Company: BRK-A
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000950170-25-025210
Chunk: 124

Company: BERKSHIRE HATHAWAY INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1B
Chunk 124
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 of December 31, 2024, required a high degree of auditor judgment and an increased extent of effort, including the need to involve our actuarial specialists.

How the Critical Audit Matter Was Addressed in the Audit

Our audit procedures related to the key assumptions affecting claim liabilities included the following, among others:

•We tested the operating effectiveness of controls over claim liabilities, including those over the key assumptions.

•We tested the underlying data that served as the basis for the actuarial analysis, including historical claims, to test that the inputs to the actuarial estimate were accurate and complete.

•With the assistance of our actuarial specialists:

•We developed independent claim liability estimates for certain retroactive reinsurance contracts and compared our estimates to management’s estimates. For other retroactive reinsurance contracts, we evaluated the process used by management to develop the estimated claim liabilities.

•We compared prior year estimates of expected incurred losses to actual experience during the most recent year to identify potential bias in management’s determination of the claim liabilities.

/s/ Deloitte & Touche LLP

Omaha, Nebraska 

February 22, 2025 

We have served as the Company’s auditor since 1985. 

K-65

BERKSHIRE HATHAWAY INC.

and Subsidiaries

CONSOLIDATED BALANCE SHEETS

(dollars in millions)

    December 31,

    2024

    2023

    Assets:

    Insurance and Other:

    Cash and cash equivalents*
    $
    44,333

    $
    34,268

    Short-term investments in U.S. Treasury Bills
     
    286,472

    129,619

    Investments in fixed maturity securities
     
    15,364

    23,758

    Investments in equity securities
     
    271,588

    353,842

    Equity method investments
     
    31,134

    29,066

    Loans and finance receivables
     
    27,798

    24,681

    Other receivables
     
    43,887

    46,261

    Inventories
     
    24,008

    25,856

    Property, plant and equipment
     
    30,071

    30,199

    Equipment held for lease
     
    17,828

    16,947

    Good