IAG will run a competitive tender to select an auditor to replace KPMG, which has provided the service for the insurer since its Australian Securities Exchange listing. 

The tender process will take place this financial year, with shareholders asked to approve the appointment of the successful firm in due course. 

“IAG has been well served by KPMG as external auditor since the company’s ASX listing in 2000, with a long-standing practice of regular lead audit partner rotation,” the insurer said today. 

“The decision to conduct a tender reflects the board’s consideration of auditor tenure. With the focus on tenure, KPMG will not be invited to participate.” 

Suncorp last month confirmed that it would move away from KPMG and had chosen Ernst & Young (EY) as its preferred external auditor following a competitive tender process that began early this year. 

“Suncorp’s board will establish a formal policy on audit tender frequency. This policy will be informed by inputs from the government and regulators, as well as developing market practice,” it said. 

EY’s appointment for fiscal 2027 onwards is subject to Australian Securities and Investments Commission consent, the completion of a fit and proper assessment and shareholder approval at the annual general meeting on September 24. 

KPMG has faced federal parliamentary inquiry scrutiny this year over allegations of misuse of confidential information and its treatment of a whistleblower.