Yes passing on reinsurance costs , hopefully they have enough...

Yes passing on reinsurance costs , hopefully they have enough coverage for policies they are writing and the correct risk ratings. Bond yields crawling up. Inflation and disasters in the news so policy holders are expecting increases and as long as insurers can keep the clients at higher premiums and no new competition comes in then they should have better margins. Inflation be it in building industry or car repair , but pressure now off in household goods and other areas as supply chains return to normal etc etc in ever aspect need to be kept under control as insurers can only operate where they can actually provide the management of the service providers to fix house and cars etc. If all the providers go bankrupt or no new tradesmen come in then competitive bidding to have insurance work done

Key to this is will IAG pay out better dividend to reflect this better position going forward or sit on it and confirm for further periods and we all know it is a cyclical business so if cycle changes before they pay out the share price will not rise nor suitable divs be received for the risk shareholders have taken


Suncorp out saying 25% industry wide premium increases and still writing good business and obviously it has same benefits of bond increase.