Suncorp suffered big hits across the board and its full-year cash earnings fell 32 per cent to $749 million. Its dividend has been slashed to 10 cents a share for the second half, giving a full-year payout of 36 cents a share.

After the devastating bushfire, its reinsurance program saved the company from an extra $1 billion in claim costs and the pandemic also cost the company’s profits $140 million.

Managing director Steve Johnston also issued a warning about climate change saying that Australia should not kid itself that the problem has gone away.

“Arguably, our nation is no better placed heading into this summer than we were this time last year. Yet again we are relying on the heroes at the front line and the fire and emergency services and first responders to keep us safe,” Johnston said.

“This can longer remain in the too-hard basket. Now is the time for government at all levels to work with business, big and small, and to invest in a nation-building program encompassing infrastructure, incentives, improved building standards and the removal of inefficient taxes and charges.

“This will not only reduce the impact of natural disasters on our communities it will provide much-needed economic stimulus at a time when it is desperately needed particularly in regional communities.”

Suncorp also revealed that it had stopped underwriting, financing or directly investing in new oil and gas projects, a significant step for a company in which its home state is heavily reliant.

It will phase out all financing by 2025 and direct investment by 2040. It has previously said it will phase out financing thermal coal by 2025.

The strategy is unlikely to dramtically alter its business because its investment and financing level in fossil fuels is low.

The Queensland-based company is changing dramatically with significant digitalisation altering the company’s fundamental structure, which Johnston said would open up new opportunities.

And after a year of global and domestic turmoil managing director Steve Johnston said comparing its performance to last year was useful and that the pandemic would have long-lasting health and economic impacts, but it would also present opportunities to accelerate the company’s pace of change.

“The growing preference for digital and reliance on technology is shifting the way we work and the way we support customers,” Johnston said.

“This period has fundamentally changed our perspective on what’s possible and how quickly and efficiently we can adapt to deliver new customer experiences and drive greater efficiencies within the organisation.”

Suncorp would also simplify its products and what its insurance division covers, “particularly in light of the changing climate, affordability and more demanding community expectations”.

Suncorp has also announced it will no longer insure oil and gas projects and cease investment in fossil fuels by 2040.

The hits to Suncorp were across its business groups. Its banking division profit fell 33 per cent, insurance was down 34 per cent and home lending contracted 2.8 per cent.

Home loan repayment deferrals have fallen from 8 per cent to 5 per cent, 31,000 motor and home insurance customers received a three-month premium waiver or discounts.

The bank will also take a $60 million hit for its bungled staff pay issue.

Johnston said an economic recovery would start next year, but there was also a lot of uncertainty.