| Q. |
What securities does Insurance Australia Group Limited (IAG) have publicly
listed in Australia? |
| A. |
IAG's shares are listed on the Australian Securities Exchange Limited
(ASX) under:
- IAG ordinary shares - ORD;
- IAGPA reset preference shares—RPS1.
|
| |
IAG's wholly owned subsidiary IAG Finance (New Zealand) Limited's New Zealand branch issued reset exchangeable securities in January 2005 and they are listed on the ASX under:
- IANG reset exchangeable securities—RES
|
| Q. |
How do I buy or sell any of my securities? |
| A. |
IAG has three types of securities on issue as described above. These securities
can be purchased or sold through a registered stockbroker. The ASX operates
a stockbroker referral service and can be contacted on 1300 300 279
or via the ASX
website. |
| |
You may also wish to check your local telephone directory to contact a stock broker nearest to you. |
| |
The five major Australian banks offer a stock broker facility. You can contact them as follows: |
| |
- ANZ E*Trade 1300 658 355
- Commonwealth Securities 131 519
- National Online 131 380
- St George Direct Shares 1300 133 500
- Westpac Broking 131 331
|
| |
The fee for trading securities varies between stock brokers and we recommend you contact a number of stock brokers to determine which broker best suits your needs. |
| |
If you wish to purchase or sell securities but would like more information, you should seek independent financial advice. Additional information is available on the trading securities page. |
| Q. |
Will IAG be listed on any overseas exchanges? |
| A. |
No. IAG's ordinary and preference shares are only listed on the ASX. |
| Q. |
Can I convert my issuer sponsored securities to my broker sponsored holding? |
| A. |
If you wish to have your holding recorded through your broker on the CHESS
sub-register then you should contact your broker to arrange this. |
| Q. |
Can you give me my SRN? |
| A. |
For security reasons we cannot give you your SRN over the telephone or
via the internet. Your SRN is in the top right area of your relevant holding
or dividend statement. We can send you a replacement holding statement to
your registered address. This statement will contain the number. |
| Q. |
Can you send me a replacement holding statement? |
| A. |
Yes. If you have an Issuer sponsored holding you will need to contact
our Share Registry.
If you have a broker sponsored (CHESS) holding then you will need to contact
your sponsoring broker. |
| Q. |
What are the tax consequences of owning IAG shares acquired from the demutualisation?
What is the cost base? |
| A. |
Shareholders who acquired shares through the NRMA Demutualisation can
download the ATO Tax Information Sheet (March 2001) (85kb .pdf). It applies only to
IAG shareholders who are Australian residents and does not apply to shares
held as trading stock or revenue assets. IAG shares, issued to you as a
result of demutualisation of NRMA Insurance Limited, are taken to be acquired
on 19 June 2000 at $1.78 per share for tax purposes. |
| |
If you bought up to 181 additional shares through the Listing Facility,
which IAG (formerly NRMA Insurance Group Limited) offered at demutualisation
of NRMA Insurance Limited, you are taken to have acquired them on 8 August
2000 at a cost of $2.75 per share. If you acquired your shares via an on
market purchase you will need to refer to your contract note or stockbroker
for the purchase cost. |
| Q. |
Should I provide my tax file number (TFN) or Australian business number
(ABN) or exemption code? |
| A. |
You are not required to quote your TFN or ABN or exemption code. However,
if you choose not to provide your TFN, ABN or exemption code, and you are
an Australian resident for taxation purposes, we are required to deduct
tax at the highest rate, plus the Medicare levy, from any unfranked portion
of your dividend. Collection of TFNs is strictly regulated by taxation laws.
