ING Australia has booked a 50% drop in insurance profit for the second quarter this year compared with the corresponding period last year on the back of lower investment earnings and accounting changes.

The underlying pre-tax profit of €19 million ($32 million) disclosed by part-parent ING Group compares with €38 million ($64 million) achieved in the second quarter last year.

ING Australia operates in Australia and New Zealand as a joint venture between the Dutch ING Group (51%) and ANZ Bank (49%).

Results for the previous year quarter included €6 million ($10 million) in profit from ING Australia Holdings.

Robust life risk sales and business retention helped ING lift premium income 16% (excluding currency effects) in Australia and NZ during the second quarter. The Australasian profit result partly offset a 62% rise to €201 million ($340 million) in pre-tax underlying profit for Asia Pacific.

Globally, ING Group reported a 96% drop in second-quarter net profit to €71 million ($120 million), as risky loans and a drop in real estate holdings took their toll on the Dutch financial services giant.

Last October the Dutch Government pumped €10 billion ($17 billion) into ING.

The group says it is "reviewing additional strategic options" to see it through continued transformation and realise its ambition to repay the state.