IAG's Profits Surge by 91% as Premiums Continue to Rise

CEO Signals Ongoing Premium Increases Despite Easing Inflation

Insurance Australia Group (IAG) has reported a significant 91% increase in net profit for the first half of the fiscal year, reaching $778 million.

This substantial growth is attributed to favourable weather conditions and strategic business operations.

Despite a general easing of inflationary pressures, IAG's CEO, Nick Hawkins, has indicated that insurance premiums are expected to continue rising, albeit at a slower pace.

Hawkins highlighted that while inflation has impacted both insurers and policyholders, the future appears more favourable, with inflationary pressures expected to diminish over the next six to twelve months. However, he noted that premiums would likely increase in line with inflation, reflecting ongoing challenges in the insurance market.

For tradespeople, this trend underscores the importance of regularly reviewing insurance policies to ensure they remain cost-effective and provide adequate coverage. Staying informed about market developments and exploring competitive options can help mitigate the impact of rising premiums on business operations.

Published:Saturday, 4th Oct 2025
Source: Paige Estritori

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Insurance News

IAG's Profits Surge by 91% as Premiums Continue to Rise

04 Oct 2025: Paige Estritori

Insurance Australia Group (IAG) has reported a significant 91% increase in net profit for the first half of the fiscal year, reaching $778 million. This substantial growth is attributed to favourable weather conditions and strategic business operations. Despite a general easing of inflationary pressures, IAG's CEO, Nick Hawkins, has indicated that insurance premiums are expected to continue rising, albeit at a slower pace. - read more

ACCC Scrutinises IAG's Proposed Acquisition of RAC Insurance

04 Oct 2025: Paige Estritori

The Australian Competition and Consumer Commission (ACCC) has expressed concerns regarding Insurance Australia Group's (IAG) proposed acquisition of the Royal Automobile Club of Western Australia's (RAC) insurance business. The deal, valued at A$1.35 billion (approximately $877 million), aims to expand IAG's presence in Western Australia. However, the ACCC warns that this consolidation could diminish competition in the region's motor and home insurance sectors. - read more

Steadfast Group Acquires Majority Stake in Novum Underwriting Partners for Global Expansion

25 Sep 2025: Paige Estritori

Steadfast Group, Australia's largest general insurance broker network, has announced the acquisition of a majority stake in Novum Underwriting Partners. This strategic move, revealed on September 1, 2025, is a pivotal step in Steadfast's ambition to expand its global operations. - read more

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Dictionary

Actuary

noun

A professional who analyzes the financial costs of risk and uncertainty using mathematics, statistics, and financial theory.

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