Insurance company IAG made significant investments of $37 million in digital improvements during the 2022-2023 financial year. These investments were focused on enhancing their services through advanced technologies, data assets, innovation, and mobility initiatives. The breakdown of the investments includes:
- $8 million in data and analytics to support loyalty programs
- $6.5 million for activities in their InsureTech hub
- Approximately $6 million in Ambiata data activation business and Firemark Labs innovation labs
- $5 million spent on developing the digital car-trading platform Carbar
- $5 million allocated as innovation funds for Direct Insurance Australia (DIA) and Intermediated Insurance Australia (IIA) businesses
- Approximately $3 million for developing the Cylo cyber insurance product
IAG reported that their digital channel activity in the Direct Insurance Australia (DIA) unit grew by 12 percent during the financial year. They also highlighted that a significant portion of new insurance sales and renewals are now conducted online. A similar trend was observed in their New Zealand business, where a considerable percentage of sales and claims are now processed through digital channels
IAG achieved significant growth in net profit after tax
In addition to their investments, IAG announced plans for a rollout of a unified enterprise ecosystem in New Zealand. This initiative aims to replace multiple core policy systems, reduce complexity, and enhance customer offerings.
The company’s broader strategy involves ongoing efforts to modernize core platforms and implement intelligent automation across their operations.
Despite these investments, IAG achieved significant growth in net profit after tax, which more than doubled from $347 million to $832 million during the year. This growth was supported by a 10.6 percent increase in gross written premiums, which reached $14.7 billion.