Steadfast says it will undertake a “thorough process” in investigating allegations against CEO and MD Robert Kelly, who has temporarily “chosen to stand aside”.

As reported yesterday, the broking giant has ordered an external investigation into an employee’s workplace complaint.

It says that “to date no allegations against [Mr Kelly] have been substantiated”. 

Outgoing chair Frank O’Halloran said at this morning’s annual general meeting: “I really would appreciate our shareholders’ patience in allowing the board to undertake a thorough process, in the interests of ensuring procedural fairness.”

Non-executive director Vicki Allen, who has become chair after today’s AGM, added: “I take the opportunity to reconfirm the importance to me and the Steadfast board of strong corporate governance at Steadfast.”

Steadfast shares have fallen following yesterday evening’s announcement to the Australian Securities Exchange. The stock dropped almost 10% today to $5.60 at the close of trading, down from $6.20 yesterday before a trading halt that preceded the announcement.

Analysts say the fall today also relates to Steadfast’s revised premium forecast.

Mr O’Halloran told the AGM the business recorded a lower increase in premium rates in the first three months of this financial year.

Steadfast has cut its 2025-26 premium rate rise forecast to 1%-2%, down from 3%-5%.

“In response to the changing market conditions, management is implementing a range of initiatives including acquisition opportunities and expense management. Steadfast’s FY26 [earnings] guidance range remains unchanged,” Mr O’Halloran said.

Morningstar analyst Nathan Zaia says Steadfast remains a strong company.  

“At the AGM they gave a bit of an update and while they say they are maintaining guidance, the premium rate implications … that’s probably weighing on the share price as well,” he told insuranceNEWS.com.au.

“People coming to terms with, ‘We’re not getting this massive tailwind from rate increases any more, so how will that affect the business?’

“I think those two things are probably hitting at once today, and often what happens is the market does react.”

Steadfast Australasia broking CEO Tim Mathieson, who is now acting group CEO, told the annual meeting: “I feel that I’m well suited to the role. I’ve got a lot of experience in the industry and also well qualified to act in the CEO role.”

Mr Mathieson took the Australasian broking role in May. He was previously CEO of Steadfast subsidiary QIB Group.