Insurance Australia Group Ltd · ASX:IAG
Insurance Australia — Investor Day (November 2006)
95 slides from Insurance Australia's investor day presentation, Nov 22, 2006
Slide 1: ASX cover letter: Investor Briefing
Insurance Australia Group Limited ABN 60 090 739 923 GPC BOX 383 Sydney NSW 2001 fag.com.au IAG insurance Australia Group y 22 November 2006 Manager, Company Announcements Office Australian Stock Exchange Limited Level 4, Exchange Centre 20 Bridge Street SYDNEY NSW 2000 Dear Sir/Madam INSURANCE AUST
Slide 2: Investor Briefing November 2006
© IAG insurance Australia Group Investor Briefing 22 November 2006 Insurance Australia Group Limited ABN 60 090 739 923
Slide 3: Operations CEOs all presenting
Operations CEOs all presenting (excluding Hastings) IAG insurance Australia Group Aust Personal Business New Zealan Justin Breheny Brands: Pal AnSuRAE ansasncsence scio aa @RACY ” Mario Jacki Nicholas Pirone Johnson Hawkins $1,836m $672m $971m C cau _ @’ \esu a 7 ‘Gece Inamrarsete Business Partners
Slide 4: Agenda
Agenda © IAG usta, Group ¢ Introduction — Michael Hawker 1.30 — 1.409m e Personal Lines (direct) — David Issa 1.40 — 2.20pm ¢ Commercial Lines — Mario Pirone 2.20 — 3.00pm e Business Partnerships — Jacki Johnson 3.00 — 3.40pm ¢ Break 3.40 — 4.00pm ° IAG New Zealand — Nicholas Hawkins 4.00 — 4.40pm ¢
Slide 5: Personal Insurance
IAG insurance Australia Group Personal Insurance Investor Briefing 22 November 2006 David Issa CEO, Personal Insurance Insurance Australia Group Limited ABN 60 090 739 923
Slide 6: Agenda
Agenda © IAG insurance Australia Group ¢ Overview of short-tail business — Overall approach — Context on price positioning — Marketing execution — Results ° Overview of long-tail — Approach — Results and ongoing objectives e Wrap up and next steps
Slide 7: Focused strategy to strengthen business fundamentals
Focused strategy to strengthen business fundamentals Maintain Group ROE of 1.5 X WACC (~15%) | ‘N f Revenue growth Improve productivity | r Increase : Focus our traffic flow front line on through our distribution channels sales conversion ~ Manage margins and maintain cost focus Increase retention I
Slide 8: State based approach recognises need for distinct strategic and tactical responses
State based approach recognises ) Ld es @ J y need for distinct strategic and tactical AG responses Kista ro Pp WA Grow Motor & Home Position —- September 2006 Maximise existing base and grow in selected profit pools. pl. nie INSURANCE [| Growth — opportunity to act as a challenger Mixed — Opportuni
Slide 9: Leveraging a competitive price position to protect share - NSW
Leveraging a competitive price © position to protect share - NSW ata , — five year best sta Group ¢ Ongoing strength of our insurance margin allowing us to maintain a competitive price position in the regions of NSW which exhibit the greatest potential. ¢ Has provided the platform for growth in targ
Slide 10: Marketing efforts focused on consistent, clear retail messages and greater visibility
Marketing efforts focused on as © consistent, clear retail messages and ~ greater visibility Insurance Australia Group * Strong retail messages emphasising features and benefits and reinforcing convenience, recognition, value for money and clarity ¢ Use of simple tools to increase unprompted awarene
Slide 11: Our advertising spend is more effective than last year
Our advertising spend is more y effective than it was last year IAG Insurance NSW Ad spend by competitors Group $14,000 In the last six months, NSW $12,000 | Sour ad spend was $10.1m — 10,170 9,996 almost 15% less than last year $10,000 $8,000 A significant portion of our spend last year was in resp
Slide 12: Marketing efforts, competitive pricing and focused sales delivering strong sales calls and conversion
Marketing efforts, competitive pricing and focused front line sales management are delivering strong sales calls and conversion rates Telephone business centres national sales calls 160,000 150,000 140,000 130,000 120,000 110,000 100,000 SLPS LLG LLL HF OH © SF SF SP HS OS § Sok MSW es cc yr s we oF
