Warren Buffett confirmed on CNBC on Monday that Berkshire Hathaway is selling its Applied Underwriters workers compensation unit.
The sale of Applied Underwriters represents a rare divestment by Buffett. His corporate empire represents nearly 100 businesses in multiple sectors, and Buffett does not usually seek to cash out after acquiring a company. Reuters first reported that Applied Underwriters may soon be sold.
San Francisco-based Applied Underwriters sits outside Berkshire Hathaway’s insurance focus, making it a noncore asset Buffett wishes to shed, Reuters reported.
Applied Underwriters provides bundled workers compensation and other employment-related insurance products targeted to small and medium-sized businesses.
– Reuters contributed to this report.