Warren Buffett thinks cyber insurance market could see “huge losses”

Cyber insurance - Losses

Berkshire Hathaway and its head see a chance that this market will experience struggles Berkshire Hathaway recently held its annual shareholder meeting in Omaha, and there, top exec Warren Buffett and top insurance exec Ajit Jain said that cyber insurance is too risky for the company. That particular market is currently quite profitable At the meeting, Jain underscored that while cyber insurance is profitable at the moment and has become “a very fashionable product,” the risks associated with investing in it are quite high.  He said that to date for…

Read More

What was behind Berkshire Hathaway’s Chubb insurance company purchase?

Warren Buffett buys

Warren Buffett’s company has been hiding a massive insurer purchase Berkshire Hathaway started buying again in Q3 2023 and has finally unveiled the largest publicly traded purchase that it has kept from the spotlight: Chubb insurance company. The Securities and Exchange Commission permitted the secret The Securities and Exchange Commission made it possible for Berkshire Hathaway, and its owner Warren Buffett, to maintain the secrecy of the purchase while the position was being arranged.  Then, after the May 15 market close, the first quarter 13F was filed and revealed that…

Read More

Home insurance companies remove natural disaster coverage from policies as risk rises

Home insurance - Natural Disaster damage of homes

As the impact of climate change becomes increasingly costly to insurers, they are reducing protection. Some of the United States’ largest home insurance companies are announcing that the increasingly frequent and severe weather caused by climate change is leading them to raise premiums and remove certain coverages relating to natural disaster protection. Major insurers are increasingly finding themselves facing an unmanageable risk from natural disasters. That said, this type of decision is leading home insurance customers in some of the most vulnerable areas without the coverage they require the most.…

Read More

GEICO Executive Chair Tony Nicely retiring at the end of 2021

Geico Executive - Retirement

The announcement was made that he would be stepping down at the end of the year after a 60-year career. GEICO Executive Chair Tony Nicely has announced his retirement and that he will be stepping down from his position at the end of the year following his 60-year career in the industry. Before taking his current position with the insurance company, Nicely had been chair and CEO for 25 years. Under Nicely as CEO, chair and GEICO executive chair, the insurance company experienced its most powerful growth period, becoming one…

Read More

Dropping insurance underwriting in Q4 2019 struck Berkshire Hathaway where it hurts

Insurance underwriting - Warren Buffett

Warren Buffett’s company was able to recover last year despite those dragging results. Berkshire Hathaway was able to see substantial recovery in the last quarter of 2019, but that was in spite of the group’s lagging insurance underwriting result. The recovery was an important one as the same quarter in 2018 saw a significant loss overall. Warren Buffett’s multinational conglomerate issued a release last weekend. In it, they revealed that their insurance underwriting brought in a $857 million operating loss. Berkshire Hathaway’s income through insurance investing, utilities, railroad and energy,…

Read More