RSA Insurance today reached out to investors ahead of what threatens to be a stormy AGM in the City later this month.
The company said it would be briefing shareholders over the next few months to “provide more detail on the significant opportunities we see across RSA”.
Simon Lee, the insurer’s chief executive, has been under pressure since cutting the company’s dividend for the first time in a decade in February. Not only that, but the insurer then handed Lee a cash bonus of £480,000 as part of a £1.5 million pay package — a move that has angered some investors.
Sources close to the company played down the likelihood of a significant revolt at the shareholder meeting on May 15, although some form of rebellion is anticipated. The insurer is reported to have held talks last month with some of its largest investors, who include Blackrock and Legal & General, to limit the damage.
RSA’s first quarter results show premiums up by 7% to £2.4 billion, and Lee said RSA had “good momentum”.
