RSA has announced the impact of the Chilean earthquake on its business.
RSA Insurance Group is the leading general insurer in Chile through its wholly-owned subsidiary, Royal & SunAlliance Seguros Chile. The February 27 earthquake caused widespread damage throughout Chile and, while the situation is still evolving, RSA estimates a cost of around £30 million – or nearly $47 million - net of reinsurance, for claims arising from the event. RSA currently expects to achieve a combined operating ratio of around 95% for 2010.
Based on this estimated cost, RSA does not expect the earthquake to affect this guidance.