Insurance Australia Group (ASX:IAG) fully integrated RACQ Insurance (RACQI) into its reinsurance framework for catastrophe cover, whole-of-account quota share (WAQS), and aggregate stop-loss protection, according to a Tuesday filing with the Australian bourse.
The 2026 catastrophe reinsurance program provides coverage for two events of up to AU$10 billion, with a AU$500 million attachment under the company's existing WAQS arrangements, per the filing.
RACQI's quota share arrangements have been replaced by the company's WAQS structure, increasing the total proportion to 35% of the consolidated business, the filing said.
The multi-year aggregate stop-loss program now provides around AU$1 billion a year in downside protection for natural perils through fiscal 2029, the filing added.