The Bermuda-based insurance firm, Aspen Insurance Holdings, has confirmed the decision after uncovering “material weaknesses” in its internal controls over financial reporting.
Since the 6th July, Ernst & Young (EY) has taken the place of KPMG as Aspen’s accounting firm for the 2022 fiscal year.
Aspen first indicated that it had uncovered “deficiencies” in its internal controls during its results report for 2021 which was released in May 2022. Concerns included an overstatement of underwriting premium due to incorrect treatment of foreign exchange gains and losses and a lack of “completeness and accuracy” with information used during income tax assessments.
The firm additionally flagged the “misapplication of dedicated pay worth measurement costs when valuing privately-held investments relatively than funded valuations,” ensuing within the incorrect valuation of funding.
Aspen also pointed out “inadequate sources with applicable degrees of data inside our outwards reinsurance operations and accounting workforce”.
The firm is now working to fix these oversights through new credit controls and additional layers of management review, according to Aspen.