How Reliable Is Berkshire Hathaway Specialty Insurance?

Berkshire Hathaway Specialty Insurance Company (BHSIC) is a Nebraska insurer wholly owned by National Indemnity Company, which is owned by Berkshire Hathaway. State records match: New York lists it under NAIC 22276, admitted in 1973, and previously named Stonewall Insurance Company. BHSI is the brand.[1][3]

BHSIC is not the issuer everywhere. In the U.K., BHSI is a trade name and policies are issued by Berkshire Hathaway International Insurance Ltd. BHSI does not publish which legal entity issues each U.S. product, so check the declarations page for the issuer.[7][6]

Nebraska's examiners inspected BHSIC's certificates of authority and report it is licensed in all states and the District of Columbia. It is also licensed in Australia, Dubai, Hong Kong, Labuan, Macau, New Zealand and Singapore, and is a U.S. Treasury-approved surety and reinsurer on federal bonds. New York separately lists its current writing powers, including fire, liability, workers' compensation, surety, marine and inland marine.[2][3]

AM Best rates Berkshire Hathaway Specialty Insurance Company A++ (Superior), the top rating, in Financial Size Category XV (USD 2 billion or more), with a stable outlook, affirmed 16 April 2026. The rating carries a group affiliation code, so it reflects the wider Berkshire Hathaway group. Its issuer credit rating is aaa, also stable.[4]

Nebraska's examination shows the insurer's own numbers at 31 December 2024: capital and surplus of about USD 4.60 billion, admitted assets of about USD 8.29 billion, 2024 premiums earned of about USD 1.07 billion and net income of about USD 368 million. Examiners found no material effect on financial condition.[2]

BHSIC cedes 50% of its U.S. business to its parent, National Indemnity Company, under a continuous quota share. Its foreign branches cede between 60% and 100% to the same parent. The examination also notes a 50% quota share BHSIC assumes on two Oscar health insurers. Because the reinsurer is an affiliate, the group's capital stands behind BHSIC, but the cession also concentrates reliance on one group.[2]

BHSI publishes a 24-hour toll-free claims line, a claims email and mailing address in Atlanta, and named heads of claims by line for North America. Nebraska's examiners noted the insurer's claims-handling and payment procedures during the exam and reported no claims-related recommendation. The balance sheet also shows an advance to a third-party claims administrator, so some claims work is outsourced. This does not show how fast claims are paid.[6][2]

Nebraska's coordinated exam (with California, Colorado, Connecticut, Iowa and New York) made one recommendation: add required clauses, including an errors-and-omissions clause, to some reinsurance certificates and agreements. Prior recommendations were complied with. A search for BHSIC-specific consent orders turned up actions against other Berkshire Hathaway companies (such as Berkshire Hathaway Direct and Homestate), which are different legal entities and are not counted here.[2]