HISTORY
From its beginnings as a motor vehicle insurer in New South Wales and the Australian Capital Territory, IAG has grown to become a fully diversified insurance group operating throughout Australia and internationally in New Zealand, Asia and the United Kingdom.
IAG's heritage dates back to 1925 when the National Roads and Motorists' Association (NRMA) started providing insurance to its members in NSW and the ACT.
NRMA Insurance grew strongly over the following years, adding home and contents insurance to its motoring products, becoming the largest non-government homes and contents insurer in NSW and ACT by 1981. By 1994 NRMA had expanded interstate with eight offices in Victoria, and it moved into Queensland in 1995.
In 1998, the NRMA Group acquired SGIO, a previously government-owned insurer in Western Australia, and SGIC, the South Australian insurer which, at that time, was owned by SGIO. It also entered the Asian market for the first time, acquiring an interest in Thailand's Safety Insurance.
The following year, a joint venture was formed between the insurance businesses of NRMA and Royal Automobile Club of Victoria (RACV). And the Group progressed its investment in Asia with an interest in the China Automobile Association (CAA).
In July 2000, the NRMA Group demutualised, separating the road services and insurance arms of the organisation. NRMA Insurance Group Limited was listed on the Australian Stock Exchange (ASX) in August 2000.
The Group expanded across the Tasman Sea in 2001 through its acquisition of State Insurance, New Zealand's largest general insurance company. It also acquired the policies and renewal rights to HIH's Australian workers' compensation business.
In January 2002, NRMA Insurance Group Limited changed its name to Insurance Australia Group Limited, to better reflect its size, diversity, geographical distribution and its future growth plans.
Since 2002, IAG has continued its successful history of acquisitions and integration.
In January 2003, IAG acquired Aviva's general insurance businesses - CGU in Australia (which also owned Swann Insurance) and NZI in New Zealand - cementing IAG's position as Australasia's leading general insurance group. IAG also increased its stake in CAA to 100% and acquired Zurich Insurance's NSW workers' compensation business.
Since 2005, IAG has expanded its portfolio of Asian assets, by adding another Thai insurer, NZI Thailand (formerly owned by Royal & SunAlliance), and an interest in Malaysia's AmAssurance. IAG has also increased its stake in Safety Insurance to 96% of voting rights. It also acquired a newly formed Lloyd's managing agency and specialist Lloyd's Asian underwriting syndicate.
In 2006, IAG began its expansion into the UK insurance market with the acquisition of Hastings Insurance Services Limited and Advantage Insurance Company Limited. Shortly afterwards, IAG complemented these businesses with the acquisition of another UK insurer, Equity Insurance Group, trading as Equity Red Star and Equity Insurance Brokers.
IAG continues to focus on its goal to generate sustainable returns through the cycles and keep its cost of capital competitive by continuing to grow its business, organically and through acquisition, while maintaining strong risk disciplines.
