IRELAND – RSA regulatory issue probed

Ireland’s central bank is investigating a potential regulatory issue after RSA Insurance suspended the chief executive and two other senior managers of its Irish business, according to a Reuters report. 

The insurer has suspended the Irish unit’s Chief Executive Philip Smith, chief financial officer Rory O’Connor and claims director Peter Burke while it investigates issues in its claims and finance functions. 

RSA said no findings had been made against any individuals at this time, but as a result of these issues it estimated that the group’s 2013 operating result would be USD112 million lower than current market expectations. 

Ireland’s central bank confirmed RSA had reported a regulatory issue and it was in close and regular dialogue with the insurer. A spokesman said the RSA Insurance Ireland executives were not available to comment. 

The company has injected capital into RSA Insurance Ireland to ensure its solvency ratio was comfortably in excess of 200 percent, the benchmark ratio set by Ireland’s central bank.