Warren Buffett’s Bet on Mild Florida Storm Season Faces Test With Hurricane Idalia

Berkshire Hathaway Inc. bet big earlier this year that Florida’s reinsurance market would deliver huge premiums with minimal losses. Hurricane Idalia is about to offer a test of that calculus, with months of potential storms left this season. Warren Buffett’s firm ramped up its reinsurance exposure to the state, looking to take advantage of rising prices. The move has left the firm exposed to as much as $15 billion of losses in the event of a major storm, Berkshire’s head of insurance said in May, while it could lead to...