If you wish to quote your TFN or ABN or exemption code, manage
your shareholding by providing your TFN or ABN details online, or by contacting the Share
Registry. |
| |
If you are unsure as to whether you fall within an exemption code, the
exemption code number which is relevant to you or whether you require a
TFN or ABN, you should contact the Australian Taxation Office on 1300
720 092. |
| Q. |
How do I advise the Share Registry of a change of address? |
| A. |
If your shareholding is held in an individual name, manage
your shareholding by updating your details online or advise our Share
Registry by calling them or in writing, and include your SRN. |
| |
If you have a joint shareholding, or are a company holding, you need to sign a change of address form. You may obtain a change of address form
by contacting the Share Registry. You will need to forward this form
by mail to the Share
Registry. If your holding is broker sponsored in CHESS you must notify
any change of address to your sponsoring broker. |
| Q. |
Can I have my name changed on my holding? |
| A. |
To register your shares in your new name you must write to our Share
Registry requesting the change, quoting your SRN and enclosing a copy
of your marriage certificate or deed poll. If your holding is broker sponsored
in CHESS you must ask your broker to make the change for you. |
| Q. |
Can I download forms from the website to change my name? |
| A. |
Yes, shareholder forms
are available on our website. |
| Q. |
Why have I been sent an unsolicited offer to purchase my shareholding? |
| A. |
IAG is aware that organisations have made unsolicited offers for IAG
shares. IAG has advised the Australian Securities & Investments Commission (ASIC)
of these approaches. Shareholders who receive any unsolicited offer are
urged to read the document carefully and obtain professional advice before
deciding whether or not to accept the offer. IAG does not endorse any unsolicited
offer to buy IAG shares from our shareholders. |
| Q. |
Why were my shareholder details given to a third party? |
| A. |
If you are a holder of shares listed on the ASX, such as IAG, some limited
information about you is available for viewing at the Share Registry by
any person upon payment of a prescribed fee or by other IAG shareholders
without cost. A copy of the share register is provided on payment of a prescribed
fee. Under Section 173 of the Corporations Act, the information is restricted
to your name, address, current shareholding and the date of share acquisition. |
| |
The Privacy Act does not override the provisions of Section 173 of the
Corporations Act. Other sensitive personal information such as your Securityholder Reference Number (SRN)
or Holder Identification Number (HIN), bank account details, tax file number,
dividend payment history are not disclosed or available for public viewing. |
| Q. |
What alternatives are there if I wish to sell my shares for a market price? |
| A. |
Shares may be sold on the ASX through any stock broker licensed by the
ASX. The ASX provides contact details of stock brokers who can arrange to
sell your shares for the price they are trading at on the ASX. You can contact
the ASX on 1300 300 279 or via the ASX
website. You may also wish to check your local telephone directory to contact
the stock broker nearest to you. Please note that the five major banks offer
a stock broker service which may be more convenient to you. |
| |
If your SRN starts with an 'I', you may sell your shares by accessing the Sell Shares link on our Share Registry website |
| Q. |
How can I transfer my shares to a family member or other person? |
| A. |
If you wish to transfer your shares to another person, other than through
selling your shares on the ASX, you will need to complete a Transfer
Form which is available from the forms
section of this website, quoting your SRN. You can also request a standard
transfer form by calling our Share
Registry. |
| Q. |
The standard transfer form for off market transfers requires me to provide
a state/territory of registration of the company. What is it? |
| A. |
IAG is registered in the Australian Capital Territory. |
| Q. |
Are there any charges to transfer shares? |
| A. |
If you buy or sell your shares on the ASX through a broker you will need
to pay brokerage. There are currently no charges to register an off market
transfer shares by a Standard Transfer Form with the IAG Share Registry.. |
| Q. |
What happens if the shareholder dies? |
| A. |
If the holding is in the sole name of the deceased, the solicitor or representative
of the estate should notify the Share
Registry of the death and whether or not probate is being applied for.
The registry will then advise the procedures for dealing with the holding.
If the deceased is a joint holder, you should forward a certified copy of
the death certificate with a request that the holding be registered in the
name of the survivor. The request should include the holding's SRN. |
| Q. |
Is there a dividend reinvestment plan (DRP)? |
| A. |
Yes, for holders of ordinary shares and details are available from the dividend
reinvestment section of this website. |
| Q. |
Can I receive my payment by cheque? |
| A. |
If you are registered with an overseas address you can receive payment by cheque in Australian dollars. Australian resident investors only receive payment by direct credit or if you hold ordinary shares by participation in the DRP. Payments will only be made to Australian resident holders who supply their direct credit instructions for an Australian financial institution. |
| Q. |
Why doesn't the company pay Australian residents by cheque? |
| A. |
In line with several other large organisations and most government departments
IAG has determined that direct credit generates substantial savings in comparision
with payment by cheque, which benefits securityholders as a whole, because:
- payments are credited to your account on the payment date as cleared
funds;
- it eliminates the delay involved in mail services and depositing the
cheque and waiting for the funds to be cleared; and
- it removes the risk of loss or theft of cheques.
