Bullish CEO says current market will see 11% margin
Insurance Australia Group (IAG) managing director and CEO, Michael
Wilkins, told his AGM AIG could make 11% margins this year.
He told shareholders: “In the first quarter, we’ve seen the underlying performance of the business continue to improve and we’ve had the added benefit of narrowing credit spreads.
“If the operating conditions experienced to date continue for the remainder of the year we expect to report a full year insurance margin approaching the upper end of our 9–11% guidance.
GWP on the rise
“We also expect to achieve our previous guidance of underlying GWP growth in the range of 3–5%. However, reported GWP is likely to be affected by the strength of the Australian dollar.”
AIG appointed Brian Schwartz as deputy chairman, making clear Schwartz will become the chairman of IAG when at the end of the current financial year.
