Shares in Bermuda-based RenaissanceRe have fallen following the resignation of a senior executive who refused to co-operate with US regulatory investigators.
Michael Cash, an executive in Renaissance’s specialty reinsurance unit, has resigned from the Caribbean headquartered company after declining to accept a subpoena from the US Securities and Exchange Commission.
The SEC wanted to interview Mr Cash about Renaissance’s recent financial re-statement as part of a wider probe into the misuse of finite reinsurance, but he was unwilling to co-operate.
As a result of the damaging revelations the insurer has lost 1.5% off its share price. According to MarketWatch, Renaissance shares have declined to $46.90 in the same period that they were being traded at three times their usual rate.
Responding to the developments, the Bermuda insurance provider said that it was fulfilling the regulator’s requests and that Mr Cash’s actions were inconsistent with its policy on the matter.
Renaissance added that Neill Currie will assume responsibilities for managing the company’s specialty reinsurance business, in addition to his existing responsibilities for marketing and client relations.