IAG boosts margins

INSURANCE Australia Group has booked a 24 per cent jump in profit thanks to a significant increase in insurance premiums.

IAG reported a net profit of $551 million in the six months to December 31, up from $446 million a year ago, helped by a more than 30 per cent lift in profit from insurance to $743 million. A better than 30 per cent gain in investment income profit to $138 million also drove the result.

The insurer’s revenue grew 1.1 per cent to $8.3 billion for the half year.