Crusaders coach Scott Robertson says Dagg's contribution has been impressive both on and off the field over the years.
"Izzy is obviously a talented individual, but he also impresses with his commitment and positive influence within the team environment," Robertson said.
"To reach 100 Super Rugby games is testament to both his undeniable skill set and determination to play at an elite level."
Robertson has also named six Crusaders debutants in his side to face the Brumbies - halfback Bryn Hall, wingers George Bridge and Seta Tamanivalu, centre Jack Goodhue and Whetu Douglas at No.8.
Halfback Ere Enari is set to make his debut from the bench.
Robertson's forward pack is brimming with experience, headed by props Joe Moody and Owen Franks, and hooker Ben Funnell.
Scott Barrett and new captain Sam Whitelock will start at lock while loose forwards Jordan Taufua and Matt Todd will be joined by Douglas at No.8.
Crusaders:
Israel Dagg, Seta Tamanivalu, Jack Goodhue, Ryan Crotty, George Bridge, Richie Mo'unga, Bryn Hall, Whetu Douglas, Matt Todd, Jordan Taufua, Sam Whitelock (captain), Scott Barrett, Owen Franks, Ben Funnell, Joe Moody.
Reserves: Codie Taylor, Wyatt Crockett, Michael Alaalatoa, Luke Romano, Pete Samu, Ere Enari, Mitchell Hunt, David Havili.