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IAG's Impressive FY25 Performance and Strategic Outlook for FY26

Exploring IAG's Financial Growth and Future Plans

IAG's Impressive FY25 Performance and Strategic Outlook for FY26?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Insurance Australia Group (IAG) has reported a notable 4.3% increase in gross written premium (GWP), reaching $17.1 billion for the fiscal year 2025.
This growth is accompanied by a net profit after tax of $1.36 billion, marking a significant rise from the previous year's $898 million.
The company's reported insurance profit stands at $1.74 billion, with a margin of 17.5%, and a return on equity improving to 19.4%.
Shareholders are set to benefit from a full-year dividend of 31.0 cents per share, reflecting a 14.8% increase from FY24.

Looking ahead, IAG has upgraded its FY26 guidance, anticipating approximately 10% GWP growth and an insurance profit ranging between $1.55 billion and $1.75 billion. This optimistic outlook is largely attributed to strategic acquisitions, including the $855 million purchase of RACQ's general insurance business completed in September. Additionally, a proposed $1.3 billion alliance with RAC WA is pending regulatory approval, further strengthening IAG's market position in Australia and New Zealand.

Customer satisfaction remains a focal point for IAG, evidenced by a 98% settlement rate for Australian retail claims and robust policy renewal figures. The company continues to invest in digital platforms and sustainability initiatives, aiming to enhance customer service and community resilience. These efforts are expected to drive accelerated premium growth and maintain strong insurance margins, aligning with IAG's commitment to delivering long-term shareholder value and supporting sustainability initiatives.

For real estate professionals, IAG's financial health and strategic expansions are particularly relevant. A robust insurer ensures the availability of comprehensive and reliable insurance products tailored to the unique needs of the real estate sector. As IAG strengthens its market presence, real estate agents and agency owners can anticipate enhanced insurance solutions that address their specific risks and requirements.

Published:Monday, 16th Feb 2026
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

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A professional who analyzes the financial costs of risk and uncertainty using mathematics, statistics, and financial theory.