AUB Group has reported a 25% rise in third-quarter earnings and announced the appointment of former IAG executive Ben Bessell as Austbrokers Chief Broking Officer.

Third quarter adjusted net profit rose to $9.2 million, taking the year-to-date result to $30.5 million, also up 25%.

Premium rates increased 6.3% in the quarter and AUB said there was increased adoption of premium funding by customers, while cash collection continued to be strong.

The update says it had “cash and debt headroom" of $82 million as of March 31 and the group says it is working with partners, insurers and the broader industry to address coronavirus developments.

“We recognise the difficulties some of our clients are facing and will work with them closely as they navigate the coming months,” MD Mike Emmett said.

“AUB’s financial strength and liquidity positions it well for these difficult times.”

The group’s Australian broking division has performed ahead of forecasts developed at the beginning of the financial year as it heads into the mid-year renewals season.

New Zealand’s important March renewal period was “broadly on target” with premium rates remaining flat as forecast.

Mr Bessell will take up the Austbrokers position on July 13, after leaving IAG at the end of last month following more than 26 years with the insurer.

Mr Emmett says AUB has been restructuring some elements of its business and Mr Bessell will play a key role in managing the network as changes are being made.

“We have had a new focus on corporates, and we are creating a new specialty unit,” he told insuranceNEWS.com.au.

“We have grown fairly significantly, and we feel it is appropriate to have someone of Ben’s experience looking after our broking pieces across the business.”

Mr Bessell’s roles at IAG included EGM Business Distribution and leadership of the Australian business division.

AUB last month withdrew its full-year forecast and took steps to conserve liquidity amid uncertainty caused by the COVID-19 outbreak.