Looking further afield
Our direction is clear. We have rebuilt the foundations and now aim to deliver further improvements 
OUR STRATEGY
To deliver superior performance by actively managing our portfolio of general insurance businesses and driving operational performance and execution.
OUR FINANCIAL TARGETS FOR FY10
Gross written premium growth of 1%–3%
Insurance margin in the range of 9%–11%1
OUR LONG TERM FINANCIAL TARGETS
Over the cycle, we aim to deliver:
- Top quartile shareholder return.
- Return on equity of more than 1.5 times the weighted average cost of capital.
OUR STRATEGIC PRIORITIES FOR FY10
To improve performance in our home markets of Australia and New Zealand by:
- Accelerating performance in Australia Direct Insurance: gain and use better customer insights and more effective marketing; improve risk selection and underwriting; and improve efficiency.
- Rebuilding the fundamentals in Australia Intermediated Insurance (CGU): drive increased profitability through ongoing price reviews and improved underwriting; extract efficiencies; increase presence in corporate market; and upgrade technology platforms.
- Improving performance in New Zealand: improve risk based pricing capability in State and Business Partners; focus on risk selection and underwriting expertise in NZI; and improve branding and marketing capabilities across all businesses.
To pursue selective general insurance growth opportunities by:
- Strengthening our specialist underwriter in the UK.
- Growing our presence in select Asian markets—commencing our joint venture in India; strengthening our existing businesses in Thailand and Malaysia; and reviewing joint venture opportunities in China.
- Reviewing other select, niche opportunities which incrementally drive value.
To drive operational performance and accountability.
- 1Subject to losses from natural perils being within the budgeted allowance of $350m, and no material movement in foreign exchange rates or investment markets.