Berkshire Hathaway, the Warren Buffett-run holding company and conglomerate, generated improved year-on-year net underwriting earnings across its re/insurance operations of $2.4 billion for the third quarter of 2025 ($750m Q3’24), and $5.7 billion for the nine month period ended September 30th, 2025 ($5.6bn 9M’24), as both the reinsurance and primary businesses reversed the quarterly loss seen last year.
The company has reported another strong set of results for its insurance and reinsurance operations, which includes Berkshire Hathaway Reinsurance Group, Berkshire Hathaway Primary Group, and GEICO.
At Berkshire Hathaway Reinsurance Group, pre-tax underwriting earnings increased to $884 million for Q3’25 from a loss of $310 million in Q3’24, driven by earnings of almost $1.1 billion in property/casualty (P&C), which more than offset a decline in the life/health (L&H) result to $50 million ($98m in Q3’24).
For 9M’25, the reinsurance arm’s pre-tax net underwriting earnings did fall from $1.4 billion to $1.2 billion, with a slight reduction in P&C earnings to $2.178 billion ($2.191bn 9M’24), and a decline in L&H earnings to $172 million ($279m 9M’24).
Within P&C reinsurance, premiums written decreased 5% year-on-year to $5.2 billion and decreased by 6% to $16.3 billion for the third quarter and nine month period, respectively. Berkshire attributes the decline in both periods to reductions in property business.
Losses and loss adjustment expenses (LAE) declined by 18% to $2.7 billion for Q3’25, and declined by 4% to $9 billion for 9M’25. The firm reports that losses incurred from significant catastrophe events were approximately $760 million in the first nine months of 2025, attributable to the Southern California wildfires in Q1’25.
In total, so not just within the reinsurance arm, current accident year incurred losses from cat events were $1.1 billion for 9M’25 from the wildfires in California.
Additionally, within P&C, losses and LAE in 9M’25 were reduced $898 million compared to $1.2 billion in 2024 from reductions of estimated ultimate claim liabilities for prior accident years’ claims. The reductions were mostly attributable to lower-than-expected property losses, explains Berkshire.
Total P&C losses and expenses fell to $4.1 billion from $5.3 billion for Q3’25 with a combined ratio of 79.4%, much improved on the prior year’s 97%. For 9M’25, total losses and expenses decreased to $13.3 billion from $14.3 billion with a combined ratio of 86%, a slight strengthening on the prior year’s 86.7%.
In the L&H reinsurance business, premiums written rose slightly to $1.3 billion from $1.25 billion for Q3’25, and increased to $3.9 billion from $3.7 billion for 9M’25. As mentioned, L&H underwriting earnings did fall for both periods, which Berkshire attributes to lower earnings from US life business.
Berkshire Hathaway Reinsurance Group also includes retroactive reinsurance, periodic payment annuity, and variable annuity results, all of which performed better in Q3’25 when compared with Q3’24. For 9M’25, the liability for unpaid losses and LAE for retroactive reinsurance contracts declined $1.1 billion to $31.3 billion.
The company notes that premiums rates for periodic payment annuity business “continue to be unacceptable,” with Berkshire opting not to write any new business since 2022.
Turning to the results of Berkshire Hathaway Primary Group, pre-tax underwriting earnings totalled $506 million for Q3’25 and $425 million for 9M’25, compared with a loss of $689 million in Q3’24 and a gain of $76 million in 9M’25.
Premiums written rose 4% in the quarter to $5.3 billion and were relatively flat for the nine month period at $14.5 billion, driven by increases in MedPro, BHHC and NICO Primary, and BH Direct and USLI.
Losses and LAE declined 30% to $2.9 billion for Q3’25 and fell 5% to $9.5 billion for 9M’25. For the quarter, the decline relates to a reduction in ultimate loss estimates for prior accident years’ claims of $190 million. Prior accident years’ ultimate loss estimates rose $211 million for 9M’25.
Total losses and expenses declined to $4.2 billion for Q3’25 with a combined ratio of 89.3%, a huge improvement on the prior year’s 114.7%. For 9M’25, total losses and expenses decreased to $13.5 billion with a combined ratio of 97%, compared with 99.5% in 9M’254.
At GEICO, a writer of P&C insurance policies, primarily private passenger automobile insurance, in all 50 states and the District of Columbia, pre-tax underwriting earnings fell to $1.8 billion from $2 billion for Q3’25, and were relatively flat for the nine month period at $5.8 billion.
Premiums written increased 5% to $11.7 billion for Q3’25 and rose 6% to $34.3 billion for 9M’25, driven by an increase in policies-in-force.
GEICO’s losses and LAE increased 5% to more than $8 billion for Q3’25 and increased 3% to $23.4 billion for 9M’25.
“The loss ratio decline in the first nine months reflected higher average earned premiums per policy, lower claims frequencies, lower catastrophe losses and more favorable development of prior accident years’ claims estimates, partially offset by increases in average claims severities,” explains the firm.
Across the Group, net insurance investment income declined to $3.2 billion for Q3’25 from $3.7 billion a year earlier, and for 9M’25 investment income reached $9.4 billion, down on the prior year’s $9.6 billion.
As of September 30th, 2025, Berkshire reports that its float totalled $176 billion, up on $171 billion as of the end of December 2024.
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