** Macquarie says ASX-listed insurers' domestic Business Package market share fell to about 48% in FY25 from nearly 67% a decade ago

** Macquarie survey finds only 2 of 9 insurers grew direct channel premiums over past 12 months, with acceleration expected in FY26/27

** Just 1 of top 12 insurers improved customer retention despite slowing premium rate cycle

** Expects insurers to maintain Business Package share in FY26, but warns agentic AI adoption poses medium-term threat to distribution, pricing and comparability

** Insurers Australia Group IAG.AX, QBE Insurance QBE.AX are up 0.3% and 0.1% respectively, while Suncorp SUN.AX is down 0.2% in mixed sector trading

** YTD, QBE and SUN are up 11.6% and 8.2%, respectively, IAG down 1.1%

(Reporting by Kumar Tanishk in Bengaluru)

((Tanishk.Kumar@thomsonreuters.com; X: @thatstanishk http://www.x.com/thatstanishk;))