UPDATE 2-Greenhill hires UBS insurance banking head

* Hires Alejandro Przygoda

* Second major hire in financial services

* Przygoda led Zurich deal for AIG's auto unit

* Greenhill shares down 2 percent (Adds details about deals, background, byline)

By Paritosh Bansal

NEW YORK, April 24 (Reuters) - Boutique investment bank Greenhill & Co Inc (GHL.N) said on Friday it hired Alejandro Przygoda from Swiss bank UBS AG (UBSN.VX) to head its insurance advisory practice, its second senior addition in financial services.

Przygoda, 41, has been the head of the global insurance practice for UBS and is expected to start at Greenhill this summer.

Przygoda was the lead banker advising Zurich Financial Services' (ZURN.VX) Farmers Group in its agreement last week to buy American International Group's (AIG.N) U.S. auto insurance business for $1.9 billion.

He also led the UBS team advising Nationwide Mutual Insurance Co in its $2.4 billion buyout of Nationwide Financial Services.

Before UBS, Przygoda was a managing director at Credit Suisse (CSGN.VX) and chief financial officer of General Re's Argentine subsidiary.

Greenhill's moves come as boutique investment firms lap up the cream of global banking talent as the financial crisis and regulation force large institutions to cut staff and limit pay.

Since March, Greenhill has hired two other investment bankers from UBS -- James Stewart, a managing director for real estate, lodging and leisure, and Andrew Kramer, head of restructuring for Americas.

Last month it said it had hired Kirk Wilson, a vice chairman in Morgan Stanley's (MS.N) financial institutions group and a 26-year veteran at the bank.

On Thursday, Greenhill posted a larger-than-expected fall in quarterly profit, hurt by fewer completed assignments in its advisory business.

But it said its financing advisory and restructuring businesses had seen a substantial increase in activity in recent months, and it expects the trend to continue. [ID:nBNG44777]

Greenhill shares were off $1.55, or 2 percent, at $76.47 in morning trading on the New York Stock Exchange. (Reporting by Paritosh Bansal; Editing by Steve Orlofsky and John Wallace)