2024 director compensation plan: $25,000 per quarter cash and annual restricted stock grant of 750 shares to all non-employee directors; amounts reflect ASC 718 grant-date valuation; dividends paid on unvested shares .
- Watts’ 2024 totals: $100,000 cash; $72,285 stock; $1,000 other; $173,285 total .
- Outstanding director stock awards at 12/31/2024: Watts 750 restricted shares .
Compensation Committee Analysis
- 2025 composition: Sue Watts (Chair), Lauren Valiente; independent under NYSE 303A.02; 6 meetings in 2024; charter available online; stated pay-for-performance focus and open shareholder communications .
- 2024 composition: Gregory Politis (Chair), Eric Hoffman, Lauren Valiente; 4 meetings in 2023 .
- Shareholder engagement and Say-on-Pay: 98% approval in 2023; committee actively engages shareholders; renewed emphasis on performance alignment and transparent disclosure .
- Peer groups used by committee (executive comp context): Florida P&C core peers (e.g., American Coastal Insurance Corporation; Heritage Insurance Holdings; Universal Insurance Holdings) and select software peers to reflect HCI’s insurtech dependence .
Say-On-Pay & Shareholder Feedback
- 2025 proxy seeks advisory approval of NEO compensation and annual frequency vote; Board recommends FOR both matters and “every year” frequency .
- 2023 Say-on-Pay approval: 98% in favor, indicating strong investor support for compensation framework .
- Ongoing engagement: Board and IR engaged shareholders representing ~65% of shares; directors participated directly .
Insider Trades
- Section 16(a) compliance: Company reports directors/officers complied with filing requirements in 2023, with late Form 4s noted for Coleman, Saravanos, and Harmsworth; Watts not listed among late filers .
Governance Assessment
- Strengths:
- Independent director with deep operations/IT experience; chairs Compensation and serves on Audit—key oversight roles .
- Strong board engagement and attendance; re-election support at 95.4% “For” in 2024 .
- Anti-hedging policy; director ownership policy enhances alignment .
- Clear committee charters; Audit pre-approval policies; independent auditor oversight .
- Watch items / potential red flags:
- Compensation Committee reduced to two members in 2025, which may constrain perspectives and bandwidth versus prior three-member composition .
- Staggered board terms may reduce annual accountability; Board defends as continuity benefit .
- Director ownership guideline requires $200,000 within five years; individual compliance status for Watts not disclosed—potential alignment risk if not met (no assertion of non-compliance) .
- Related-party transactions exist for other directors (e.g., Oxbridge reinsurance), though none implicate Watts directly .