Insurance Australia Group (IAG) has announced a half-year profit of $505 million, a decrease from the $778 million reported in the prior corresponding period. IAG is a multinational insurance company that provides a range of general insurance products, including home, motor, and business insurance, across Australia and New Zealand. The company operates several brands, including NRMA Insurance, CGU, and Swann Insurance.
The reported result includes a one-off impact of $174 million related to severe seasonal weather events affecting RACQ Insurance (RACQI). This impact occurred immediately following IAG’s acquisition of RACQI and before the business was integrated into IAG’s comprehensive reinsurance program, which is scheduled for January 2026. The company noted that this event significantly affected their interim results.
In addition to the profit announcement, IAG declared an interim dividend of 12 cents per share for its shareholders. The company also announced its intention to commence an on-market share buyback program for up to $200 million. This buyback program reflects the company’s strong capital position and commitment to delivering value to shareholders.
The share buyback program will be subject to market conditions and regulatory approvals. IAG will continue to assess its capital requirements and opportunities to optimise shareholder returns as part of its ongoing financial management strategy.
