1st time in 50 years, page-6

GMA management tie themselves up in knots over this. There was a question a few briefings back as to why they were still writing new business when they put the claims up/profit down by a material amount(think it was the Sep qtr 2020.) and what was the level at which they were writing new business. No sensible answer was achieved. Doesnt really matter if GMA is trying to signal about the rates at which they were writing business. In the last 2 tenders/RFP, GMA lost to QBE who are writing to a cheaper cost of capital or lower expected losses. If that continues, CBA may well choose QBE in which case we see the semi run off outcome over the next few years. Only problem is that the GMA cost base is too high and would need to be cut to get the full benefit of the runoff. But with no quarterly reporting, we are not going to find out for a while yet