IAG’s intermediated restructure will be considered by the Federal Court at the start of September following the granting earlier this year of a separate licence.

Court approval will clear the way for the intermediated insurance business to be transferred to CGU Australia on or around October 1.

IAG says there will be no impact on claims, and policies will continue to operate and be renewed in the same way. 

“The purpose of this change is to strategically position CGU and WFI for long-term success by enabling IAG to manage capital more flexibly, improve CGU and WFI’s competitive agility and better service the unique needs of our brokers, distribution partners and customers,” it says in a summary.

The Australian Prudential Regulation Authority said in May it had given authorisation to CGU. The additional licence also covers IAG’s WFI business.