Buffett on the Insurance Giant That Shouldn’t Exist

Added: 2026-06-07

[00:00:00]But but they have a net worth that's 1/6 that of what some people over in Illinois that nobody knows the name of >> [laughter] >> have after years of they've had the time to sell the same product and they advertise like really we spend $2 billion a year telling people the same thing we've been telling them for 70 or 80 years, you know, that the the policy doesn't change, but when we get all through State Farm still doing more business than anybody and it it shouldn't exist under capitalism, you know.

[00:00:32]If you went there with a plan to start a State Farm today and have it compete with Progressive you know, it you know, who who would put up the capital? I mean, they mutual company that you're not [laughter] going to get the profits from? It it doesn't make any sense at all except they've got 140 billion or something like that of net worth and Progressive, I don't know what their net worth is, but must be somewhere around 20 or so billion and I haven't looked for a long time. Their net worth in the first incidentally, I mean, they they they they are very very very disciplined in underwriting.