A re-energised investment strategy has helped power HBF to a sharp profit rise as WA’s biggest private health insurer emerged from a protracted technology upgrade into what it reckons will be a “defining” period in its history.
The mutual on Friday disclosed a more than tripled annual surplus of $131.2 million – up from $44.2m – that largely reflected a modest rise in revenue to a record $2.32 billion and a 32 per cent jump in its investment returns to $99.9m.
Having parked cash in the past few years to support the $300m-plus overhaul of its technology systems, the insurer “re-risked” its typically conservative investment settings over the 2025 financial year, deploying the funds back into higher-returning growth asset classes such as shares.
The IT revamp has positioned HBF, founded in 1941, to take better better advantage of the preference of its 1.2 million members for online services and products, while also bulwarking cyber security.
HBF chair Diane Smith-Gander said in the group’s annual report the upgrade had “unlocked new opportunities for the organisation, positioning us to leverage emerging technologies, including AI”.
“With these foundations in place, the next five years is set to be a defining moment in HBF’s evolution,” she said.
More to come.
https://thewest.com.au/news/health/hbf-embarks-on-defining-period-as-profit-triples-to-131m-on-investment-returns–c-20071521
