Farm Insurance Australia :: News
SHARE

Share this news item!

ACCC Scrutinizes Major Motor Insurance Mergers

ACCC Scrutinizes Major Motor Insurance Mergers

ACCC Scrutinizes Major Motor Insurance Mergers?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.

The Australian Competition and Consumer Commission (ACCC) has opened a detailed examination into significant mergers in the motor insurance market.
The acquisitions under review include Insurance Australia Group's (IAG) endeavor to acquire RACQ Insurance and Allianz Australia's agreement to purchase RAA Insurance.

Stakeholders are urged to present their opinions on these mergers by February 14. The ACCC has scheduled to either finalize decisions or release public statements indicating any concerns by April 24.

Industry experts predict the ACCC’s primary focus will be on IAG’s strategic move to bolster its position in Queensland, especially given RACQ's established presence as one of the state's front-runners in personal insurance products.

According to the ACCC, “IAG and RACQI both provide personal lines general insurance, including home, contents and motor vehicle insurance, and acquire ancillary repair services, including smash repair services, windscreen repair and replacement services, and building repair services.”

The primary objective of the inquiry is to assess the competitive dynamics between the involved parties, measure the influence of other service providers on the proposed new entity, and understand the implications for pricing and service quality in personal insurance lines. Additionally, the inquiry will delve into how IAG's enhanced scale might impact its dealings with supplementary service suppliers.

For the Allianz and RAA agreement, there are concerns about market overlap in key insurance sectors, including home, contents, and car insurance. The ACCC has posed related inquiries for this deal as well.

IAG's proposed $855 million acquisition aims to secure a 90% stake in RACQ's insurance segment, coupled with a potential to purchase the remaining 10% in the coming years. A long-term distribution relationship spanning 25 years is also part of the agreement.

Almost concurrently, Allianz Australia announced its $642 million commitment to acquire RAA's insurance business, which similarly involves a lengthy distribution partnership lasting 20 years.

It is noteworthy that both acquisitions exclude the roadside assistance services and other membership-based activities that RACQ and RAA are widely recognized for.

Inquiries from the ACCC also pertain to whether Queensland and South Australia should be perceived as distinct geographic markets and if the insurers are recognized for competitive pricing, innovation, or aggressive market strategies.

The ACCC is also collecting data on market shares by sectors, upcoming or recent market developments, and entry hurdles for new players.

In line with these developments, letters seeking feedback have been dispatched regarding each proposed acquisition. Detailed information and queries originate from the initial discussions, as outlined in the source content.

Published:Wednesday, 5th Feb 2025
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

Queensland Integrates Heavy Vehicle Compliance with National Regulator
Queensland Integrates Heavy Vehicle Compliance with National Regulator
12 Jan 2026: Paige Estritori
In a significant move towards regulatory uniformity, Queensland has transitioned its heavy vehicle compliance responsibilities to the National Heavy Vehicle Regulator (NHVR). This change, effective from February 19, 2024, positions Queensland alongside New South Wales, South Australia, Victoria, Tasmania, and the Australian Capital Territory in adopting a cohesive approach to heavy vehicle oversight. - read more
Elevated Road Risks Amid Holiday Freight and Travel Surge
Elevated Road Risks Amid Holiday Freight and Travel Surge
12 Jan 2026: Paige Estritori
As the Australian summer school holidays approach, a convergence of increased holiday travel and peak freight activity is raising concerns among insurers and transport specialists about heightened road risks. This period sees a significant uptick in both passenger vehicles and heavy trucks on the roads, amplifying the potential for accidents and necessitating heightened vigilance among all road users. - read more
Growing Collision Risks Challenge Australian Fleet Operators
Growing Collision Risks Challenge Australian Fleet Operators
12 Jan 2026: Paige Estritori
Australia's transport and haulage sector is currently navigating a period of heightened operational risk, marked by an uptick in both the frequency and severity of motor collision claims. This trend underscores the pressing need for fleet operators to adopt proactive risk management strategies and leverage advanced insurance solutions to safeguard their operations. - read more
Calls for Super Funds to Accelerate Mental Health Insurance Claims Processing
Calls for Super Funds to Accelerate Mental Health Insurance Claims Processing
11 Jan 2026: Paige Estritori
Consumer advocates are raising concerns over significant delays in processing mental health-related insurance claims by Australian superannuation funds. As mental health conditions become a leading cause of total and permanent disability (TPD) claims, the efficiency of claim processing has come under scrutiny. - read more
GT Insurance Provides Flexible Solutions Amid Global Trade Shifts
GT Insurance Provides Flexible Solutions Amid Global Trade Shifts
11 Jan 2026: Paige Estritori
As global trade dynamics undergo significant shifts, GT Insurance is reaffirming its commitment to supporting marine clients navigating these challenges. The recent imposition of US tariffs-25% on Australian steel and aluminium, and 10% on other exported goods-has introduced new uncertainties for local exporters, particularly in sectors like beef and bulk freight. These tariffs, effective from April 5, 2025, have prompted concerns about declining export volumes and reduced freight margins. - read more
Northern Australian Marinas Struggle with Rising Insurance Costs
Northern Australian Marinas Struggle with Rising Insurance Costs
11 Jan 2026: Paige Estritori
Marina operators in Northern Australia are confronting a significant crisis as insurance premiums escalate dramatically, with some experiencing increases exceeding 300% over recent years. This surge in costs is placing immense financial strain on the industry, prompting urgent calls for government intervention. - read more
Significant Rise in Australian Home Insurance Premiums in 2025
Significant Rise in Australian Home Insurance Premiums in 2025
11 Jan 2026: Paige Estritori
In 2025, Australian homeowners experienced a substantial increase in home and contents insurance premiums, with the average annual premium rising by 14%, equating to an additional $343. This surge has placed a significant financial burden on many households, prompting concerns about the affordability and accessibility of essential insurance coverage. - read more
Australian Insurers Under Fire for Steep Premium Increases Amid Record Profits
Australian Insurers Under Fire for Steep Premium Increases Amid Record Profits
11 Jan 2026: Paige Estritori
In recent times, Australian insurers have come under intense scrutiny for implementing substantial premium increases, with some homeowners experiencing hikes of up to 600%. This trend has sparked widespread concern among consumers and advocacy groups, especially in light of the industry's record profits. - read more
ASIC Initiates Legal Proceedings Against Australian Super for Claim Delays
ASIC Initiates Legal Proceedings Against Australian Super for Claim Delays
10 Jan 2026: Paige Estritori
The Australian Securities and Investments Commission (ASIC) has initiated legal action against Australian Super, the nation's largest superannuation fund, alleging significant delays in processing nearly 7,000 death benefit claims. These delays, some extending up to four years, have raised serious concerns about the efficiency and fairness of the fund's claims handling processes. - read more
Australian Insurers Face Challenges in Risk Preparedness
Australian Insurers Face Challenges in Risk Preparedness
10 Jan 2026: Paige Estritori
Recent findings from PwC's Insurance Banana Skins Survey indicate that Australian insurers are trailing behind their global counterparts in preparedness for emerging risks, particularly in areas such as cybersecurity and artificial intelligence (AI). - read more


