The 29-year-old’s contract at the KC Stadium expires in the summer, putting his future into doubt.
Manager Steve Bruce is known to be keen to keep hold of Huddlestone, but Hull are reportedly unwilling to match his wage demands.
The Tigers cannot offer Huddlestone a new deal, with promotion looking far from secure this season.
Hull are competing in the upper echelons of the Championship table, but they are currently in the play-off positions, rather than the automatic spots.
Derby are keen to take advantage of this uncertainty and could offer Huddlestone the chance of return to the iPro Stadium.
The experienced midfielder began his career at Derby before moving to Tottenham Hotspur, and his quality is well known by Paul Clement’s side.
Derby are currently occupying second spot in the Championship table, and the signing of Huddlestone would strengthen their chances of going up, while weakening one of their promotion rival’s squads.