Slide 13: Solid renewal trends in our core NSW comprehensive car market
Solid renewal trends in our core NSW y comprehensive car market 4 IAG insurance Australia . Group NSW Comprehensive car 96.0% 4 Week ending | 22/10/2006 94.0% 4 92.0% | 90.0% 4 88.0% Weekly Renewal Rate 86.0% 84.0% 82.0% 80.0% om % ay By ey eB R&B % “ey & *, %, a, B, % we & BR & %e, %, Ay %y By 6, “
Slide 14: New business volumes also up for NSW comprehensive car
New business volumes also up for © NSW comprehensive car ac insurance Australia . . Group Comprehensive car new business volume vs SPLY 20% 15% 10% 5% 0% Sep-05 Oct-05 Nov-05 Dec-05 Jan-06 Feb-06 Mar-06 Apr-06 May-06 Jun-06 Jul-06 Aug-06 Sep-06 Oct-06 -5% -10% -15% -20% ~#- NSW Comprehensive car 13
Slide 15: NSW home insurance also sustaining high renewal rates
NSW home insurance also sustaining @ ) high renewal rates © insurance Australia NSW Home Group 95.0% Week ending 22/10/2006 Weekly Renewal Rate a ta ta, Mn Be, tt yy ty Nig Meg Ma te tg 8, 6, iy, %, Ny, “A "OQ %, % %, % by, b, &, % % %, % "5 Oy Tha, May a ay te te ay a” "a May Uy “a, ay og Oye ‘ % a
Slide 16: New business volumes also up for NSW home insurance
New business volumes also up for y NSW home insurance © insurance Australia Group Home new business volume vs SPLY Home (Building, Con't & Hpac x 2) 25% 20% 15% 10% 5% 0% 5% 10% 15% -20% Sep-05 Oct-05 Nov-05 Dec-05 Jan-06 Feb-06 Mar-06 Apr-06/ May-06 Jun-06 Jul-06 Aug-06 Sep-06 Oct-06 —O@— NSW Home
Slide 17: NRMA status as #1 brand in the NSW market remains unchallenged
NRMA status as #1 brand in the NSW market remains unchallenged NRMA Insurance Brand Health 60 50 40 30 20 The gap between NRMA and 10 2nd placed player is also greater than it has been since Apr-Jun05 (at 11pts) 0 B'mark Sep-Dec Jan-Mar Apr-Jun Jul-Sep Oct-Dec Jan-Mar AprJun Jul-Sep Oct-Dec Jan-Mar
Slide 18: Record high results for non-customer predisposition towards NRMA in NSW
Record high results for non-customer y predisposition towards NRMA in NSW jpcG insurance Australia Group 60 55 4 50 + 4% 45 40 4 35 4 30 a4 | Q1 Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Qi |] Q2 | Q3 | Q4/ QI Q2 | Q3 02 03 03 | 03 | 03 04 04 04 | 04 05 | 05 05 | 05 | 06 06 | 06 Non Customer Predisposition
Slide 19: Solid trends also evident in other States
Solid trends also evident in other y States IAG insurance Australia Group Queensland + Strong growth off the back of ongoing targeted strategy + New business volume above budget + Renewal business tracking well + New business/up- sell/cross-sell conversion rates all tracking above expectations Weste
Slide 20: PIF growth strong in Queensland and Western Australia
© IAG PIF growth has been particularly strong in Queensland and Western Australia insurance Australia Group Motor and Home policies in force trends Policies in force - WA Policies in force - QLD did 19
Slide 21: On the cost side we are reinvigorating our supply chain and cost base
On the cost side we are reinvigorating © our supply chain and cost base IAG insurance Australia Group Implement motor initiatives to improve performance of our preferred smash repairer network — Issues with repairers last year led to increased average claims costs ~- Average claims size is in the li
Slide 22: We have also strengthened relationships with our repairer network and the MTA
We have also strengthened © relationships with our repairer ac network and the MTA Austala Australia Group ¢ Stable network of quality repairers — 908 nationally ¢ Working with repairers and the MTA NSW to find solutions to industry issues such as skills shortage — Jumpstart programme offering appre
Slide 23: Overview of long-tail
© IAG Insurance Australia Group Overview of long-tail Insurance Australia Group Limited ABN 60 090 739 923
Slide 24: Strategy for NSW CTP is to achieve growth while managing margins
Strategy for NSW CTP is to achieve © growth while managing margins IAG insurance Australia Group Current PIF market share at 36.4%"), down from 38%") six months ago — Seasonality ~ Aggressive campaigning by competitors Aim to return to the 38% this financial year through: -~ More sophisticated portf