|
| |
In addition, it benefits securityholders directly because:
- it is less expensive than cheques; and
- it reduces the administration costs of issuing large numbers of replacement
payments.
|
| Q. |
Is direct credit a safe method of payment? |
| A. |
Yes. Direct credit is a secure, common method of payment. It is used by
most large organisations to pay, employees' salaries and most government
departments to pay, pensions and other benefits. The majority of IAG securityholders receive their payments by direct credit. Payment by direct credit
helps to eliminate the risk of loss or theft of cheques. |
| Q. |
I don't want to provide my account details. What happens if I don't provide
them? |
| A. |
If you do not provide your account details, you will be sent a statement
on the payment date advising you of the amount of your payment and that
the amount is being held as your direct credit instructions had not been
received. The dividend will not accrue interest while it is being held.
Payment will be credited to your nominated account as soon as possible upon receipt
of your direct credit instructions. |
| Q. |
What steps do I take to obtain payments due to me? |
| A. |
Please write to our Share
Registry requesting that your outstanding payments be cancelled and
your payments replaced by direct credit quoting your current account details.
Please ensure you quote your Securityholder Reference Number (SRN) or your
Holder Identification Number (HIN), provide your full current address and
sign your letter. |
| Q. |
Can I change or add my direct credit instructions over the phone? |
| A. |
Yes, you can change or add your direct credit instructions over the phone.
Please call our Share
Registry and follow the prompts to complete this change. |
| Q. |
What if my direct credit account details have changed prior to dividend
payment record date but I have been unable to inform you? |
| A. |
If you have changed your account since you sent us a direct credit instruction and have been unable to make arrangements prior to the record date to inform us of your new account details, or for the deposit to transfer to your new account, the payment will be rejected by your financial institution. Funds will be returned to IAG and a letter with a direct credit application form will be mailed to your registered address within five business days of receipt of the returned funds from your financial institution. You will need to return the direct credit application form with the new account details for your payment to be directly credited to your new account. Alternatively you can go to the manage your shareholding page and update your account details. Any outstanding dividend payments will be credited to your new account as soon as possible. |
| Q. |
What is the dividend policy for IAG shares? |
| A. |
The IAG board aims to provide shareholder dividends which are in line
with the long term, sustainable earnings of the Group. Accordingly, it is
proposed that the dividend payout ratio be linked to the estimate of the
Group's maintainable earnings in any given year. |
| |
The investment returns used in calculating maintainable earnings will
be normalised to reflect the board's view as to the supportable long term
rate of return. The board expects to maintain a proposed dividend payout
ratio of between 50% and 70% of the normalised earnings of the Group over
time. The fixing and payment of dividends will be subject to the discretion
of the board. The timing and amount of dividends, if any, and the level
of franking, will depend on, among other things the Group's:
- financial condition;
- operating results
- cash requirements;
- future prospects;
- any contractual, legal or regulatory restrictions on the payment of
dividends by IAG; and
- any other factors deemed relevant by the board.
|
| |
As such, there can be no expectation that any dividends will be paid or
the level to which those dividends will be franked. |
| Q. |
What is the dividend policy for IAGPA shares? |
| A. |
Dividends on reset preference shares will
be payable generally on 15 June and 15 December each year. The frequency
and timing of the payment of dividends can be reset by IAG on a reset
date. Dividends are also paid on an exchange date. Full details are contained
in the IAG RPS1 Prospectus.
|
| |
RPS1
prospectus (301kb .pdf)
|
| Q. |
How often do RES make an interest payment? |
| A. |
IAG Finance (New Zealand) Limited expects to pay interest payments every
quarter, in arrears on 15 March, June, September and December. Interest
payments are subject to the Interest payment tests set out in the prospectus. |
| Q. |
Will the interest payment be fully franked? |
| A. |
Yes, it is expected that the interest payment will be fully franked. |
