Cover-More Group has announced a binding heads of agreement has been signed with the Australian branch of
Berkshire Hathaway Specialty Insurance.
The deal means that Cover-More and BHSI will work “together in good faith” to agree and finalise a new underwriting agreement.
The partnership will be similar to the existing commercial terms the travel insurer has with
Munich Re’s Great Lakes Australia but will have “greater certainty of underwriting premium”, the insurer said in a statement.
The deal will also see BHSI use Cover-More’s global medical assistance team to provide emergency and medical assistance to clients in select markets.
Mike Emmett, chief executive officer of Cover-More Group, said that the insurer had received interest from a number of global firms but BHSI represented the best fit for the business.
“BHSI consistently demonstrated that they sought an entrepreneurial and collaborative partnership in our dealings with them and it was clear that we were strongly aligned from the outset, both strategically and culturally,” Emmett said.
Chris Colahan, president of BHSI Australasia, said that the agreement will see the companies become a force in the global travel insurance industry.
“The combination of Cover-More and BHSI will make for a formidable partnership in the global travel insurance market,” Colahan said.
“We add scale to Cover-More’s specialist travel insurance, optimisation and medical assistance capability.”
Cover-More recently announced that it had signed a deal with BHSI in the United States, where the specialist travel insurer is looking to expand its business.
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