Why Insurance Float is like Gift Card Breakage

Seeking Alpha » The Bull Case For Berkshire Hathaway (BRKA): "That underwriting profit meant that in 2005, again, Berkshire Hathaway didn’t pay a cent to use the capital that makes up its float. And since Berkshire Hathaway’s float amounts to some $49 billion dollars, that’s a huge cost advantage in the investment business. While banks have to pay interest to depositors, and hedge funds have to share profits with their investors, Berkshire Hathaway can invest a no-cost $49 billion."