123 Money acquisition propels insurer to second place in Ireland

RSA Insurance Group has bought 123 Money (123.ie), a direct distributor of personal lines insurance product sin Ireland.

123 Money offers motor, home and pet insurance and has around 17,000 policyholders. The Irish firm generated €60m ($50m) of premium income in the year ended March 31 2010, and its gross assets of €20m.

On completion of the transaction, RSA will pay €65m (£54m) in cash plus a further dividend element linked to future performance targets.

“The acquisition of 123.ie complements our existing intermediated distribution capability by giving us a leading direct presence and will make RSA the number two general insurer in Ireland,” said Simon Lee, RSA’s CEO of international business.

Completion of the transaction is subject to regulatory approval.