Insurance Australia Group has settled Credit Suisse’s A$2.8 billion claim over insurance policies linked to the collapse of Greensill Capital, removing one of the largest remaining pieces of litigation from the supply-chain financier’s failure.
IAG disclosed the agreement Friday but kept the financial terms confidential. The proceedings concerned policies issued by its BCC Trade Credit unit to Greensill entities. Credit Suisse, now owned by UBS, had pursued recovery after winding down about $10 billion in funds connected to Greensill when the financier collapsed in 2021.
The face value of the claims was about A$2.8 billion plus interest. IAG said the settlement will not have a material effect on its 2027 financial results, an indication that insurance, reinsurance or indemnity arrangements may absorb much of the exposure, though the company did not publish the allocation.
The agreement follows IAG’s separate settlement this year of an A$4 billion proceeding brought by administrators of Greensill Bank. It does not close every Greensill-related case against the insurer: proceedings brought by White Oak remain on foot, with claims carrying a face value of nearly A$170 million.
For Credit Suisse fund investors, the settlement resolves an important recovery route but leaves the distribution outcome dependent on confidential terms and the funds’ broader wind-down.
