AFG winds down Verikai as a standalone business

Three years after acquiring predictive data and risk platform Verikai and saying it would continue operating independently, American Financial Group has shut down the insurtech as a standalone business.

At the time of the acquisition, AFG emphasized that Verikai would remain a separate, market-facing business.

“Last month, we announced AFG’s acquisition of Verikai in December of 2021 for $120 million in cash. We believe that artificial intelligence and machine learning will continue to have a significant impact on the insurance industry and see Verikai as a thoughtful and effective leader in the use of these technologies. We’ve been very selective and intentional with our investments in the insurtech space and have enjoyed great success with several strategic relationships. Although we don’t often invest directly in insurtech entities, we found Verikai to be an outstanding opportunity. Verikai will continue to operate as a stand-alone company to serve its insurance clients.” — Stephen Craig Lindner, Co-President and Co-CEO, February 2022.

Today, AFG says the strategy has shifted. AFG told Coverager it ceased operating Verikai as an independent company in mid-2025. A small number of technology employees were retained to support Great American Insurance Group’s medical stop-loss operations and other internal projects. Verikai’s website has since been taken offline.

AFG acquired the San Francisco-based underwriting startup in Jan 2022 for $120 million in cash. Founded in 2018, Verikai used artificial intelligence and alternative data to help insurers assess risk and was positioned to support AFG’s expansion into medical stop-loss while continuing to serve external carriers.

Following the acquisition, Verikai launched Med/Rx, a tool designed to help underwriters identify high-cost medical conditions and prescription risks within employer groups.