Berkshire gains operating licence in Brazil

Berkshire Hathaway has been granted a licence to operate within Brazil as an “eventual reinsurer” by the country’s insurance regulator Susep, according to reports.

The licence, which allows reinsurers that are domiciled in a foreign country to operate within Brazil without having a representative office in the country, is said to have been granted to Berkshire Hathaway International – the company’s UK-based unit.

Brazil operates with three classes of reinsurers: local, admitted and eventual. Industry regulations state that an eventual reinsurer must have minimum global net assets of £150 million, be rated above a certain grade and have a headquarters outside a tax-haven country.