Lloyd’s of London said it is investigating “a prior matter” following a published report that the market’s former CEO John Neal was being investigated for an alleged affair with a subordinate.
Last week, American International Group said Mr. Neal would not be joining the insurer as president as planned on Dec. 1 “due to personal circumstances” but did not provide further details.
The Wall Street Journal reported Wednesday that Lloyd’s was probing the nature of Mr. Neal’s relationship with the market’s former director of corporate affairs. Other staff had complained about her preferential treatment, the paper said, citing people familiar with the matter.
Lloyd’s said in a statement that its chairman, Charles Roxburgh, in October ordered a review of the market’s processes following market speculation concerning possible “historic breaches” of its governance policy.
“In recent days, new information has emerged. In response, Lloyd’s has launched an investigation with the support of a law firm. It would be inappropriate to comment further while this work is ongoing,” Lloyd’s said in a statement.
Prior to joining Lloyd’s in 2018, Mr. Neal headed Australian insurer QBE. The company reduced Mr. Neal’s annual bonus in February 2017 due to “personal decisions,” which were widely reported to involve a relationship with an assistant. He left the company a few months later.
