British insurer Royal & Sun Alliance said today 2003 profit fell 38 per cent, towards the bottom of forecasts, and it set aside more money to pay out claims.
Royal & Sun, which closed its life insurance fund to new business in 2002 and issued new shares last year to shore up its balance sheet, reported an operating result of £140 million, down from £226 million a year earlier.
Royal & Sun increased reserves against claims, mainly in the United States, by £96 million in the fourth quarter, reducing its contingent liability to £200 million from £300 million.
