Berkshire Hathaway joins Strait of Hormuz tanker insurance consortium

8 articles · Updated · Barron's · May 2

Vice-chair Ajit Jain said Berkshire has not yet written any business and would take only small exposure, contingent on U.S. Navy protection for tankers.
He said participation would depend on pricing, adding that risk can be acceptable if premiums are high enough.
The move positions Berkshire within a group of insurers covering oil shipments through one of the world's most strategically important maritime chokepoints.

How will Berkshire Hathaway manage conflicting conditions between U.S.-backed reinsurance participation and its demand for naval protection?

With the Strait of Hormuz still largely closed, can insurance and naval escorts truly restore global oil flows and seafarer safety?

Could soaring war risk premiums and disrupted shipping trigger a deeper global economic crisis than currently anticipated?