Insurance Australia : IAG to exit IAL brand

IAG today announced it will exit its IAL brand as part of its focus on strengthening the fundamentals of its core insurance business.

IAL distributes personal lines insurance (Motor, Home and Landlord products) exclusively via the Steadfast Client Trading Platform (SCTP).

Steadfast is the largest general insurance broker network and its SCTP provides a marketplace for brokers to access products from participating insurers.

IAG's decision follows a comprehensive review of its Broker Personal Lines business which examined the most effective way for IAG to provide products and services to the Broker Personal Lines market.

IAG will continue to provide insurance to this market through its CGU brand. It is anticipated that CGU will join the SCTP by the end of FY22.

IAG Managing Director and CEO Nick Hawkins said IAG is dedicated to continuing to provide its brokers and partners with the best possible products and services.

'On my first day as CEO I established a dedicated Intermediated Insurance business to focus on the needs of our brokers and partners who play such an important advisory role for their clients to ensure their assets and businesses are protected,' Mr Hawkins said.

'We believe consolidating our product offering for the Broker Personal Lines market under the CGU brand is an important step in simplifying our business and ensuring we can provide the best possible products and experiences for our valued brokers and partners.

On my first day as CEO I established a dedicated Intermediated Insurance business to focus on the needs of our brokers and partners who play such an important advisory role for their clients to ensure their assets and businesses are protected.'

Nick Hawkins

IAG Managing Director and CEO

'Through CGU we're well placed to succeed in this market, and we intend to support more brokers in harnessing our established brand, trusted relationships and strong core insurance capabilities.

'Our immediate priority is to work with Steadfast and its broker network to ensure a smooth transition for its customers and their clients and we're excited by the opportunities ahead.'

Steadfast Managing Director and CEO Robert Kelly said: 'We have a longstanding and strong relationship with IAG and we understand its desire to have a one brand strategy through CGU to provide personal lines insurance products to the broker market.

'We will work closely with them to bring their personal lines products onto the SCTP as soon as possible.'

IAL will cease writing new business from 1 November 2021 and renewals from 1 December 2021.

CGU will continue to keep brokers updated throughout the transition and looks forward to supporting its partners into the future.