Zurich Insurance has confirmed this morning that it’s considering a bid for RSA - both insurance companies employ hundreds of people in Ireland, and any merger of the two may raise concerns about job losses due to possible consolidation.

RSA Ireland has experienced significant difficulties in recent years leading to the departure of its chief executive Phillip Smith and other key executives two years ago following the discovery of financial irregularities in its accounts.

The accounting scandal in Ireland prompted a series of profit warnings - but the company has strong market presence in Scandinavia, Canada, the UK and Latin America.

RSA’s UK parent, now run by former Royal Bank of Scotland head, Stephen Hester, has had to pump up to €400m in additional capital into its Irish division since then.

It is also currently appealing a €1.25m award made by the Employment Appeals Tribunal to Mr Smith for constructive dismissal.

RSA group has a current market valuation of about £4.5bn.