IAG NZ reports "financially strong" results

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

IAG New Zealand announced an insurance profit of AU$606 million, up from AU$457 million with a reported insurance margin of 27.4% (FY24: 22.5%). This result, said the release, reflects the lower cost of natural disasters.

“New Zealand is highly exposed to natural hazards and weather-related disasters and their growing impacts,” said Amanda Whiting (main picture), CEO of IAG New Zealand. “We must remain financially strong to be able to pay claims and help our customers recover from the next big event, and today’s results help us do this.”

The results release from Sydney said IAG paid out more than $10 billion in claims in Australia and New Zealand 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

Managing director Nick 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 AU$17.11 billion with a final year dividend of AU31 cents, up nearly 15% on last year.

“IAG is committed to keeping insurance accessible and affordable for New Zealanders and will continue to advocate for a pragmatic approach to address the growing risk of extreme weather and natural hazards,” said Whiting.