Company: BRK-A
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000950170-25-025210
Chunk: 73

Company: BERKSHIRE HATHAWAY INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1B
Chunk 73
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 The increase in the expense ratio was primarily attributable to BH Specialty from changes in business mix and GUARD due to increased expenses and lower premiums earned. 

2023 versus 2022

Premiums written increased $3.5 billion (24.1%) in 2023 compared to 2022. The increase was primarily due to the acquisition of RSUI and CapSpecialty ($2.1 billion), as well as comparative increases from BHSI and BH Direct, and, to a lesser extent, the other businesses. Losses and loss adjustment expenses increased $1.3 billion (13.5%) in 2023 compared to 2022, attributable to the acquisition of RSUI and CapSpecialty and changes in business mix, partially offset by a decline in significant catastrophe losses of approximately $600 million. Net reductions in estimated ultimate liabilities for prior years’ loss events were $537 million in 2023 and $428 million in 2022. 

Underwriting expenses increased $1.1 billion (30.8%) in 2023 compared to 2022. The increase was primarily attributable to the increases in premiums earned and changes in business mix, including the full year effects in 2023 of the acquisition of RSUI and CapSpecialty. 

Berkshire Hathaway Reinsurance Group 

The Berkshire Hathaway Reinsurance Group offers excess-of-loss and quota-share reinsurance coverages on property and casualty risks to insurers and reinsurers worldwide through several subsidiaries, led by National Indemnity Company (“NICO”), General Reinsurance Corporation, General Reinsurance AG and Transatlantic Reinsurance Company (“TransRe Group,” acquired in October 2022). We also write life and health reinsurance coverages through General Re Life Corporation, General Reinsurance AG and Berkshire Hathaway Life Insurance Company of Nebraska (“BHLN”). A summary of BHRG’s pre-tax underwriting results follows (in millions). 

    Pre-tax underwriting earnings (loss)

    2024
     
    2023
     
    2022

    Property/casualty
    $
    3,800
     
    $
    3,508
     
    $
    2,180

    Life/health
     
    223

    354

    109

    Retroactive reinsurance
     
    (846
    )
     
    (1,541
    )
     
    (668
    )

    Periodic payment annuity