Applied Underwriters Sale Underway, Berkshire Hathaway Confirms

Berkshire Hathaway is poised to sell its Applied Underwriters unit, the company confirmed Monday, in a deal that includes the North American Casualty Group and its five carrier members. Berkshire bought Applied Underwriters in 2006 but owns only 81% of the company; AU management owns the other 19%. Part of the reason for the sale is that AU competes with other workers’ comp insurance companies that Berkshire Hathaway fully owns, said Brian Snover, senior vice president and general counsel of Berkshire’s reinsurance division. “It’s a sensible thing to do,” Snover...