Investment returns dropped to $179.9m from $231m in the previous quarter.
Australia’s insurance industry profit from continuing operations fell to $87.1m (A$121m) in the March 2026 quarter (Q1 2026), down from $210.8m (A$293m) in December 2025 and $204.3m (A$284m) in September 2025.
Insurance revenue was $4.2b (A$5.90b) in Q1 2026, compared with $4.5b (A$6.21b) in December, according to statistics from the Australian Prudential Regulation Authority.
Insurance service expenses fell to $4.2b (A$5.77b) from $4.4b (A$6.17b), whilst the insurance service result edged up to $179.1m (A$249m) from $176.3m (A$245m).
The investment result dropped to $179.9m (A$250m) in Q1 2026, from $231.0m (A$321m) in December and $1.3b (A$1.76b) in September. It was $1.5b (A$2.14b) in June 2025.
The net insurance financial result through profit or loss was $8.6m (A$12m) in Q1 2026, down from $230.2m (A$320m) in December.
Total assets stood at $93.8b (A$130.32b) at the end of Q1 2026, up from $93.4b (A$129.77b) in December but below $95.0b (A$131.98b) in June 2025.
Net assets were $13.1b (A$18.17b), compared with $13.2b (A$18.35b) in December.
Return on net assets fell to 0.7% in Q1 2026from 1.6% in the previous two quarters and 4.1% in June 2025.
The industry’s capital base also declined, falling to $11.1b (A$15.45b) in Q1 2026 from $11.3b (A$15.75b) in December and $11.8b (A$16.47b) in June 2025.
The prescribed capital amount coverage ratio eased to 1.90 from 1.91 in December and 2.06 in June 2025.
The number of entities covered by the statistics remained unchanged at 22.
($1.00 = A$1.39)