subscribe to our newsletter

IHA increases share in iSelect

The ACCC has cleared the way for the parent company of Compare the Market, Innovation Holdings Australia, to increase its stake in competitor iSelect.

Innovation Holdings Australia Pty Ltd is set to increase its hold over the comparison website market as it looks to take up a greater share in iSelect.

Through its related bodies corporate, it owns comparison site comparethemarket.com.au, which offers services to consumers that compare financial products (including mortgages), as well as credit cards, insurance, energy and utility services.

It also is the parent company of Auto & General Insurance Company Ltd and Auto & General Holdings Pty Ltd (together, Auto & General) which underwrite and distribute home, motor and travel insurance in Australia, primarily under the brand Budget Direct.

It currently owns approximately 29 per cent of the shares of competitor comparison website iSelect, which it acquired through a series of acquisitions beginning in 2018


However, last year, Innovation Holdings outlined that it intended to acquire up to an additional 6 per cent of the shares of iSelect.

This would take its holding to 35 per cent of shares in the ASX-listed comparison website, iSelect Ltd.

Following a review, the Australian Competition and Consumer Commission (ACCC) said it would not oppose the proposed acquisitions.

ACCC Commissioner Stephen Ridgeway commented: “We examined the acquisitions carefully, because iSelect is a major competitor to Compare the Market for comparison services.

“In some cases, even minority shareholdings in a competitor can lead to muted competition between the parties.”


According to the competition watchdog, an IHA shareholding in iSelect of up to 35 per cent would be “unlikely to substantially lessen competition” in any potential market for comparison services, including in any specific product category, such as home loans.

“We consider that IHA owning the stake in iSelect will not substantially affect competition in the market. 

“Other routes to market exist for providers, including other comparison websites. There are also government websites available to consumers [for energy and health insurance] such as www.energymadeeasy.gov.au and www.privatehealth.gov.au,” Mr Ridgeway said.

The commission added that it encouraged consumers to ensure they know how comparison websites work, in particular “what providers they are actually comparing and who they are not comparing” (as they may not compare all the offers or products and services available in the market), before relying on them for products and services.

[Related: LK Group acquires InfoChoice from iSelect]

IHA increases share in iSelect
IHA increases share in iSelect

Are you a new-to-industry broker in the process of growing your business? Then there’s some great news: The Adviser’s New Broker Academy is back in 2021 and will provide you with essential insights into cutting-edge tools, strategies and processes to fast-track to success. Don’t miss your chance to attend. To secure your FREE place, visit newbroker.com.au now!

Annie Kane

Annie Kane is the editor of The Adviser and Mortgage Business.

As well as writing about the Australian broking industry, the mortgage market, financial regulation, fintechs and the wider lending landscape – Annie is also the host of the Elite Broker and In Focus podcasts and The Adviser Live webcasts. 

Contact Annie at: This email address is being protected from spambots. You need JavaScript enabled to view it.

Latest News

OPINION: Debt-to-income ratio limits: do they help, or hinder? With the average property in Australian capital cities now over $700,000, l...

The Treasurer has met with regulators to discuss the housing market and consider whether “carefully targeted and timely adjustments” ...

The platform has become the first private sector exchange accredited under the ​​Trusted Digital Identity Framework. ...

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

How long do you think it should take to discharge a mortgage?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.