Tuesday 12 December 2017

RSA chief makes dramatic resignation after claims of being the company’s ‘fall guy’

Philip Smith has resigned dramatically
Philip Smith has resigned dramatically

Philip Smith has resigned as chief of RSA Insurance in Ireland following his suspension from the company amid serious financial allegations.

According to Newstalk this morning, Mr Smith released a statement announcing his departure from the insurance company.

Smith said that he and his family have been traumatised by recent events and claims the ongoing investigation by the RSA in the UK has a “predetermined outcome”.

He said he would be able to “pursue justice better” outside a “current flawed process”.

Also included in the statement are claims that he was used as the “fall guy” for the current problems at RSA. 

Earlier this month, Mr Smith and two other senior executives were suspended from the company following allegations at RSA’s finance and claims function unit in Ireland.

RSA had to prop up the Irish business with a €100m capital injection and is also currently reviewing the reserve levels of the statement here in Ireland.

Newstalk also reports that the Central Bank has had a number of concerns at how quickly RSA grew their business in Ireland. 

Five years ago, it went from being the fifth biggest insurer to the top insurer in the Irish motor market.

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