Berkshire’s Gen Re Promotes Jones, Ferrero as Tooker DepartsNoah Buhayar
General Re Corp., one of the reinsurance units at Warren Buffett’s Berkshire Hathaway Inc., named Robert M. Jones and Carole M. Ferrero to lead direct sales of property-casualty coverage.
Jones will be in charge of marketing and Ferrero will be global chief underwriter, according to a statement today from the division of Omaha, Nebraska-based Berkshire. The company said that Mo Tooker, who used to lead Gen Re’s direct property-casualty business, had resigned.
“I am confident Bob and Carole will lead our reinsurance business to new heights, delivering differentiated products and services as well as unparalleled underwriting expertise,” Gen Re Chief Executive Officer Tad Montross said in the statement.
Hedge funds, pensions and other institutional investors have been plowing more capital into the reinsurance market to boost returns and diversify beyond stocks and bonds. That’s pushed down the rates that companies like Gen Re, Munich Re and Swiss Re AG charge to help insurance companies shoulder the costliest of claims.
Gen Re said Ken Lundgren was promoted to vice chairman and will report to Montross. Martin G. Hacala, global chief claims manager for the company, will take over some roles previously held by Jones, according to the statement.
Buffett, 84, uses premiums held by insurance and reinsurance units at Berkshire to fund his stock picks and acquisitions. In addition to Gen Re, the company has a namesake reinsurance operation run by Ajit Jain. Berkshire also sells insurance through other subsidiaries, like auto carrier Geico.