IAG taps UK risk expert for CFO

The news: Insurance Australia Group has appointed William McDonnell as chief financial officer, to replace retiring CFO Michelle McPherson. McPherson has steered the insurer's finances since early in the COVID-19 pandemic.

The numbers: McDonnell was chief risk officer at UK-based multinational insurer RSA for the past seven years, and has also directed UK financial giant HSBC Investment Bank's insurance capital advisory. He will step into the role on 11 December subject to regulatory approvals.

The context: Insurance globally is currently in a hard market, an upswing in the market cycle when premiums increase and capacity decreases. Reinsurance has been difficult for Australian insurers to obtain amid an increasing incidence and severity of natural disasters, and with mitigation spending failing to keep pace despite longstanding calls from the Insurance Council of Australia.

What they said: "William brings extensive experience in financial and capital markets to IAG, and a deep understanding of regulatory environments, finance, risk and climate risk," IAG chief executive Nick Hawkins said in a statement.