It's not the management; it's a fundamentally flawed business model.
I fundamentally disagree with you, their GWP came at 7.5%? They had indicated to markets in double digits of GWP growth. They have the experience of the weather events, and have invested heavily into weather science, they can forecast potenial issues.
The combination of the increase in the expectation for natural perils, the additional reinsurance
drop-down reinstatement premium, the anticipated inflationary impact on claims following the
Auckland event and the overall macro environment results in the FY23 reported insurance margin
being revised to around 10% from the previous range of 14% to 16%
They are in a recession proof business, and have the lions share of the Australian market, they are too scared to implement changes or premiums incase they lose customers. I recall a slide where they wanted to increase 1 million customers in 5 years --- really??
In my view, Nick hawkins and team, who were part of the culture that has seen IAG have missteps with Business insurance and so many other fiascos, are still in the job, and still making a mockery of the running of the company. I dont see him as a great leader, inspiring change, and doing away with their legacy systems and approach
Check out QBE, get someone from outside the organisation, let them make changes to inspire the organisation.
Put it this way, leaders make winning teams, and a winning culture. Winners are grinners. There is nothing to grin about with IAG's performance
(20min delay)