A unit of Berkshire Hathaway has struck a $1.3 billion deal with Swiss Re for a block of the company’s individual life reinsurance business where it will receive premiums, but also be liable for up to $1.5 billion in claims.

Warren Buffet, the billionaire chairman and CEO of Berkshire Hathaway, says life insurers took “crazy” financial risk by selling variable annuities with unrealistic promises.

Warren Buffet

“I always thought they were …  Read →