Top executive departs IAG in restructuring move; Australian units split

General insurer IAG has unveiled plans to split its Australian units three years after  merging them into a single division, in a move the company hopes will bring "greater clarity on roles and responsibilities", but will lead to the departure of its chief executive Mark Milliner.

Earlier in 2017, IAG created a single Australian division under Milliner to drive simplification and optimisation of its operating processes and systems.

Under the new operating model, the insurer's domestic business will again be split into direct and intermediated divisions, effective immediately. As a result, IAG CEO Australia Milliner will leave the company at the end of November.

The changes were announced by IAG managing director and CEO Nick Hawkins who takes the reins at the general insurer today.

While an internal and external search is underway, Amanda Whiting, currently IAG executive general manager, consumer distribution, will be acting group executive of Direct Insurance Australia.

Julie Batch will act as group executive of Intermediated Insurance Australia, in addition to her current responsibilities leading IAG’s strategy & innovation division.

Other executive changes will include Michelle McPherson's appointment as new permanent chief financial officer (CFO) after acting in that capacity since joining IAG in April this year.

“I’m pleased to officially appoint Michelle as CFO after six months acting in the role during an exceptionally challenging period. Michelle has more than 30 years’ finance experience across multiple industries and I look forward to her ongoing contribution,” said Hawkins, IAG's managing director and CEO.

Hawkins added: “Mark has enjoyed a long career in insurance and is highly respected in our industry. We have been peers on the executive team for the past four years and I’ve seen first-hand the significant contribution he’s made to our company. I want to personally thank Mark for his help and support and wish him every success for the future.

“The changes announced today will set us up well for success as we continue to focus on delivering a simpler, stronger and more resilient IAG that meets the evolving needs of our customers and communities we serve.”