QBE is unlikely to place new bids for insurance brokers or underwriters in the near future but is looking at new distribution channels in other sectors, the head of the insurer's Australian operations has revealed.

Providing a rare insight into QBE's distribution strategy, Australian COO Terry Ibbotson told Sunrise Exchange News the company is scouring industry sectors and financial institutions for new beachheads from which to sell insurance products.

QBE, Australia's largest insurer by gross premium, owns numerous underwriting agencies and has a 14.9% stake in cluster group Austbrokers, but doesn't enjoy the same level of influence among financial institutions.

Now the company is preparing to appoint a new position of manager of corporate partners to oversee QBE's expansion of intermediary channels, although Mr Ibbotson says this is unlikely to include buying into insurance brokerages.

QBE is also earmarking candidates for a newly created head of underwriting agencies who will work to remove duplication and co-ordinate overall strategic direction.

Mr Ibbotson says the company wants to maintain broker independence.

"Following the OAMPS acquisition by Wesfarmers, we had to make a decision on distribution," he said. "While in our opinion it is better for insured customers that brokers are independent of insurers, we couldn't really give up ownership of distribution to our competitors, so we decided to take a strategic stake in Austbrokers, but not to become involved in Austbrokers' management."

QBE has also offered to acquire a similar minority stake in the Steadfast cluster group to protect it against predators should the company float on the Australian Stock Exchange.

Mr Ibbotson also plays down QBE's recent flourish of underwriting agency takeovers as evidence of a new impetus in the market, saying they have been motivated by operational efficiencies.

He says the company might examine acquiring other underwriters providing they don't sell similar insurance lines.

"About seven years ago, we decided that it didn't make sense for us to distribute the same product through the branch network and through third parties," he said. "We were just asking for channel conflict - which is what we got.

"We set about trying to come to arrangements with those underwriting agencies to buy them or to enter into some agreement to protect our business."

The recent purchase of Universal Underwriting from OAMPS was the last to be bought under that strategy. "I've been trying to buy Universal on reasonable terms for the past seven years through three different owners," Mr Ibbotson said.

QBE's latest deal with Elders to exclusively underwrite all of the rural operator's major liability, special risks and engineering lines has raised eyebrows among brokers, but again Mr Ibbotson plays down the deal.

"The intention is to put the majority of Elders business through its own insurance company. It's important we don't have channel conflict with Elders."