IAG migrates 2 million customers to new insurance engine

Insurer IAG has moved more than 2 million customers onto its new core insurance engine.

The ASX-listed company plans to migrate a total of 6 million customers onto the consolidated policy, billing and claims platform.

First revealed in December 2021, the “enterprise platform” began rolling out to IAG’s retail brands, which include NRMA and ROLLiN, in the past financial year.

“Our enterprise platform provides a single, consistent policy, price and claims engine across our entire retail business," IAG CEO and managing director Nick Hawkins told investors.

“We’ve built that platform for scale. We already have 2 million customers on the platform, and we have 300,000 renewing each month.”

Hawkins said the enterprise platform, which runs in an AWS private cloud [pdf], is “really enabling” IAG’s business to operate and grow.

“We will now continue to innovate and leverage this platform to drive efficiency in this business, together with improving customer experiences,” he said.

IAG’s results also revealed higher spending on technology, which came under an 11 percent increase in administration costs.

The insurer incurred additional compliance expenditure, including costs related to cyber and data security.

Hawkins added that IAG is now using “AI tools... to better identify and help customers" making insurance claims.

IAG's full-year results for 2024 saw it produce a net profit after tax (NPAT) of $898 million, up 7.9 percent year-on-year. 

Earlier this year, IAG revealed its intention to move its application estate to software-as-a-service, favouring that over having applications that are hosted either on-premises or on partner-run infrastructure.

Speaking at AWS Summit Sydney in April, executive general manager for partnering, integration and quality Andrew Alexander said IAG had been moving to "simplify [its] technology assets across [its] group,"