Are IAG shares a buy, hold, or sell following the RAC WA deal?

Insurance Australia Group Ltd (ASX: IAG) shares are underperforming the market on Friday, down 2.4% to $8.69 apiece.

Meanwhile, the S&P/ASX 200 Index (ASX: XJO) is 0.55% higher at 8,343.2 points.

There is no official news from the insurance giant today.

Its share…