Insurance Australia Group chief executive Nick Hawkins is confident the acquisition of two state-based insurers will get through the competition regulator, after the group said it would buy The Royal Automobile Club of Western Australia (RAC) for $1.35 billion, following a similar deal in Queensland.
IAG, Australia’s largest insurer, which has a portfolio of brands that includes NRMA and CGU, said it had formed a “strategic alliance” with The Royal Automobile Club. It comes only six months after IAG struck a similar deal with the Royal Automobile Club of Queensland.
IAG will buy RAC Insurance for $400 million and take a 20-year exclusive distribution agreement for RAC-branded home and car loans for $950 million.
Source: https://www.afr.com/companies/financial-services/insurance-australia-group-goes-west-with-1-35b-rac-buy-20250515-p5lzch