EXCLUSIVE: Liberty Insurance want 70 redundancies

Liberty Insurance has this hour announced that it is looking for 70 redundancies from their Cavan and Dublin operations, the Celt can reveal.

A statement from the company said: 'Difficult market conditions continue to hamper commercial sector but the company anticipates changes will position it to achieve close to financial break even

'Liberty Insurance, the Irish subsidiary of Liberty Mutual Insurance Group, announced that it is commencing a consultation process with staff that is expected to result in 70 voluntary led redundancies primarily from the company’s commercial and back office functions in its Cavan and Dublin offices.

'The announcement follows a strategic review of the company’s operations which highlighted the need to prioritise higher performing segments. This will result in a realigned commercial function focused on delivering growth in targeted segments of the market. It is anticipated the company will achieve close to financial break even in 2016.

'The strategic review noted the difficulties facing the insurance sector in Ireland, including market volatility, claims increases and excess capacity for commercial liability insurance which continues to drive pricing irrationality. It also highlighted the company’s core motor and household segments have improved over the past twelve months although the market continues to be challenging.

'The consultation period with employees from the impacted areas is expected to last for 30 days.'

Commenting on the announcement, Tom McIlduff, Chief Executive, Liberty Insurance, said: “This decision is an unfortunate one but reflects the difficulties in the Irish Insurance market. We need to restructure our commercial division to reflect challenging market conditions. We will continue to be focused on our personal and commercial lines of business, and are committed to our broker and direct channels. Making these changes, while difficult will further enable us to strengthen our long term competitive position in Ireland.

'Liberty Mutual is committed to the Irish market and has invested €300million over the past five years to build a sustainable Irish business. We have brought innovation to the Irish market and will continue to launch new initiatives over the coming months.

'Our priority now is our employees. We will do everything we can to support those impacted by these changes during the consultation period and beyond through career management expertise and career counselling,' he said.