A new insurance company, Setanta Insurance, based in Malta and operating in Dublin, has begun selling commercial motor insurance through brokers and has secured a major tranche of business from a large broker network.
Setanta, which was founded by the firm's chairman and chief executive Mike Matthews, started trading on October 1st.
Mr Matthews said Setanta had sold a large number of commercial motor policies through Brokerline Direct, a network of about 110 brokers around the State, which has transferred some of its business from Eagle Star.
The company sells policies that offer open driving on commercial vehicles for 24 to 70-year-olds, and covers employees to drive other commercial vehicles.
It also offers a 60 per cent no-claims discount, which Mr Matthews says is the largest on offer in the market.
Mr Matthews said the company would start selling private motor insurance from next month. He declined to say what deals the firm would offer.
Mr Matthews said Setanta could offer lower rates by keeping its overheads down and by offering brokers insurance quotes online. He said he had 25 years' experience in the international insurance business, and was involved in setting up two insurers with operations in Ireland - Starr Excess International and Probus Insurance Company.
Setanta Insurance was established with an initial capital investment of €7.5 million. Mr Matthews said there was further capital available to fund the company in future. The company's reinsurer was Munich Re.
He said the company decided to base itself in Malta as he found the regulatory regime there "very welcoming and professional", and it was a low-cost location to set up a business.
He said the company would also be able to enter other EU markets from its base in Malta.
Mr Matthews declined to name the investors in Setanta, but said they were both international and Irish.
The share register lists 14 private individuals with addresses in Dublin, Wicklow, Wexford and Donegal, according to company records in Malta.
A Maltese company, Ganado Trustees & Fiduciaries, holds 5.7 million of the issued shares in the company.
