Cover-More secures Berkshire alliance for US expansion
Berkshire Hathaway Travel Protection (BHTP) will underwrite Cover-More direct travel insurance products sold in the US.
The Berkshire partnership bolsters the Australian insurer’s plans to expand in the North American market, which it estimates is worth $US4.8 billion ($6.3 billion).
Cover-More will sell insurance policies and services direct to US travellers making domestic and foreign trips.
“The two companies complement one another very well,” Cover-More CEO North America and Canada Carole Tokody said.
“BHTP’s product, customer service excellence and claims innovation combined with our predictive intelligence solutions are the perfect combination to provide travellers with innovative, tailored insurance products for their trip.”
The duration of the partnership remains confidential, a Cover-More spokesman told insuranceNEWS.com.au, adding the deal is not related to the Australian insurer’s ongoing search for an underwriting partner to replace Great Lakes Australia.
In May Cover-More announced plans to expand into the US and signed a distribution deal with Flight Centre Travel Group to support sales across 275 stores.
The Flight Centre distribution deal is expected to achieve sales of $30 million in the first year.