Insurance Australia Group Ltd · ASX:IAG
Insurance Australia — FY2026 Earnings Presentation
40 slides from Insurance Australia's earnings presentation, Aug 13, 2026
Slide 1: Financial Results
Financial Results Full year ended 30 June 2026 13 August 2026 This release has been authorised by the IAG Board IAG
Slide 2: Important information
Important information This presentation contains general information current as at 13 August 2026 (unless otherwise stated) and is not a In addition, there are particular risks and uncertainties associated with implementation of IAG’s strategy and related recommendation or advice in relation to any
Slide 3: Strong FY26 results in a year of strategic execution
Strong FY26 results in a year of strategic execution Nick Hawkins, Managing Director and Chief Executive Officer IAG
Slide 4: Acknowledgement of Country
Acknowledgement of Country IAG acknowledges Traditional Owners of of Country Country throughout throughout Australia Australia and and recognises the continuing connection to to lands, lands, waters waters and and communities. communities. We pay our respect to Aboriginal and Torres Strait Islander
Slide 5: Our refreshed strategy
Our refreshed strategy Our Purpose We make your world a safer place Our Strategy A stronger IAG helping more of Australia and New Zealand Our Priorities Customer Insurance Future Fit Exceptional Obsession Excellence Operations People Our Values Honest Easier Act and Reimagine Treat everyone and upfr
Slide 6: FY26 outcomes demonstrate strategic focus
FY26 outcomes demonstrate strategic focus Financial strength Confidence Supporting customers and resilience in FY27 guidance1 & communities Gross Written Premium Underlying Insurance Profit FY27 Reported Insurance Margin Claims paid #1 $18,412m $1,578m 14.5% to 16.5% ~$12.4bn NRMA Insurance most trus
Slide 7: Strong growth in key channels and brands
Strong growth in key channels and brands GWP growth ($m) Reported FY26 GWP growth of 7.6%: 89 -2 -200 • $1,272m ten-month contribution from RACQI -190 18,412 • Ongoing rate increases in AU personal lines responding to inflation 1,272 • Positive premium growth in short-tail commercial in IIA • Volume
Slide 8: Growth momentum in direct retail representing ~60% of IAG's premium pool
Growth momentum in direct retail representing ~60% of IAGʼs premium pool $18.4bn Gross Written Premium Direct Underlying Growth by Quarter (%) 4% 3% 1Q26 2Q26 3Q26 4Q26 8% 7.1 6.7 6.0 25% 51% 4.6 4.5 4.3 9% 3.4 RIA direct IIA RIA partners NZ direct NZI NZ partners 2.7 4.8% RIA direct underlying grow
Slide 9: Retail Insurance Australia
Retail Insurance Australia Growing insurance profit despite RACQI 1H26 perils impact GWP ($m) Underlying insurance profit ($m) Reported insurance profit ($m) Financial Highlights • Underlying GWP growth of ~4.5% with +7.0% improvement in 2H26 (~5%) +17.8% 846 -4.9% 809 • Reported insurance profit of
Slide 10: New Zealand Retail
New Zealand Retail Increased market share with strong profitability GWP (NZ$m) Underlying insurance profit (NZ$m) Reported insurance profit (NZ$m) Financial Highlights • NZ$ GWP growth of 3.7%, with strong -11.5% direct growth of 5.1% and increasing +3.7% market share 418 2,448 • Strong underlying in
Slide 11: Intermediated Insurance Australia
Intermediated Insurance Australia Stable GWP and underlying profit demonstrate discipline and resilient business mix GWP ($m) Underlying insurance profit ($m) Reported insurance profit ($m) Financial Highlights • Underlying GWP growth of ~2%, reflecting -3.7% disciplined underwriting and resilient mi
Slide 12: New Zealand Intermediated
New Zealand Intermediated Commercial market conditions moderating GWP (NZ$m) Underlying insurance profit (NZ$m) Reported insurance profit (NZ$m) Financial Highlights • NZ$ GWP decline of 11.0% as NZI maintains discipline in a soft -11.0% -30.9% commercial market 1,812 246 • Underlying insurance prof
Slide 13: Consistently strong underlying profitability
Consistently strong underlying profitability Underlying Insurance Profit by Division ($m) New Zealand Intermediated Underlying insurance profit of $1,578m New Zealand Retail • Up $36m despite impact of weaker NZ$ and lower 795 804 Intermediated Insurance Australia 774 investment returns Retail Insura
Slide 14: IAG's Ambition 2030 winning formula
