Company: BRK-A
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0000950170-25-025210
Chunk: 153

Company: BERKSHIRE HATHAWAY INC
Filing Date: 2025-02-24
Form: 10-K
Item: Item 1B
Chunk 153
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:

        Liabilities assumed in connection with business acquisitions

        22

        10,938

        24,186

        Operating lease liabilities arising from obtaining right-of-use assets

        2,007

        1,645

        1,118

        Class B common stock issued in exchange for noncontrolling interests

        1,045

        —

        —

K-88

Notes to Consolidated Financial Statements 

(15)Dividend restrictions – Insurance subsidiaries Payments of dividends by our insurance subsidiaries are restricted by insurance statutes and regulations. Without prior regulatory approval, our principal insurance subsidiaries may declare up to approximately $31 billion as ordinary dividends during 2025. Investments in fixed maturity and equity securities and short-term investments on deposit with U.S. state insurance authorities in accordance with state insurance regulations were approximately $5.6 billion at December 31, 2024 and $5.2 billion at December 31, 2023. Combined shareholders’ equity of U.S.-based insurance subsidiaries determined pursuant to statutory accounting rules (Surplus as Regards Policyholders) was approximately $310 billion at December 31, 2024 and $303 billion at December 31, 2023. Statutory surplus differs from the corresponding amount based on GAAP due to differences in accounting for certain assets and liabilities. For instance, the recognition of deferred charges on retroactive reinsurance, life, annuity and health insurance benefits liabilities, deferred policy acquisition costs, unrealized gains on certain investments and deferred income taxes under GAAP differs from recognition under U.S. statutory reporting. In addition, the carrying values of certain assets, such as goodwill and non-insurance entities owned by our insurance subsidiaries, are not fully recognized for statutory reporting purposes. 

(16)Unpaid losses and loss adjustment expenses Reconciliations of the changes in unpaid losses and loss adjustment expenses (“claim liabilities”), excluding liabilities under retroactive reinsurance contracts (see Note 17), for each of the three years ended December 31, 2024 follow (in millions). Net liabilities of acquired businesses in 2022 related to the acquisition of Alleghany’s insurance companies in October 2022. 

        2024

        2023

        2022

        Balance at the beginning of the year:

        Gross liabilities
        $
        111,082

        $
        107,472

        $
        86,664

        Reinsurance recoverable on unpaid losses
         
        (4