American Financial Group, Inc. (AFG) said Friday that it has sold its Medicare Supplement and Critical Illness businesses to Cigna Corporation (CI) for about $305 million.
The company will realize an after-tax gain of about $120 million - $130 million on the sale, subject to post-closing adjustments.
AFG's remaining supplemental insurance operations consist of its run-off long-term care business alone. This has a book value of about $170 million and will continue to be based in Austin, Texas.
The company noted that it will transition its Austin-based life and annuity operations to its home office in Cincinnati, Ohio before the end of the year. AFG additionally added that it is analysing its projected long-term care claims and persistency experience with the assistance of an external actuarial consulting firm, including a comparison to their large, uniform database of industry experience.
The company expects to complete the analysis of the actuarial assumptions used to amortize deferred acquisition costs and establish reserves in its long-term care business prior to the end of 2012.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.