Indigo, an artificial intelligence (AI)-powered medical professional liability platform, is opportunistically looking at acquisitions in its current and adjacent markets, said co-founder and CEO Jared Kaplan.

The Miami-based company, backed by investment firms Rubicon Founders and Oak HC/FT, is geography-agnostic and most interested in tuck-ins, though the investors around the table “have made it clear that they would be enthusiastic on backing something that was larger and more transformational,” Kaplan said.

Roughly 80% of the acquisition focus is on purchasing medical malpractice books, with the remaining 20% on ancillary targets running from credentialing companies to risk management companies, he added.

Around 120 companies write physician medical malpractice insurance, Kaplan said, and six or seven of them own a third of the marketplace. The remaining 110 or so make the market highly fragmented, and there are targets in that tail “that make a ton of sense” for Indigo, the CEO noted.

Kaplan told this news service in July 2025 that Indigo planned to launch a Series B in late 2025. The company closed an oversubscribed USD 50m round in January, led by existing investor Rubicon Founders, with Town Hall Ventures joining as a new investor and Optum Ventures participating. Indigo initially targeted USD 30m but capped the raise at USD 50m despite additional investor demand, Kaplan said for this report.

Kaplan said 2028 is the year Indigo could be profitable if it chooses to be, depending on its growth rate.

The company insures nearly 1,500 providers nationwide and has surpassed USD 20m in premium, with 40% of all submissions underwritten automatically with no human involvement, according to Kaplan. It processed more than 7,000 submissions in 2025 and expects 12,000 this year.

Indigo uses AI to provide medical professional liability insurance to physicians and medical groups, using data-driven underwriting to deliver instant quotes and customized pricing. Its product is sold 100% through insurance brokers. The company operates in 48 states and covers all specialties after adding podiatry, Kaplan said.

Indigo goes head-to-head daily against the largest players in the space, including The Doctors Company, Curi, MagMutual, ISMIE, Copic, MedPro Group, and Coverys, according to Kaplan.

Kaplan previously said he would like the Series B to be its last raise before an eventual exit, which could come via an initial public offering or a sale to a private equity firm or a strategic, such as a large property and casualty insurance firm or another insurer looking to enter the medical malpractice market. Asked about exit timing for this report, he said Indigo could be in position within four to six years to be a top-five player in the market, at which point it would have options.

The multiple range he described last year – up to 8x–10x premium for growing companies and around 2x–3x for legacy players – remains relevant, Kaplan said.

Organic growth in medical malpractice is very slow, he said. “If you grow 3% in this market, you’re fast.” That is why consolidation among mature players takes the form of large mergers that strip out costs. Earlier this year, The Doctors Company completed its acquisition of ProAssurance for approximately USD 1.3bn.

Many legacy carriers were under-reserved through the COVID period and, with interest rates lower, can no longer subsidize weak underwriting profit with interest income, meaning they will have to keep raising rates, Kaplan said.

Other sector deals in 2026 include Corgi Insurance’s July Series B extension at a reported USD 4bn valuation, Counterpart’s USD 50m Series C financing in April, and Freedom Underwriters’ December 2025 agreement to acquire Concert Group Holdings from WT Holdings and Century Focused Fund IV.

Indigo plans to launch coverage for small facilities in 2027, including urgent care centers and other standalone ancillary facilities that physician groups are increasingly owning and operating. It also is looking at dentists as a further expansion area, Kaplan said.

Founded in 2023, Indigo has around 40 employees and has grown organically to date.

Kaplan previously co-founded online insurance marketplace Insureon, which later sold to Hub International and Bold Penguin, and was CEO at NYSE-listed credit solutions provider OppFi, which he helped scale from USD 8m to USD 400m before taking the company public in 2021.