IAGʼs Ambition 2030 winning formula Market leader Protecting more customers across Mid single-digit Australia and GWP growth New Zealand Data Leading brands Customer Member-based retail brands, intelligence and strong commercial brands, sophisticated 15%+ leading products, and underwriting omnichann
Slide 15: Financials
Financials William McDonnell, Chief Financial Officer IAG
Slide 16: Financial summary
Financial summary FY25 FY26 Change GWP ($m) 17,106 18,412 7.6% Underlying GWP ($m) 16,955 17,272 1.9% NEP ($m) 9,984 10,523 5.4% Reported insurance profit ($m) 1,743 1,552 (11.0%) Reported insurance margin (%) 17.5 14.7 (280bps) Underlying insurance profit ($m) 1,542 1,578 2.3% Underlying insurance
Slide 17: Reinsurance expense increase from quota-share and RACQI impacts
Reinsurance expense increase from quota-share and RACQI impacts Non-quota share reinsurance expense ($m) Quota share reinsurance expense of $6,298m (FY25: $5,631m) 1,337 • Increase of 2.5% whole-of-account quota share from 1 January 1 59 2026 to 35% 26 1,159 92 • Reflects gross earned premium growth
Slide 18: Natural perils
Natural perils Group Perils Allowance v Actual ($m) RACQI Allowance Actual Net perils costs $1,579m, $114m above allowance +114 • 1H26: $152m above allowance, 2H26: $38m below allowance 1,579 1,465 +152 • Outcome largely attributable to severe perils experience in RACQI -38 portfolio in 1H26, prior
Slide 19: Strong downside protections deliver potential average over $100m upside
Strong downside protections deliver potential Range of gross perils outcomes average over $100m upside Perils upside Perils downside Probability Perils benefit to average over $100m 20% • Reinsurance covers provide ~$1bn (pre-quota share) additional protection per year for the remaining three years
Slide 20: Improvement in underlying claims ratio
Improvement in underlying claims ratio Underlying claims ratio (%) Drivers of 50bps improvement in underlying claims ratio -50bps -40bps • Claims transformation benefits from automation and supply chain improvements 52.6 51.6 51.9 51.2 52.1 51.6 • Slight motor frequency improvement associated with t
Slide 21: Disciplined cost management with ongoing investment in transformation
Disciplined cost management with ongoing investment in transformation Administration ratio ex-levies (%) Improvement in admin ratio ex-levies to 11.6% • 60bps improvement in FY26 relative to FY25 -60bps -100bps • 100bps improvement in 2H26 relative to 2H25 12.5 12.2 11.9 11.7 11.5 11.6 • Administrat
Slide 22: Strong investment result across all asset classes
Strong investment result across all asset classes Technical reserves income Shareholders’ funds income Technical reserves (~$7.6bn portfolio) (~$6.3bn portfolio) • $246m investment income included the $136m 464 negative impact from increased risk-free rate 403 383 • Underlying yield 4.8% (FY25: 5.3%
Slide 23: Strong CET1 capital position following buyback
Strong CET1 capital position following buyback Strong capital position above -0.07 0.04 -0.04 target range 1.18 0.18 1.14 • Solid 2H26 NPAT more than offsets FY26 -0.02 -0.10 -0.03 interim dividend • Completed buyback of ~27.3m shares 0.9 to 1.1 CET1 target range • Benefit from unwind of reinsurance
Slide 24: Increased FY26 final dividend
Increased FY26 final dividend Dividend (cps) Completed $200m on-market Final Interim buyback 32 • Reduced share count by ~27.3m 31 • Average buyback price ~$7.30 27 19 20 FY26 final dividend of 20cps, up 1cps 17 • FY26 total dividends of 32cps, up ~3% 15 • Represents payout ratio of 74%, in line with
Slide 25: Indicative pro-forma CET1 ratio reflecting RAC Insurance acquisition
Indicative pro-forma CET1 ratio reflecting RAC Insurance acquisition 1.36 0.10 1.14 -0.36 0.28 -0.16 1.00 0.98 0.9 to 1.1 CET1 target range Jun-26 FY26 final dividend Jun-26 (post dividend) Consensus organic Other movements Jun-27 (pro forma) RACI Jun-27 (pro forma) capital generation acquisition CET
Slide 26: FY27 Guidance and progress to Ambition 2030
FY27 Guidance and progress to Ambition 2030 Nick Hawkins, Managing Director & Chief Executive Officer IAG
Slide 27: Leading advocacy role for risk reduction and safer communities
Leading advocacy role for risk reduction and safer communities Updated Climate Action Data and insight to support risk Plan Towards FY30 reduction and community transition • Supporting Australians and New Severe Weather in a Changing Climate Report 3rd Zealanders in taking 2 million actions to editi
