Letters by Topic
Letters on Ring of Fire
Berkshire's reinsurance operations that spread catastrophe risk across multiple insurers, generating large premium income with statistically favorable outcomes.
2001·Explaining the reinsurance operations
Our reinsurance operations—particularly General Re and the 'Ring of Fire' contracts—generate enormous float with favorable long-term expected outcomes.
2006·On how reinsurance spreads and manages catastrophic risk
The Ring of Fire reinsurance structure allows us to diversify catastrophe risk across many sources.
Explore the concept
Ring of Fire is one of the ideas behind the ValueOS tools. See it applied to real companies.