Berkshire Hathaway Travel Protection, part of Berkshire Hathaway Specialty Insurance, has rolled out AirCare, the first product in its new travel-insurance line designed for travelers, travel agencies, tour operators and travel suppliers.
The insurer claims that the low-cost flight protection plan is ready to protect hundreds of millions of travelers from delays and cancellations costing air travelers $2.5bn every year.
Available up to one hour before flight departure, AirCare coverage is priced at an affordable $25 per trip and pays $1,000 to travelers for tarmac delays of more than two hours and $1,000 if a traveler experiences lost or stolen luggage.
In addition, the policy offers $500 if a flight delay causes a traveler to miss a connecting flight; $500 for luggage delayed more than 12 hours and $50 if a traveler experiences more than a two-hour flight delay.
According to the insurer, AirCare also comprises proactive travel-assistance solutions through MyAssist, a global-assistance and concierge service.
John Noel has been selected to manage Berkshire Hathaway Travel Protection using the capabilities of MyAssist and Insure America, both are part of Berkshire Hathaway Specialty Insurance.
Berkshire Hathaway Specialty Insurance president Peter Eastwood said: "We are very excited to enter the travel insurance business and to have John and an experienced team leading Berkshire Hathaway Travel Protection.
"We believe there is long-term profitability in the market and the introduction of Aircare will put us in a position to satisfy the needs of travelers from day one."