May 15 (Reuters) - Insurance Australia Group IAG.AX said on Thursday it will buy The Royal Automobile Club of Western Australia's insurance business and entered a licensing agreement for its home, motor and niche insurance products for a total of A$1.35 billion ($867.51 million).
($1 = 1.5562 Australian dollars)
(Reporting by Adwitiya Srivastava in Bengaluru; Editing by Alan Barona)
((Adwitiya.Srivastava@thomsonreuters.com))
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