Doubling in extreme weather events hits IAG’s margins

IAG NZ paid about $167m in natural perils claims, an 89% increase on the year before. (Image: IAG)

Fri, 12 Aug 2022

An almost doubling in claims costs caused by more extreme weather ate into Insurance Australia Group’s (IAG) New Zealand business margins with its profit slipping 27% in June year.NZ’s biggest insurer – which operates the NZI, AMI, State and Lumley brands – reported an insurance profit of A$220 million (NZ$242m) in the 12 months ended June 30, down from A$305m the year before. That translated to a shrinking of its insurance margins from 19% in June 2021 to 12.8%.The insurer paid out A$167m in natural perils claims, an 89...

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