Slide 28: FY27 guidance
FY27 guidance1 GWP growth Reported insurance margin 5% to 8% 14.5% to 16.5% Reflects premium increases that cover claims inflation combined This assumes: with direct customer and volume growth, along with: • FY27 natural perils allowance of $1,491m, in line with • Underlying growth in AU and NZ reta
Slide 29: A stronger, more resilient IAG delivering stable earnings
A stronger, more resilient IAG delivering stable earnings Reported & Underlying Insurance Profit ($m) (FY20 – FY27e) ~1% potential average perils upside Underlying Insurance Profit 1,743 Reported Insurance Profit Margin Guidance Range 14.5% to 16.5% 195 ~9% 1,552 Favourable perils (below allowance/a
Slide 30: Ambition 2030
Ambition 2030 We make the world a Delivered through leading Customer Community safer place for 33 million owned and partner brands 11m+ Customers Leading advocacy Australians and 55 tNPS role in risk New Zealanders $25bn+ GWP reduction People Shareholder High performing ROE 15%+ culture High single-
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Slide 32: Investor Relations / Media
Investor Relations Media Insurance Australia Group Limited Mark Ley Jane Clapcott ABN 60 090 739 923 M: +61 (0)411 139 134 M: +61 (0)409 837 484 Level 9, Tower Two, 201 Sussex Street E: mark.ley@iag.com.au E: jane.clapcott@iag.com.au Sydney NSW 2000 Australia Ph: +61 (0)2 9292 9222 Nigel Menezes M:
Slide 33: Appendix 1. Group Profit & Loss
Appendix 1. Group Profit & Loss 1H25 2H25 1H26 2H26 FY25 FY26 GROUP RESULTS A$m A$m A$m A$m A$m A$m Gross written premium 8,426 8,680 8,929 9,483 17,106 18,412 Gross earned premium 8,366 8,408 9,063 9,095 16,774 18,158 Reinsurance expense (3,436) (3,354) (3,715) (3,920) (6,790) (7,635) Net earned pre
Slide 34: Appendix 2. Group Insurance Ratios
Appendix 2. Group Insurance Ratios Insurance Ratios 1H25 2H25 1H26 2H26 FY25 FY26 GWP growth 6.0% 2.7% 6.0% 9.3% 4.3% 7.6% Loss ratio 61.6% 65.0% 65.6% 64.3% 63.4% 65.0% Immunised loss ratio 61.3% 64.1% 66.8% 64.7% 62.7% 65.8% Expense ratio 23.6% 24.1% 22.6% 22.7% 23.8% 22.6% Commission ratio 9.2% 9
Slide 35: Appendix 3. RIA Profit & Loss and Insurance Ratios
Appendix 3. RIA Profit & Loss and Insurance Ratios 1H25 2H25 1H26 2H26 FY25 FY26 RETAIL INSURANCE AUSTRALIA A$m A$m A$m A$m A$m A$m Gross written premium 4,305 4,444 4,923 5,385 8,749 10,308 Gross earned premium 4,242 4,302 4,912 5,163 8,544 10,075 Reinsurance expense (1,729) (1,731) (2,008) (2,264)
Slide 36: Appendix 4. RIA ex-RACQI Profit & Loss and Insurance Ratios
Appendix 4. RIA ex-RACQI Profit & Loss and Insurance Ratios 1H25 2H25 1H26 2H26 FY25 FY26 RETAIL INSURANCE AUSTRALIA EX- RACQI A$m A$m A$m A$m A$m A$m Gross written premium 4,305 4,444 4,421 4,615 8,749 9,036 Gross earned premium 4,242 4,302 4,426 4,424 8,544 8,850 Reinsurance expense (1,729) (1,731)
Slide 37: Appendix 5. IIA Profit & Loss and Insurance Ratios
Appendix 5. IIA Profit & Loss and Insurance Ratios 1H25 2H25 1H26 2H26 FY25 FY26 INTERMEDIATED INSURANCE AUSTRALIA A$m A$m A$m A$m A$m A$m Gross written premium 2,233 2,317 2,206 2,394 4,550 4,600 Gross earned premium 2,225 2,189 2,297 2,233 4,414 4,530 Reinsurance expense (895) (834) (919) (939) (1,
Slide 38: Appendix 6. NZ Profit & Loss and Insurance Ratios
Appendix 6. NZ Profit & Loss and Insurance Ratios A$m NZD$m 1H25 2H25 1H26 2H26 FY25 FY26 1H25 2H25 1H26 2H26 FY25 FY26 NEW ZEALAND NEW ZEALAND A$m A$m A$m A$m A$m A$m NZD$m NZD$m NZD$m NZD$m NZD$m NZD$m Gross written premium 1,887 1,920 1,800 1,704 3,807 3,504 Gross written premium 2,076 2,097 2,022
Slide 39: Appendix 7. NZ Retail Profit & Loss and Insurance Ratios
Appendix 7. NZ Retail Profit & Loss and Insurance Ratios A$m NZD$m 1H25 2H25 1H26 2H26 FY25 FY26 1H25 2H25 1H26 2H26 FY25 FY26 NEW ZEALAND RETAIL NEW ZEALAND RETAIL A$m A$m A$m A$m A$m A$m NZD$m NZD$m NZD$m NZD$m NZD$m NZD$m Gross written premium 1,067 1,087 1,081 1,031 2,154 2,112 Gross written prem
Slide 40: Appendix 8. NZ Intermediated Profit & Loss and Insurance Ratios
Appendix 8. NZ Intermediated Profit & Loss and Insurance Ratios A$m NZD$m 1H25 2H25 1H26 2H26 FY25 FY26 1H25 2H25 1H26 2H26 FY25 FY26 NEW ZEALAND INTERMEDIATED NEW ZEALAND INTERMEDIATED A$m A$m A$m A$m A$m A$m NZD$m NZD$m NZD$m NZD$m NZD$m NZD$m Gross written premium 820 833 719 673 1,653 1,392 Gross
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