Farm Insurance Articles

Common Pitfalls to Avoid When Insuring Your Farm Equipment
Common Pitfalls to Avoid When Insuring Your Farm Equipment
In the world of agriculture, having the right insurance coverage is essential. Farming is a high-risk industry that deals with unpredictable elements, and insuring your farm equipment can safeguard your livelihood. - read more
Risk Management and Insurance Options for Farmers
Risk Management and Insurance Options for Farmers
Risk management is the practice of identifying, assessing, and prioritizing risks followed by coordinated efforts to minimize, monitor, and control the probability or impact of unfortunate events. In farming, risk management involves various strategies to protect the financial health and operational stability of the farm. - read more
Insurance for Hobby Farms: Finding the Right Coverage
Insurance for Hobby Farms: Finding the Right Coverage
Hobby farming has become increasingly popular in Australia, with many individuals and families embracing the joys of growing their own produce, raising livestock, and enjoying a rural lifestyle. Whether it's a small vegetable garden, a few chickens, or a larger mixed farming operation, hobby farms offer both relaxation and a connection to nature. - read more
Building Resilience Against Natural Disasters: Practical Steps for Aussie Farmers
Building Resilience Against Natural Disasters: Practical Steps for Aussie Farmers
Australian farmers face an array of natural disasters that can threaten livelihoods and disrupt the delicate balance of agricultural ecosystems. From devastating bushfires and droughts to powerful storms and floods, these catastrophic events pose serious risks to the farming community. Understanding and preparing for these forces is not just about survival; it's about building a sustainable future for farms across the continent. - read more
The Modern Farmer's Checklist for Assessing Farm Equipment Insurance Needs
The Modern Farmer's Checklist for Assessing Farm Equipment Insurance Needs
As the backbone of Australian agriculture, farm equipment plays an essential role in day-to-day operations across our expansive and diverse landscapes. From the vast wheat belts to the tropical fruit farms, machinery ensures efficiency and productivity in the face of constant challenges. But with reliance on such equipment comes significant risk—the financial burden of damage or loss can be devastating to a farmer's livelihood. - read more
Farm Liability Insurance Costs vs. Benefits: Is It Worth It?
Farm Liability Insurance Costs vs. Benefits: Is It Worth It?
Farm liability insurance is a type of coverage that protects farmers from financial losses due to legal claims and lawsuits. This insurance is crucial for safeguarding your farm against various liabilities that may arise from farm operations. - read more
How to Safeguard Your Farm: A Guide for Australian Farmers
How to Safeguard Your Farm: A Guide for Australian Farmers
Farming is inherently risky. With factors like weather, pests, and market fluctuations affecting crops, it's crucial to manage these risks effectively. - read more
How to Protect Your Harvest: Tips for Choosing the Right Crop Insurance
How to Protect Your Harvest: Tips for Choosing the Right Crop Insurance
Farming, at its core, is an enterprise fraught with uncertainty. Weather calamities, pests, diseases, and fluctuating market conditions can all impact the output and quality of produce. This is where crop insurance proves its worth, serving as a safety net for farmers against the myriad risks they face each season. - read more
Protecting Your Herd: The Aussie Farmer's Guide to Livestock Insurance
Protecting Your Herd: The Aussie Farmer's Guide to Livestock Insurance
For Australian farmers, livestock is more than just a vital asset; it's the heartbeat of their livelihood. In a land where the sunburnt plains are as relentless as they are beautiful, protecting your herd isn't just a duty; it's a necessity. That's where livestock insurance comes into play—a shield against the unpredictability of Mother Nature. - read more
The Digital Farmer's Guide to Insuring Your Agribusiness in the Tech Age
The Digital Farmer's Guide to Insuring Your Agribusiness in the Tech Age
Welcome to the defining era where technology and agriculture entwine, bringing forth the digital farmer's era. With the evolution of agribusiness in the tech age, comes an array of new tools, opportunities, and risks. As a custodian of the earth and steward of the latest innovations, safeguarding your digital farm is just as crucial as nurturing your crops and livestock. - read more


Need a Quote?
Start your free farm insurance quote comparison here.
Farm Type:
Postcode:

All quotes are provided free and without obligation by a Specialist from our National Broker referral panel. See our Privacy Statement for more details.


Knowledgebase
Policyholder:
The individual or entity who owns the insurance policy.