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No. of Recommendations: 2
Berkshire definitely has some unique insurance businesses that deliver underwriting profits like clockwork - GEICO is my favorite of all of them. But Markel is still way above average. I prefer to not model any underwriting profits into my estimate of Markel's value just to be conservative. For Berkshire, the case is stronger to model some level of normalized underwriting profits.

On a positive note, Markel is quite a bit cheaper than Berkshire on a P/B basis. Berkshire is likely at around 1.3x current book while Markel is around 1.1x pro-forma book adjusted for the Alterra merger and quarter-to-date changes in the disclosed equities portfolio.
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