Only 15 of Australia’s top 250 companies have received the highest rating in a study into corporate governance procedures. The result shows a clear decline from last year, according to University of Newcastle researchers. The Horwath 2003 corporate governance study shows that more than half of the companies studied demonstrated “good understanding” of governance, and 30% “clearly lacked structures and evidence of good practices”.

Insurers weren’t exactly over-represented in the 15. IAG came in fourth – a substantial improvement from last year when it was rated 15th. Affiliate company NRMA Insurance came in at 15th, and OAMPS was 69th.

Newcastle Business School Associate Professor Jim Psaros says the results show many companies are “either unwilling or very slow to act” with their corporate governance procedures. “It was of concern that the independence levels of Australia’s top 250 company’s boards of directors and associated committees appear to have deteriorated since 2002,” he said.