Verisk is best known as the company that sets the forms, rules and loss costs that most of the US property and casualty market runs on. Its third-quarter results are a reasonable proxy for where the industry is investing right now - and two things stand out.
The first is anti-fraud analytics. Claims revenue grew 6.6% to $241 million, and Verisk specifically called out adoption of new anti-fraud tools as a driver alongside property and restoration solutions. That is not a footnote. When a data provider whose products sit inside the claims workflow of hundreds of carriers reports accelerating adoption of fraud detection tools, it reflects a broader industry decision to invest in that capability. For brokers whose clients have been managing rising claims costs, it signals that the carrier side of the equation is responding with better data rather than simply raising rates or tightening terms.
The second is catastrophe analytics. Underwriting revenue grew 7.7% on an organic basis, driven partly by expanded sales in catastrophe and risk solutions. These are the models that underpin how carriers price property and specialty risks. Sustained demand for them, in a year when weather losses have run above average, confirms that the industry is investing in better exposure understanding rather than simply retreating from affected lines.
Total revenue was $809 million, up 7.4% on an organic constant currency basis against a 5.3% reported increase. Adjusted EBITDA margin improved to 56.7%. Diluted adjusted EPS rose 14% to $1.96. Full-year guidance is unchanged.
Free cash flow fell 40.5% to $200 million in the quarter on collection timing, higher interest payments and a prior-year tax refund. The nine-month figure of $824 million is the more representative number. Verisk attributed the quarterly shortfall to timing rather than a structural change, and the guidance implies a Q4 recovery. It is worth watching across future quarters for carriers and MGAs that treat Verisk as a strategic supplier.
