IAG has restated its profit to reflect the company’s takeover of Wesfarmers Insurance’s underwriting business in July.

Personal insurance and commercial insurance divisions have replaced the former Australia Direct and CGU.

Commercial insurance, which includes most of CGU, plus Swann Insurance and the retail business insurance operations in Australia Direct, earned gross written premium (GWP) of $2.27 billion last financial year.

Net claims were $1.09 billion and it paid commissions of $314 million.

Underwriting profit was $211 million and the insurance profit was $371 million, with a total profit for the division of $380 million.

The loss ratio was 53.8% and the combined operating ratio 89.6%.

Personal insurance reported GWP of $5.34 billion, net claims of $3.05 billion and commission expense of $250 million.

It made an underwriting profit of $713 million and an insurance profit of $1.02 billion.

The loss ratio was 64.1% and the combined operating ratio 85%.

IAG says the Wesfarmers operations recorded GWP of $1.76 billion, excluding levies, last financial year.

If apportioned among IAG, the Wesfarmers business would contribute 15% of personal insurance GWP, 60% of commercial insurance and 25% of New Zealand GWP.

IAG’s third arm, enterprise operations, provides support services. The cost of these are included in the personal and commercial divisions’ results.