Sept. 10 (Bloomberg) -- Warren Buffett's Berkshire Hathaway Inc. will stop selling insurance to lenders through its Kansas Bankers Surety Co. unit for deposits beyond the Federal Deposit Insurance Corp. limits. http://www.bloomberg.com/apps/news?pid=20601087&sid=aOMQCfFxU5fU&refer=home
Berkshire Unit to Phase Out Bank-Deposit Insurance
- Thread starter Banjo
- Start date
I wonder if Warren Buffett intends to stop writing this kind of insurance for a while because he expects more bank failures.
Quote from the article:
The move reduces Omaha, Nebraska-based Berkshire's risk from bank failures and will affect customers in 38 states. Eleven U.S. lenders have been seized by state and national regulators this year as mortgage markets collapsed. The FDIC counted 117 banks as ``problem'' lenders in the second quarter.
The move reduces Omaha, Nebraska-based Berkshire's risk from bank failures and will affect customers in 38 states. Eleven U.S. lenders have been seized by state and national regulators this year as mortgage markets collapsed. The FDIC counted 117 banks as ``problem'' lenders in the second quarter.