Brazil grants 'eventual reinsurer' permit to Buffett's Berkshire
May 22 (Reuters) - Susep, Brazil's insurance industry regulator, on Thursday issued a license allowing Berkshire Hathaway Inc to operate in the country as "eventual reinsurer."
The license permits reinsurers domiciled in a foreign country to operate in Brazil without a representative office in the country. According to the government's official gazette, Berkshire's U.K.-based unit, Berkshire Hathaway International Insurance Ltd, will be granted the license. Berkshire is controlled by U.S. billionaire Warren Buffett.
In Brazil, there are three classes of reinsurers - local, admitted and eventual. According to current industry rules, eventual reinsurers must have minimum global net assets of $150 million, be rated a notch above the minimum investment-grade ranking by a major credit rating company and have its headquarters based outisde a tax-haven country.
Trending On Reuters
We are living longer but not creating financial plans to keep pace. Advisers give tips on how to make sure you don’t outlive your money. Video