Slide 25: Improving profitability by reducing exposure to under 25's
We have been improving our profitability by reducing our exposure © to under 25's... insurance Australia Group NRMA NSW CTP % of policies sold to under 25 year olds 12.0% 11.5% 11.0% 10.5% 10.0% 9.5% 9.0% 8.5% 8.0% Se5S5S S88 9538958938358 6 5 Do § Do 5 DS FF DS FF DS FE D a6<z26< 26 ft 2G FFG tT EG
Slide 26: Improving mix of vehicle age
...and improving mix of vehicle age, now with 50% of our book in post ’97 vehicles NRMA NSW CTP % of policies sold by age of vehicle 60% 50% 40% 30% 20% 10% ee i ee ee ee 0% © 8se2g 8 88 8$ 8 ggg 8 So 2 9 ¢ 8 § & F £€ BSB BP 2 B oO 2 6 § 2 = ¢€ = 3 7 @ $ © emi Pre 1981 —we— 1981-1997 tins Post 1997
Slide 27: CTP is developing into a better quality portfolio
As a result, CTP is developing into a © better quality portfolio ac insurance Australia Group ¢ Combination of reduced exposure to under 25’s and improving mix of vehicle age have translated into lower claims frequencies ¢ Our frequencies have reduced significantly since September 2005 ¢ Data indica
Slide 28: Summary
Summary © IAG insurance Australia Group e We are seeing the success of the ‘back to basics’ strategic direction we’ve defined in the last eight months through financial results and lead business indicators ¢ While we have some growth challenges in NSW CTP, we have a better quality book ¢ Results to
Slide 29: Questions
© IAG Insurance Australia Group Questions Insurance Australia Group Limited ABN 60 090 739 923
Slide 30: CGU Insurance
IAG insurance Australia Group CGU Insurance Investor Briefing 22 November 2006 Mario Pirone CEO, CGU Insurance Insurance Australia Group Limited ABN 60 090 739 923
Slide 31: Presentation outline
Presentation outline ¢ Overview of the CGU business Market cycle Key industry trends Business strategy q IAG insurance Australia Group 30
Slide 32: Overview of the CGU business
Overview of the CGU business © Over $1.8 billion GWP —— $1.3 billion commercial IAG — $237 million workers compensation (risk) joetance — $298 million personal lines Group Main product suite Property (Fire & ISR) Motor: fleet, commercial and farm Public and products liability, professional indemnity
Slide 33: Portfolio snapshot
Portfolio snapshot y Diversity across insurance classes and states provides earnings stability IAG % Commercial lines % Commercial lines Me GWP by product « GWP by State « Group 100% 100% Portfolio characteristics * Strong SME focus largely through package policies - high retention and low volatilit
Slide 34: Distribution approach
Distribution approach y Mario Pirone IAG CEO insurance Australia Group Distribution Product & . on Eee ey Operations, Human Resources, Strategy, Communication Distributes via international and national broker network Corporate Key competitors: OBE, Vero. ACE, Chubb and AlG Distributes via metropolit
Slide 35: Managing portfolio health
Managing portfolio health y +30% 0% Annual Volume Growth 30% 0.75 Topline _challenges 1.00 Rating Strength (Current) 1.25 IAG insurance High risk Coun « Review portfolio performance and implement remedial pricing « Review risk selection criteria Stressed position « Strategic review of portfolio - un
Slide 36: Claims
Claims Value proposition Understand intermediaries’ needs and help them grow Flexibie claims solutions for customers Technical expertise and claims support Reducing claims duration and associated costs y Delivery | AG Dedicated teams servicing each intermediary Irsurance Local claims service Group 2
Slide 37: Market cycle
Market cycle y Conditions will remain challenging for the next 12 months IAG Insurance Commercial lines premium movements Australia Changes in premium rates (%) — based on JP Morgan General Insurance surveys Product trends 94 ~'98: irrational "99 —'02: Increased pricing 03 —'05: Technical . pricing
Slide 38: Key industry trends
Key industry trends y IAG Insurance Australia Group Corporate insurers expanding focus to include affinity, middle market and SME business 1S Australian Market Major companies increasingly exploring alternatives to insurance Increased competition from offshore players Niche underwriting agencies bro
