RSA Insurance, a UK-based general insurance company, has commenced an independent review of its financial and regulatory reporting processes and controls within its Irish operations.
The move comes after the insurer suspended its CEO Philip Smith, CFO Rory O’Connor and Claims Director Peter Burke over issues in the claims and finance functions in the unit, which were identified during a routine internal audit.
However, the details of the problem were not announced. The company is working closely with the Central Bank of Ireland.
The insurer has appointed PricewaterhouseCoopers (PwC) to undertake a comprehensive review of the issues.
PwC will will focus on the Group oversight and controls of the Irish Business during the relevant period as well as assess the adequacy of the remedial actions being taken. It will report back to the RSA board before the end of this year.
RSA CEO Simon Lee said, "We are extremely disappointed with the issues which have been identified and their financial impact on the Group. While the investigation is ongoing, I am confident that these issues are isolated to the Irish business.
"No policyholders have been affected and all our Irish businesses continue to operate as normal. Nevertheless, we want to ensure that the actions being taken in Ireland and across the Group are correct and that all lessons are learnt," Lee added.
"Our capital position remains robust and we remain committed to our dividend policy which is aligned with market expectations for the full year final 2013 dividend."
Last week, RSA stated that the review is continuing and it is too early to draw any firm conclusions or to reliably estimate the financial impact.