Reinsurer Swiss Re could be on the hook for $1bn in damages over a life insurance deal agreed with Warren Buffett's Berkshire Hathaway conglomerate, according to reports.
The Telegraph said Berkshire Hathaway is "alleging damages of between $0.5bn and $1bn", according to Swiss Re's third-quarter earnings statement it issued on November 8. The firm said the claim, relating to a 2010 deal, was without merit. Swiss Re and Berkshire Hathaway were not available to comment, Reuters reported. Analysts at JP Morgan said Swiss Re would be able to meet dividend forecasts even if it had to pay Berkshire Hathaway.
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