Slide 39: CGU's 'First Choice' strategy
CGU’s ‘First Choice’ strategy y IAG No. 1 in SME / Regional / Insurance Brokered Personal Lines estralia “These markets have reduced / volatility and wy produce more ; Top 3 in all other markets ae for br K 38
Slide 40: Summary
Summary © IAG insurance Australia Group ¢ The current environment is challenging, placing pressure on margins ¢ As the market remains soft, we'll maintain our pricing discipline to reduce the likelihood of writing unprofitable risks ¢ We're adopting a proactive, strategic approach to managing our bu
Slide 41: Questions
© IAG Insurance Australia Group Questions Insurance Australia Group Limited ABN 60 090 739 923
Slide 42: Business Partnerships
IAG insurance Australia Group Business Partnerships Investor Briefing 22 November 2006 Jacki Johnson CEO, Business Partnerships Insurance Australia Group Limited ABN 60 090 739 923
Slide 43: Business Partnerships
Business Partnerships © Jacki Johnson IAG insuranc CEO Australia Group [ Risk management Third party services distribution y National employer Financial institutions services & affinity groups \. f NSW workers’ Motor dealers & compensation motor manufacturers NN i ~ Victoria workers’ compensation No
Slide 44: Strategic framework 2006 - 2011
Strategic framework 2006 - 2011 Building and strengthening partnerships Opportunity management i ia vaddelatbiaia responding to market changes People and values Intellectual property and technology Customer focus © IAG insurance Australia Group 43
Slide 45: Business Partnerships overview
Business Partnerships overview y Customers Market share IAG ¢ 145,000 employers (30% through brokers) * 30.5% Vic workers’ compensation oo ance * 200 financial institutions ¢ 20% NSW workers’ compensation Coun ¢ 1,300 motor dealers (includes motorcycle) « 40% FI distribution channel Employees 1,759
Slide 46: Business unit size and composition
Business unit size and composition © Risk Management Service IAG Income FY06 $124m . . insurance ¢ NSW and Victorian w/comp contracts fustalia renewed in 2005 and 2006, respectively VIC WC, 46% SAWC, 8% « SA w/comp contract ceased 30 June 2006 Other,3% * Fees consist of base fees, performance fees a
Slide 47: Business unit size and composition
Business unit size and composition © IAG insurance Third Party Distribution GWP Third Party Distribution GWP Coun by Channel FY06 $672m by State FY06 $672m SA QLD TAS Dealer 2% NT 9, pp 18% 0% Head Office 1% WA 8% | NZ ‘Direct vIC 4% 26% 24% * Primarily distributed by financial institutions and moto
Slide 48: Environmental analysis
Environmental analysis © Key trends Customers Regulatory framework Competitor activity Value chain ¢ Consolidation of Fls and motor dealers IAG insurance * New entrants (including non insurers) Australia * Change in lending behaviour and consumer spending trends * Consumer borrowing habits changing
Slide 49: CGU - leader in workers' compensation
CGU - leader in workers’ compensation © 2005 market share IAG Be insurance Australia Group Northern Territory # Underwriter MS NSW 1 Allianz 34 # Operator MS 2 TIo 32 4 GU 23 3 CGU 17 2 Allianz 23 4 QBE 47 3 QBE 21 Western Australia 4 GIO 19 # Underwriter MS ACT 1 ceu 28 # = Underwriter MS 2 OBE 20
Slide 50: Customer snapshot - Victoria
Mean Satisfaction Customer snapshot — Victoria Improving the customer experience VWA 2005/06 injured worker composite index by agent Scheme 7.05 “wan © This has been achieved by focussing on ‘Customer First’ - improving employee engagement, responsive and reliable service supported by simplified pro
Slide 51: Why do customers purchase through a financial institution?
Customer snapshot Why do customers purchase through a financial institution? IAG Insurance Australia National and regional partner brand strength Alignment and convenience - loan to insurance Product and price Insurer - market reputation and experience Building Society: “...sees itself as a Financia
Slide 52: Why do financial institutions sell general insurance?
