RAC notes the decision by the Australian Competition and Consumer Commission (ACCC) to oppose our proposed insurance partnership with Insurance Australia Group (IAG).
IAG has announced it will now lodge a Public Benefits Application for the proposal. This process allows the ACCC to consider broader benefits, in addition to its competition assessment.
RAC supports this next step. We continue to believe in the long-term benefits the proposed partnership would provide for our members, our people and the WA community.
About the proposed partnership
Last year, following a strategic review by RAC of our insurance business, we announced our intention to enter a 20-year general insurance partnership with IAG.
Under the proposal, IAG would acquire and manage RAC’s insurance underwriting business. RAC would continue to distribute insurance under the RAC brand. Local branches, claims teams, and call centres would remain. RAC's focus on advocacy, community investment and member value would also continue and expand.
Comments attributable to RAC Group CEO Rob Slocombe
“We continue to believe in the benefits of the proposed partnership with IAG, which would strengthen RAC's ability to respond to a changing insurance landscape and maintain a competitive offering for members.”
“By partnering with a national insurer, RAC can reduce the risk it carries alone, while continuing and expanding our focus on members, the WA community and RAC’s broader services.”