AUB Group Limited Annual Report 2023

DIRECTORS’ REPORT YEAR ENDED 30 JUNE 2023

PRINCIPAL ACTIVITIES AUB Group Limited (ASX: AUB) is an ASX200 listed group comprising insurance brokers and underwriting agencies operating in ~570 locations . Over ~5,000 team members work with our ~950,000 clients to place more than ~$9.5bn in insurance premiums with local and foreign insurers. AUB Group operates through five key business segments. The Group’s core revenue is derived from arranging insurance policies and from related products and services. The amount of revenue earned is determined by premiums placed, sums insured and the general level of economic activity. Australian Broking businesses provide insurance broking and advisory services primarily to SME clients. The division encompasses broking businesses, complemented by established capabilities in member services, life insurance broking, premium funding, and claims management. In New Zealand Broking our businesses provide insurance broking and advisory services primarily to SME clients. AUB Group holds equity stakes in 5 major insurance broker partners as well as ownership of NZbrokers (the largest broking management group in New Zealand). Agencies distribute and manage insurance products on behalf of licensed insurance companies through General Commercial, Strata and Specialty sub-divisions with underwriting agencies with access to delegated global underwriting capacity. These products and services are available to customers of insurance brokers, in and outside the AUB Group’s broking networks. Tysers includes Wholesale and Retail broking and Managing General Agents (MGA) and is headquartered in London. This is a separately reportable segment given Tysers is largely UK based operating mainly in markets outside Australia. Support service businesses provide a diverse range of services to support the Broking, Agency, New Zealand and Tysers segments, and external clients. Services include: a. Platforms division: automated quoting & binding, white-labelling, and technological support. This division includes BizCover, Australia’s leading digital SME insurance platform with multi-channel presence and a comprehensive insurance offering. The business also provides the Austbrokers network with ExpressCover, Australia’s newest SME insurance platform utilising the BizCover quote and bind engine. b. Corporate: AUB Group Head office. These sub segments are not individually reportable.

TOTAL INCOME BY SEGMENT 1

UNDERLYING PROFIT BEFORE TAX BY SEGMENT

1%

5%

(11)%

14%

(28)%

34%

28%

58%

37%

2023

2022

2023

2022

27%

43%

81%

58%

21%

14%

16%

19%

7%

8%

Australian Broking

Agencies

New Zealand

Tysers

Support Services

The Group owns equity stakes in its partner businesses, which in turn provide trusted support and guidance to clients relating to physical, people and financial risks. This is backed by services the Group provides that help our partners operate with less risk, manage their businesses more profitably and ultimately achieve better client outcomes. These services include broker member services, claims and loss adjusting businesses, technology support, a centralised data-centre and related infrastructure support, common broking and back-office platforms, finance, tax, M&A, human resources, risk, compliance and other operational support services.

1 Total Income is presented on a statutory basis whilst Underlying Net Profit Before Tax is a non IFRS measure. Refer to Note 3 within the Financial Report for further information.

AUB GROUP ANNUAL REPORT 2023

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