KPMG has been Beazley’s auditor since the company listed in 2002, and while the firm was requested to submit a non-competitive tender in 2016, the provision of external audit services has not been subject to a formal tender process since that date.

Beazley has now announced that following a formal tender process, EY is to be its new auditor with effect from the year commencing 1 January 2019. EY will conduct the audit of the company's financial statements for the financial year ending 31 December 2019.

The insurer said KPMG will resign as auditor of the company following completion of the 31 December 2018 audit. The firm did not participate in the tender process due to the rules on the mandatory rotation of auditor

According to its 2017 annual report, Beazley paid KPMG $900,000 (£684,540) in audit fees while fees paid for non audit and assurance services were $1.4m (£1.06m), meaning the firm received a total of $2.3m (£1.75m).

Report by Pat Sweet