Ann: Market update on 2014 interim result, page-23

Firsova,

Firstly the news was ordinary on every level, GWP being the first. Here's a good question, are QBE's Australian results going to match that of IAG's? They have the same exposures.

As for a bank taking them out. You are kidding aren't you? QBE's management can't even work out their own business, how the hell could an outside party?

If you are unaware, the banks make a commission on any insurance premium sales, some commissions are over 25% upfront. BankWest is QBE's largest Loan Mortgage Insurance provider (LMI) and they absolutely rake in commission for doing what? Covering a loan provided to their client? So if the client walks out on paying the mortgage, BankWest go to QBE to cover the loan !!!

So if a bank bought QBE they would actually be increasing their exposure on a massive scale.

They will just take the 10-25% and forget about the paltry 3% QBE make.

P