Reinsurance agreement between AIG and Berkshire Hathaway

The American International Group (AIG) would be willing to transfer some of its long-term risks to Berkshire Hathaway. The 10.2-billion transaction would be concluded no later than June 30, 2017.

National Indemnity, a subsidiary of Berkshire, will assume 80% of the net losses linked to these risks. With a 20 billion USD limit, coverage wil be provided only after the first 25 billion USD of losses.