Consultants Insurance Online :: News
SHARE

Share this news item!

Record Profits for Australian Insurers Amidst Premium Increases

Industry Reports $6.1 Billion Profit, Tripling Five-Year Average

Record Profits for Australian Insurers Amidst Premium Increases?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Australia's insurance industry has reported an after-tax profit of $6.1 billion for the year 2024, a figure that is three times higher than the five-year average of $2 billion.
This substantial increase in profitability coincides with significant hikes in insurance premiums across various sectors.

In 2025, the average customer paid 19.3% more for home insurance coverage, with premiums rising from $1,070 to $1,277. Car insurance premiums also saw a 12% increase, climbing from $845 to $945. These increases have contributed to the industry's robust financial performance.

While insurers attribute the profit surge to factors such as benign weather conditions and favourable investment markets, consumer advocates express concern over the impact of rising premiums on policyholders. There are calls for greater transparency in pricing and the establishment of independent insurance price monitoring to ensure fairness and accountability within the industry.

For consultants and professionals who rely on comprehensive insurance coverage to mitigate risks associated with their services, these developments underscore the importance of regularly reviewing insurance policies. Ensuring that coverage remains adequate and cost-effective is crucial in navigating the evolving insurance landscape.

As the industry continues to adapt to changing market conditions, maintaining a balance between profitability and consumer affordability will be essential in sustaining trust and stability within Australia's insurance sector.

Published:Thursday, 26th Mar 2026
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Rate this article

0 Comments

No comments yet. Be the first to share your thoughts.

Insurance News

New insurance code is not a blanket fix for consultant cover
New insurance code is not a blanket fix for consultant cover
03 Nov 2026: Paige Estritori
The Insurance Council of Australia's redrafted General Insurance Code of Practice, lodged with ASIC on 22 October 2026, marks an important step towards stronger consumer protections and more accountable claims handling. For consultants, however, the practical message is more nuanced: the proposed Code may improve expectations around some general insurance dealings, but it should not be read as a universal safety net across every business policy. - read more
Softer premiums do not remove the need for sharper cover checks
Softer premiums do not remove the need for sharper cover checks
15 Sep 2026: Paige Estritori
Recent commercial insurance market commentary points to a more favourable pricing environment for many Australian business buyers, with competition returning in some lines after several years of tougher renewal conditions. For consultants, this is welcome news, but it should not be mistaken for a signal that professional risk has become simple or low-cost to insure. - read more
Why steadier insurer results still call for a cover review
Why steadier insurer results still call for a cover review
08 Sep 2026: Paige Estritori
APRA’s latest general insurance data suggests the Australian insurance sector is operating on a steadier footing, with industry results supported by firmer underwriting discipline, investment returns and ongoing attention to capital strength. For consultants, that is broadly positive news: a healthier insurance market can help maintain capacity and give buyers more room to discuss cover options at renewal. - read more
Why climate disclosure rules should prompt a cover check
Why climate disclosure rules should prompt a cover check
01 Sep 2026: Paige Estritori
Australia’s mandatory climate-related financial disclosure regime is moving from policy discussion into practical reporting, and consultants who support sustainability, governance, risk, data, finance or transformation projects should pay close attention. The rules initially apply to larger entities, but their impact is likely to spread through procurement, due diligence and supply chain expectations. - read more


Professionals Insurance Articles

The Importance of Public Liability Insurance for Professional Consultants
The Importance of Public Liability Insurance for Professional Consultants
Public liability insurance is a type of insurance coverage that protects businesses and individuals from the financial risks associated with claims of personal injury or property damage to third parties. Essentially, it is a safety net that helps manage the potential costs that come with accidents or mishaps that occur in the course of conducting one's business activities. - read more
Building a Resilient Consulting Business: Tips for Risk Reduction
Building a Resilient Consulting Business: Tips for Risk Reduction
In the competitive world of consulting, building a resilient business is essential for both growth and sustainability. Understanding how to reduce risks is a vital component of this resilience. Consultants, whether seasoned professionals or new freelancers, must be aware of the myriad risks that can impact their business operations and client relationships. - read more
How Claims-Made Professional Indemnity Insurance Works for Consultants
How Claims-Made Professional Indemnity Insurance Works for Consultants
Professional indemnity insurance for consultants is usually arranged on a claims-made basis, which means timing matters. This guide explains claims-made cover, retroactive dates, notification obligations, continuous cover and run-off cover for Australian consultants. - read more
Understanding Insurance Requirements in Consulting Contracts
Understanding Insurance Requirements in Consulting Contracts
Client contracts, tenders and supplier onboarding forms often ask consultants to hold specific insurance. This guide explains how to read those requirements, what certificates of currency show, and when to seek legal, broker or insurer guidance before agreeing to a clause. - read more

Knowledgebase
Insurance Deductible:
That part of an insurance claim that must be paid by an insured person before the the balance is paid by the insurer.