* H1 net profit A$488 mln vs A$392 mln a year ago
* Interim dividend of 20 cents, up 33 pct
* Raises dividend payout ratio to 65 pct of cash profit
* FY15 GWP target range of A$15.2 bln-A$15.6 bln
* FY15 NEP target range of A$12.3 bln-A$12.7 bln (Adds dividend, outlook)
By Swati Pandey
SYDNEY, Aug 18 (Reuters) - Australia's biggest insurer by premium income QBE Insurance Group QBE.AX on Tuesday posted a 24 percent rise in first-half net profit, helped by gains from the sale of non-core assets, but slightly lowered its full year outlook.
Net profit rose to A$488 million ($359.90 million) for the six months to June from A$392 million a year ago. The insurer lifted its 2015 interim dividend by 33 percent to 20 Australian cents a share and has increased its maximum dividend payout ratio to 65 percent of cash profits from 50 percent earlier.
Under CEO John Neal, QBE has said it has taken steps to bolster future earnings and reinstate investor confidence after years of underperformance.
Those efforts include cutting costs, putting in place a comprehensive re-insurance plan, changing key management teams and selling non-core or underperforming businesses.
"With remediation initiatives largely behind us, it is time to turn our attention to growth," Neal said in a statement.
Following the sale of its mortgage & lender services business in July, it downgraded its full year outlook for gross written premium to A$15.2-A$15.6 billion from a previous target range of A$15.5-A$15.9 billion.
QBE generates almost three quarters of its premiums abroad.
The insurer, which operates in more than 50 countries, now expects net earned premium of A$12.3-A$12.7 billion compared with previous range of A$12.6-A$13 billion.
The company also posted an insurance profit margin of 10 percent during the first half, higher than 9.3 percent clocked a year ago and at the top-end of its 8.5-10 percent full-year target. Insurance margin is a measure of profit the company makes on premium.
Shares in QBE, valued by the market at A$19 billion, have risen about 25 percent year-to-date - its best performance since 2007.
($1 = 1.3559 Australian dollars)