CGU has given 90 days’ notice that it’s quitting the IBNA commercial facility. As reported last week, the major cluster group’s under-performing facility has already seen the withdrawal of QBE Mercantile Mutual. But IBNA CEO Paul Serong says the issues raised by the two insurers’ withdrawal “will only be a short-term negative as we work to rebuilt a stronger and more cohesive facility”.

Noting that his 83 members still have access to plenty of products and services for their clients, he said IBNA “still has a firm place and future in the Australian insurance market”.

“We strongly believe that the successful insurance broker of the future will need to provide both general insurance and financial services to their client base, and we hope a partnership with [financial services specialist] Millennium3 will make this possible.”

IBNA has also launched a heavy motor facility for its members, and is negotiating professional liability products.