Bodyshop repairer trade body, the Retail Motor Industry (RMI) has withdrawn a press statement after it sparked a row with Royal & SunAlliance.
The statement was received by Insurance Times on Monday, but was hastily retracted the following Tuesday.
RSA said it welcomed the RMI's decision to withdraw the statement as it believed it to contain certain inaccuracies.
The insurer said in a statement: "When we pointed out the inaccuracies to the RMI, they agreed it was not in their best interests to pursue the statement, and that the interests of their members would be better served by developing an on-going dialogue between both of our organisations."
The statement added: "At no stage did RSA threaten the RMI with legal action."
An RSA spokesman stressed it remained fully committed to its 260 approved repairers, in addition to its four own bodyshops in Birmingham, Luton, Glasgow and Leeds.