By Alice Uribe

SYDNEY--Insurance Australia Group Ltd. says that its gross reinsurance protection against catastrophic losses for 2021 has been maintained up to 10 billion Australian dollars (US$7.76 billion).

The Australian insurer said Wednesday that this is the same level as 2020 and has been placed to the extent of 67.5% to reflect IAG's cumulative whole-of-account quota share arrangements.

"IAG experienced a modest increase in reinsurance rates during the renewal process, with the overall expense outcome in line with expectations," said the insurer. "The overall credit quality of the 2021 program is strong, with approximately 90% continuing to be placed with entities rated A+ or higher."

IAG also said it will include the A$1.15 billion pre-tax earnings impact of the provision for business interruption claims announced on November 20 as part of net corporate expenses in its first-half investor report.

IAG will report its first-half result on February 10.

Write to Alice Uribe at alice.uribe@wsj.com

(END) Dow Jones Newswires

01-05-21 1709ET