• Reported insurance profit of $724 million, down 24.3% from 1H25
• Underlying insurance margin of 15.1%, in line with 1H25
• Gross written premium up 6.0% to $8,929 million

Insurance Australia Group Limited (IAG) has reported its financial results for the half year ended 31 December 2025 (1H26). The Group's reported insurance profit was $724 million, down 24.3% from $957 million in the prior corresponding period (1H25). This decrease was primarily due to a $174 million loss from the RACQI portfolio, which was impacted by a significant number of major natural perils events. Excluding the impact of RACQI, the insurance profit was $898 million, which equates to a reported insurance margin of 17.7%. The underlying insurance margin of 15.1% was in line with 1H25, reflecting a combination of influences including an improvement in the underlying claims ratio and expense ratio, partially offset by a lower investment yield on technical reserves. Excluding RACQI, the underlying insurance margin was 16.3%. The Group's gross written premium (GWP) increased by 6.0% to $8,929 million, with the Retail Insurance Australia (RIA) division delivering GWP growth of 14.4%, including a $502 million contribution from the acquired RACQI business. Underlying GWP growth for RIA was approximately 4% after removal of RACQI, the transfer of RIA's farm portfolio to IIA and the ongoing run off of the Coles portfolio. The Group's reported profit after tax was $505 million, down 35.1% from $778 million in 1H25, primarily due to the decrease in insurance profit and a nil corporate expense outcome compared to the $140 million post-tax release from the business interruption provision in 1H25.

The Group's Prescribed Capital Amount (PCA) multiple and Common Equity Tier 1 Capital (CET 1) multiple were 2.18 and 1.18 respectively as at 31 December 2025.