Customer snapshot © Why do financiai institutions sell general insurance? IAG insurance Bank: “... there has been more focus on insurance as Creun a way to obtain non-interest income and spread the sources of income.” Non-interest income Regional bank: “View insurance as an important part unas of th
Slide 53: Key partnership opportunity
Key partnership opportunity Increase penetration into the six banking institutions 7,000,000 5 6,000,000 + 5,000,000 5 Fl customer 4.000.000 4 base — 3,000,000 +4 2,000,000 + 1,000,000 + IAG Insurance Australia Home - Policy penetration of major Fl’s into Customer Base Group L. t 5% 0 5% 10% 15% 20%
Slide 54: Motor dealer and motorcycle channel
Customer snapshot y Motor dealer and motorcycle channel Z IAG insurance Australia Group Event driven sales model * Change of ownership Motorcycle = Financing * Purchase protection Motor * Change of ownership ; ) + Financing vehicle * Purchase protection Credit * Debt creation time * Financing * Life
Slide 55: Business partnerships - longer term
Business partnerships - longer term © IAG Insurance Key opportunities: Necro * Consolidation of financial institutions « Consolidation of motor dealers * Potential privatisation of NSW workers’ compensation « Building long-term capability in personal injury management * Technology * National workers
Slide 56: Questions
© IAG Insurance Australia Group Questions Insurance Australia Group Limited ABN 60 090 739 923
Slide 57: IAG New Zealand
IAG insurance Australia Group IAG New Zealand Limited Investor Briefing 22 November 2006 Nicholas Hawkins CEO, IAG New Zealand Limited Insurance Australia Group Limited ABN 60 090 739 923
Slide 58: IAG NZ history
IAG NZ history Acquisition of State Insurance Acquisition of New Zealand Insurance (NZI) | Establishment of Acquisition of Swann NZ 50.1% of Mike —_ Limited Henry Travel Insurance Integration of State and NZI into one company Acquisition of - National Auto Club ~ Clipper Club y IAG insurance Austral
Slide 59: Our family of brands
Our family of brands © IAG Insurance Australia y Group NEW ZE. ZEALAND Business Partners | Broker NA fj Nac pd Bh Nhe-r thre Channel Direct ee STATE HSBC «> Thoswert’s koeil bark A MARINE INSURANCE OT) MARINE Commercial STATE © National Traraport insurance BNSC
Slide 60: Business by distribution and product
Business by distribution and product © State NZI O Business Partners IAG insurance Australia Group 5% 4% 12% 12% 15% 18% 6% oe co 28% @ Home owners Home content O Private motor vehicle @ Material damage/business interruption @ Commercial motor vehicle @ Liability O Other commercial 59
Slide 61: We are the largest insurer in NZ
We are the largest insurer in NZ 1,800 1,600 1,400 1,200 1,000 GWP - $(m) 800 600 400 200 Total Personal Lines Total Commercial Lines IAG NZ B Total Market Source: ICNZ — June 2006 © IAG insurance Australia Group 60
Slide 62: Financials
Financials Expense ratio 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% 1HO5 2HO5 Combined ratio 100.0% 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 4HO5 2HO5 4HO6 1HO6 2HO6 2HO06 FY05 FYO5 FYO6 FY06 Loss 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% ratio IAG insurance Australia Group 0.0%
Slide 63: Insurance cycle relationship to the NZ economy
Insurance cycle relationship to the © NZ Economy IAG insurance Historically, GWP growth has been in sync with but more volatile than GDP growth Coun 15% Premium growth CAGR 4 ““s — (dashed blue line) (40 years) =~, a 4 54% 10 ben, / \ ny ~ \ vA s 5 AN Nominal \ 7 GDP CAGR growth (10 years) ~ f (grey
Slide 64: GWP trends in NZD
GWP trends in NZD y IAG insurance Australia Group 1,200 1,082 1,087 1,000 800 & S600 537 546 536 551 400 200 0 Half-year Half-year Half-year Half-year Full-year Full-year ended Dec 04 ~endedJun05 endedDec05 endedJun06 endedJun05 ended Jun 06 63
Slide 65: Key areas of focus over next months
Key areas of focus over next 12 — ) 24 months © IAG insurance Australia Group 1. Continue to build capability and capacity (eg: liability) 2. Leverage technology innovation to reduce duplication and costs 1. New system implementation to drive out costs and enhance pricing sophistication to improve u
Slide 66: Questions
© IAG Insurance Australia Group Questions Insurance Australia Group Limited ABN 60 090 739 923
Slide 67: Asia
IAG insurance Australia Group Asia Investor Briefing 22 November 2006 Justin Breheny CEO, Asia Insurance Australia Group Limited ABN 60 090 739 923
Slide 68: Presentation outline
Presentation outline e Why Asia? e Where are we now? ¢ Our strategy q IAG insurance Australia Group 67
Slide 69: The Asian insurance market represents a major source of growth for IAG
