Philip Smith, who is currently serving a suspension as chief executive of insurer RSA, has agreed to "step back" from his role as president of Insurance Ireland, the national representative body for the sector.

A spokesman for Insurance Ireland confirmed to The Irish Times last night that Mr Smith had agreed to step aside “pending the outcome of an internal process within RSA”.

On November 8th, RSA's UK-listed parent company suspended Mr Smith along with the company's chief financial officer Rory O'Connor and claims director Peter Burke pending the outcome of an investigation into issues in the Irish claims and finance functions that were identified during what it has said was a routine internal audit.

These issues resulted in RSA advising the stock market that its operating profit would be £70 million lower than market expectations.

RSA has said no findings have yet been made against the three executives at its Irish subsidiary.