IAG's profits jump 21%

Insurance Australia Group (IAG) has released its full year 2025 financial results. The trans-Tasman insurance giant reported an insurance profit of $1.74 billion, a jump of more than 21%. Net profit after tax (NPAT) was up by more than 50% to $1.36 billion.

“We had strong momentum through FY25,” said CEO Nick Hawkins. “By delivering on our strategy and investing for growth, we can execute at scale and are set to protect significantly more Australians and New Zealanders.”

The release said IAG paid out more than $10 billion in claims but “all divisions contributed positive financial and operational outcomes.”

The results overview said net profit was driven by an 8% rise in net earned premiums.

Technology upgrades for the intermediated business

Hawkins also referred to upcoming improvements in broker offerings.

“We commenced a significant technology transformation in our Intermediated businesses which will fundamentally change how these businesses underwrite and distribute insurance,” he said.

Across the business, gross written premium (GWP) was $17.11 billion with a final year dividend of 31 cents, up nearly 15% on last year.

Hawkins said that strategic alliances with Royal Automobile Club of Queensland (RACQ) and The Royal Automobile Club of Western Australia (RAC) are set to add around $3 billion in GWP.