The Asian insurance market characteristics represent a major q source of growth for IAG IAG Australia Group Market size, growth & penetration 2005 Insurance premium per capita 2005 Non-Life Non-Life 25 1,400 © 1,203 bv S S 20 15 Thailand oO 10 Malaysia ] 2005 GWP Growth % Insurance Density: Premiums
Slide 70: Thailand: fragmented market with very strong growth
Thailand: fragmented market with very@) strong growth Total registered vehicles - Private ia & Vehicles (Million) = oN o : t t CaoASBNGwE 2001 2002 2003 2004 Gross written premium — Non-life 3,500 3,000 2,500 2,000 1,500 1,000 500 GWP $US (Millions) Source: Swiss Re Sigma Report, 2005; ElU; BMI; all
Slide 71: Malaysia: solid 10% growth and low penetration
Malaysia: solid 10% growth and low © penetration IAG insurance Australia Group Key market characteristics « US$2.4bn non life market « Four year non life CAGR = 9.6%, slightly outpacing new car sales at 8% « Non-life industry COR = 92.3% * Market share of top 5 = 37% * Progressive regulator moving t
Slide 72: China: huge market with strong growth and outlook
China: huge market with strong y growth and outlook IAG insurance Australia Total registered vehicles - Private Group 4 ® gpateeent7 107 Key market characteristics 16 cAOR en” og 8 weer? a « US$20.5bn non life market 6) eet ape * Four year non life CAGR = 19.9% 4| 3? * Market share of top 5 = 82% 2
Slide 73: India: strong growth and new players growing rapidly
India: strong growth & new players y growing rapidly IAG insurance Australia Total registered vehicles — Private & Taxi Group 2 c set men eer Key market characteristics 10 eerne € Se | oll eee st ., = 8 a 71 « US$4.9bn non life market rs 6 . ¢ Four year non life CAGR = 17.2% 2 4 * Market share of to
Slide 74: Presentation outline
Presentation outline © IAG insurance Australia Group ¢ Why Asia? E Where are we now? | ¢ Our strategy 73
Slide 75: Executing our strategy with positions in Thailand, Malaysia and China
We are executing our strategy with positions in Thailand, Malaysia and y China IAG Australia Group Asia 2006... « Platform in place ~ AmAssurance j Safety Insurance and NZI Thailand MOU with CPIC™ - Alba « Earnings accretive and delivering shareholder value j ~ Positive contribution to FY06 profits
Slide 76: Strong growth with improving profitability and returns
Strong growth with improving profitability and returns Operations overview Financials ") y IAG Insurance Australia * Organisation safety | =e { ) 2 [ HOE = 06 ~ Primarily focused on motor insurance (79% of GWP) Gwe 2,660} 2,738) 3,372] ~~ Lowest cost provider of insurance in the market Net Earned Pr
Slide 77: Poised for growth from profitable base
Poised for growth from profitable Pr base * Organisation ~ Primarily focused on commercial business and SME niche affinity / personal lines ~~ Seeking to maximise net and reduce volatility by reducing risk via reinsurance on some large infrastructure projects ~ Main competitors international insurer
Slide 78: Strong growth and low COR driving profitability and returns
Strong growth & low COR = driving profitability & returns Operations overview Financials a) * Organisation 2 y IAG Insurance Australia — Operates both Non-life and Life insurance business ae ned Premium 207 287) 370 - Non-life insurance is primarily personal lines, with the Claims Incurred 130 193}
Slide 79: Table of contents
Table of contents © IAG insurance Australia Group ¢ Why Asia? e Where are we now? ° [our strategy | 78
Slide 80: IAG Asia is targeting a three fold increase in GWP over five years
IAG Asia is targeting a three fold © increase in GWP over five years IAG insurance op sos Australia IAG Asia five year GWP growth aspiration Group . @ @ @ @ Existing Leverage & Increase our IAG value Total Deliver Capture Total with business grow existing — share in add: "The acquisitions reinsuranc
Slide 81: Our strategy focuses on four value drivers: Capture system growth
Slide 82: Our strategy focuses on four value drivers: Increase share in existing markets
Slide 83: Our strategy focuses on four value drivers: The IAG way
Slide 84: Proven capability of IAG to unlock value in Asia from underwriting
Slide 85: ...and product development perspectives
Slide 86: Our strategy focuses on four value drivers: Deliver acquisitions in new markets
Slide 87: We have a rigorous opportunity assessment template
Slide 88: Guidelines to choose the right strategic partners
Slide 89: Mix of developed vs emerging markets in Asia
Slide 90: Our strategy is underpinned by key enablers: People and human resources
Slide 91: Key enablers: Governance and risk management
Slide 92: Key enablers: Capability transfer blueprint
Slide 93: Our objectives are not without risk, mitigation strategies in place
Slide 94: In summary, IAG Asia will...
Slide 95: Questions
Insurance Australia Group — Investor Day (November 2006) on 6ix