Berkshire Hathaway Inc. has purchased nearly 26 million shares of Chubb Ltd. stock, totaling just over $6.7 billion, the company revealed in a regulatory filing.
The filing was previously given confidential treatment by the U.S. Securities & Exchange Commission, but that status is no longer warranted because the company is reporting it as part of its March 31 holdings, the company said in an SEC filing.
During the company’s recent annual shareholder meeting, Ajit Jain, Berkshire Hathaway vice chairman of insurance operations, said the company wouldn’t jump on cyber insurance until it had “enough data to hang its hat on”.
When you write insurance, you have to think about how much you can lose, added company Chairman and Chief Executive Officer Warren Buffet said at the time. In the case of cyber, you “may get an aggregation of risk that’s worse than some earthquake happening.”
Chubb’s first-quarter net income rose to $2.14 billion from $1.89 billion a year ago. Consolidated net premiums written rose to $12.22 billion from $10.71 billion. The property/casualty combined ratio improved to 86.0 from 86.3.
Berkshire Hathaway Inc. operating insurance entities currently have a Best’s Financial Strength Rating of A++ (Superior) to A- (Excellent).
Underwriting entities of Chubb Ltd. have current Best’s Financial Strength Ratings ranging from A++ (Superior) to A- (Excellent).