American Financial Group, Inc.

Overview

Insurance holding company focused on property and casualty (P&C) insurance through Great American Insurance Group.
Primary business: specialized commercial insurance products for businesses.
In-house investment team manages the company’s investment portfolio.
Headquarters: Cincinnati, Ohio. Main phone and address provided in source material.
As of December 31, 2025, approximately 8,500 employees; about 7,700 work for Great American Insurance Group. None are covered by collective bargaining agreements.

Decentralized, autonomous operating model for underwriting, claims handling, and policy servicing within each niche business unit; investment and administrative support functions are centralized.
Operates 36 insurance businesses under Great American Insurance Group (as of 12/31/2025).
Core focus: specialty P&C lines with an underwriting discipline oriented toward profit.

Subsidiaries include Great American Insurance Group (primary entity), National Interstate, Summit (Bridgefield Casualty and Bridgefield Employers), Republic Indemnity, Mid-Continent Casualty, and others.
Subsidiaries carry independent financial strength ratings from AM Best and S&P, summarized in segment disclosures.

2025 P&C, GAAP presentation (dollars in millions)

Premium distribution by sub-segment (net written premiums for 2025; in millions)

Geographic distribution (U.S.-based direct premiums; 2025)

Approximately 2% of direct written premiums were from non-U.S.-based insurers.
State contributions include California (12.1%), Florida (8.0%), Texas (8.3%), Ohio (2.5%), New York (5.3%), Illinois (5.7%), Pennsylvania (2.7%), and other states (remainder). These values sum to 100%.

Reinsurance and risk management

Uses reinsurance to increase limits and reduce catastrophe exposure.
Catastrophe reinsurance through traditional markets and a fully collateralized catastrophe bond (Riverfront Re Ltd.) providing up to $350 million of coverage above a $275 million attachment through 2028.
Recoverables from reinsurers totaled about $5.53 billion (as of 12/31/2025).
Reinsurance premiums (2025, in millions): ceded 3,584; ceded excluding crop 2,196; assumed 352.
U.S.-based P&C loss and reserve matters, including asbestos and environmental (A&E) reserves, are addressed in the referenced notes to the financial statements.

Investment portfolio: $17.18 billion as of December 31, 2025.
Investment yield on fixed maturities (earned yield): 5.1% in 2025; 5.0% in 2024; 4.7% in 2023.
Total return on fixed maturities (including value changes): 7.5% in 2025; 6.2% in 2024; 7.2% in 2023.
Benchmark context: Bloomberg U.S. Universal Bond Index returns were 7.6% (2025), 2.0% (2024), 6.2% (2023).

Available-for-sale fixed maturities by credit rating (as of 12/31/2025)

AAA/AA/A — Amortized cost, net: 8,251; Amount: 8,177; 74%
BBB — Amortized cost, net: 2,420; Amount: 2,453; 22%
Total investment grade — Amortized cost, net: 10,671; Amount: 10,630; 96%
Non-investment grade — Amortized cost, net: 178; Amount: 181; 2%
Not rated — Amortized cost, net: 231; Amount: 241; 2%
Total — Amortized cost, net: 11,080; Amount: 11,052; 100%
NAIC designation: 97% of fixed maturities held by insurance companies had the highest designations (1 or 2) as of 12/31/2025.

Insurance subsidiaries are regulated by U.S. and international authorities; the holding company structure is subject to state regulatory oversight.
Maximum approximate 2026 dividends from U.S. insurance subsidiaries without regulatory approval: about $1.08 billion.
Capital and reporting are governed by RBC and SAP considerations; an ORSA process is performed annually.

Culture emphasizes inclusion, development, and ethical governance.
Employee engagement: 2024 employee survey participation was 92%, with favorable indicators reported in areas such as product quality, understanding strategy, and respect.
Succession planning and board oversight of human capital issues are in place. The Audit Committee is responsible for cybersecurity governance and risk management oversight.

Formalized cybersecurity program aligned with the NIST Cybersecurity Framework.
Program elements include third-party risk management, annual penetration testing, incident response planning, security awareness training, and cyber insurance.
The Board and the Audit Committee oversee cybersecurity risk, with ongoing reporting to the full Board.

Structure: Insurance holding company with a decentralized, niche-focused P&C operation (Great American Insurance Group) and an in-house investment function managing a large fixed-income portfolio.
Core business: Writing specialized commercial P&C insurance through 36 subsidiaries, including Great American, National Interstate, Summit, Republic Indemnity, and Mid-Continent, with an emphasis on underwriting profitability and service.
Distribution: Policies are sold through thousands of independent agents and brokers.
Investment strategy: Diversified investment portfolio (~$17.18 billion) with an investment-grade emphasis and material contribution from investment income to shareholder value.
Growth and risk management: Reinsurance programs, a collateralized catastrophe bond, and active management of underwriting, reserves (including A&E), cyber, and regulatory risks.
People and governance: Workforce of about 8,500, a focus on development and inclusion, governance for cybersecurity and enterprise risk management, and structured succession planning.
Dividends and capital planning: Defined capacity to pay dividends from insurance subsidiaries, subject to regulatory approval and capital requirements.

Figures are drawn from the provided material and reflect 2025 values unless noted otherwise.