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Claims Ratio % is the percentage of claims costs incurred in relation to the premiums earned.
American Financial Group's Claims Ratio % for the quarter that ended in Jun. 2026 was 58.90%
, which is higher than
56.30% for the pervious quarter ended in Mar. 2026.
American Financial Group's Claims Ratio % for the annual that ended in Dec. 2025 was 62.20%
, which is lower than
63.30% for the pervious year ended in Dec. 2024.
The historical rank and industry rank for American Financial Group's Claims Ratio % or its related term are showing as below:
AFG's Claims Ratio % is not ranked *
in the Insurance industry.
Industry Median: * Ranked among companies with meaningful Claims Ratio % only.
American Financial Group (NYSE:AFG) Claims Ratio % Explanation
Claims Ratio % the percentage of claims costs incurred in relation to the premiums earned during the period. It is the equivalent of gross profit margin for an insurance company.
It's important to note that insurance is the business of managing risks and, to do that well, the insurer needs a thorough understanding of the incurred claims ratio. If the value is higher than expected or above established norms, then further investigation is required to figure out why that is (eg: fraud). If it is lower than expected, it could indicate irrelevant products or difficulties in claiming, possibly affecting customer satisfaction.
American Financial Group Claims Ratio % Related Terms
American Financial Group Claims Ratio % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Insurance - Property & Casualty subindustry, American Financial Group's Claims Ratio %, along with its competitors' market caps and Claims Ratio % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
American Financial Group (NYSE:AFG) Claims Ratio % Calculation
Claims Ratio % is calculated as
Claims Ratio %
=
Total Claims
/
Total Premiums Earned
*
100%
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Frequently Asked Questions
What does a Claims Ratio % of 58.90% mean?
American Financial Group (AFG) has a Claims Ratio % of 58.90% as of Jun. 2026. Claims Ratio is the percentage of claims costs incurred in relation to the premiums earned. View historical data on American Financial Group and its competitors.
Is American Financial Group's Claims Ratio % too high?
American Financial Group's current Claims Ratio % is 58.90%. Overall, American Financial Group has a GF Score™ of 75/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does American Financial Group's Claims Ratio % compare to ORI and AIZ?
American Financial Group's Claims Ratio % of 58.90% can be compared against companies in the Insurance industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Claims Ratio % for an Insurance company?
A good Claims Ratio % depends on the Insurance industry context. However, Claims Ratio % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Claims Ratio % mean?
A high Claims Ratio % can signal that a stock is expensive relative to its fundamentals. Claims Ratio is the percentage of claims costs incurred in relation to the premiums earned. View historical data on American Financial Group and its competitors. American Financial Group's current Claims Ratio % is 58.90%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Financial Group stock overvalued right now?
Based on GuruFocus' analysis, American Financial Group (AFG) is currently considered Fairly Valued. The stock's GF Value™ is $136.53, compared to a current price of $144.35 — trading 5.7% above its estimated fair value. The current Claims Ratio % is 58.90%. American Financial Group's overall GF Score™ is 75/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Claims Ratio % calculated?
Claims Ratio % is calculated from a company's financial statements. For American Financial Group (AFG), the current Claims Ratio % is 58.90% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is American Financial Group (AFG) Overvalued in 2026?
Based on GuruFocus' analysis, American Financial Group stock appears to be overvalued.
The current stock price of $144.35 is trading 5.7% above its estimated GF Value™ of $136.53.
GuruFocus considers American Financial Group to be Fairly Valued.
Key valuation signals for AFG:
Claims Ratio %: 58.90%
GF Value™: $136.53 vs. price of $144.35 (5.7% above fair value)
No single metric tells the full story. See the AFG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
American Financial Group Inc is an insurance holding company. Through its subsidiaries, it is engaged in the property and casualty insurance business, focusing on specialized commercial products for businesses. The group operates through two segments: Property and Casualty Insurance, which generates maximum revenue, and Other. The Property and Casualty Insurance segment is further divided into different sub-segments, such as Property and transportation, Specialty casualty, and Specialty financial. These sub-segments offer insurance coverage for vehicles and commercial property, customized programs for small to mid-sized businesses, workers' compensation insurance, risk management insurance programs for lending and leasing institutions, trade credit insurance, and other insurance products.
75GF Score
Get the complete analysis for AFG
Claims Ratio % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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