RSA share price drops on results warning

<p>RSA Ireland’s chief executive has been suspended.</p>

The share price of insurance company RSA has dived today (November 11th) after the company suspended the chief executive of RSA Ireland.

Philip Smith and two other executives at the firm were suspended, but the firm did not reveal the reasons behind it.

Group chief executive Simon Lee stated that the problems at the company could harm operating results by as much as £70 million in 2013.

"We are extremely disappointed with the issues which have been identified and their financial impact on the Group," he said in a statement.

Mr Lee added no policyholders have been affected and stressed issues were contained to RSA Ireland, though he did not give any more details.

At 12:05 GMT, the share price of RSA – which owns brands such as More Than – was down by around nine per cent compared to the start of the session.

However, stocks had bounced back from earlier in the day, when they were as much as 14 per cent lower.

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