Now, that we know what irony and dramatic irony are let us find out what verbal irony could be? Verbal irony is often a statement made by a speaker where the literal meaning contradicts the intended meaning. It is mainly uttered in jest and deliberately. Exaggeration is an example of verbal irony, so are overstatement and understatement.
An easy example would be in Jane Austen's Pride and Prejudice when Mr Darcey declares confidently of Elizabeth Bennet on his first meeting her, “She is tolerable but not handsome enough to tempt me.” Although he says thus, he is in the end tempted by Elizabeth Bennet.
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