Warren Buffett has stepped down as chairman of Berkshire Hathaway, handing the role to his son Howard as Greg Abel continues to lead the $1.1 trillion group and its major insurance operations.

Berkshire said on Friday that Buffett, 96, will become chairman emeritus with immediate effect and remain on its board, while Howard Buffett becomes chairman. Abel succeeded Warren Buffett as chief executive in January and remains responsible for the group's operations and capital allocation.

The change puts the spotlight on Berkshire's financial services businesses, which include GEICO, Berkshire Hathaway Primary Group and Berkshire Hathaway Reinsurance Group. The operations write property and casualty insurance alongside life and health risks, while insurance float provides a major source of capital for Berkshire's wider investment activities.

Berkshire's 2025 annual report showed its insurance operations generated $7.3bn in after-tax underwriting earnings and $12.5bn in investment income. GEICO accounted for $6.8bn of pre-tax underwriting earnings, while Berkshire Hathaway Reinsurance Group generated $1.9bn.

The company's latest financial results show insurance remains a significant contributor to Berkshire's performance. Its insurance operations generated increased after-tax underwriting earnings in the first six months of 2026, although GEICO's underwriting earnings fell and were partly offset by stronger results from reinsurance and other primary insurance activities.

Warren Buffett said Greg Abel would run Berkshire while Howard Buffett would protect its culture and values. “Greg runs the company; Howard will guard its culture and values,” he wrote to shareholders, setting out the distinction between operational leadership and the chairman's role.

Berkshire's insurance strategy has historically been closely linked to its approach to capital allocation, with premiums generating funds that can be invested before claims are paid. The group said its insurance float stood at approximately $177.5bn at the end of June 2026, highlighting the scale of the capital pool managed alongside its underwriting operations.

Berkshire's insurance leadership is not changing as part of the board transition. Ajit Jain continues to oversee the group's insurance operations, including GEICO, Berkshire Hathaway Reinsurance Group and Berkshire Hathaway Primary Group.

Abel said Buffett's influence on Berkshire “is without parallel in the history of American business”, while saying the culture established under his leadership would remain central to the group. The transition leaves Abel responsible for running the business, with Howard Buffett taking the board chair and Warren Buffett retaining a board role.

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