BRK-B · 10-Q · 2026Q1 · Full report
Insurance Unpaid Losses Liability
BERKSHIRE HATHAWAY INC · 2026-05-04 · Importance 56 · Surprise 24 · From source text
As of March 31, 2026 Berkshire’s consolidated balance sheet included estimated liabilities for unpaid losses and loss adjustment expenses from property and casualty insurance and reinsurance contracts of $151.9 billion. Berkshire notes that timing and amounts of insurance and reinsurance claim payments are contingent on future events and actual payments will likely vary, perhaps materially, from forecasts and recorded liabilities. The company warns that a small percentage change in estimates of this magnitude can have a material effect on periodic earnings. Changes in these estimates are recorded as a component of insurance losses and loss adjustment expenses in the period of the change.
Key facts
- Unpaid losses and LAE for retroactive reinsurance contracts were $30.4 billion at March 31, 2026, a decline of $680 million from December 31, 2025. source
- Deferred charge assets on retroactive reinsurance were $7.9 billion at March 31, 2026 and $8.1 billion at December 31, 2025. source
- Our Consolidated Balance Sheet as of March 31, 2026 included estimated liabilities for unpaid losses and loss adjustment expenses of $151.9 billion. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| liability | positive | realized | +0.1% | Unpaid losses and LAE for retroactive reinsurance contracts were $30.4 billion at March 31, 2026, a decline of $680 million from December… |
| assets | negative | realized | -0.0% | Deferred charge assets on retroactive reinsurance were $7.9 billion at March 31, 2026 and $8.1 billion at December 31, 2025. |
| liability | negative | realized | — | Our Consolidated Balance Sheet as of March 31, 2026 included estimated liabilities for unpaid losses and loss adjustment expenses of… |