P&C giants lead wave of insurance layoffs in 2023

P&C giants lead wave of insurance layoffs in 2023 | Insurance Business America

Insurance News

Farmers, GEICO top list of the largest layoff numbers

Insurance News

By
Mika Pangilinan

The US insurance industry witnessed a significant wave of layoffs in 2023, with property and casualty (P&C) carriers carrying out the bulk of these employment cuts.

According to analysis by S&P Global Market Intelligence, the P&C sector saw a reduction of at least 6,800 jobs.

In a statement shared with S&P Global, a company spokesperson said the move was done to streamline operations and introduce innovative measures to support Farmers agency owners and staff.

CEO Todd Combs had said the cuts were done “to better position ourselves for long-term profitability and growth, and after a thorough evaluation across all lines of business.”

“This will allow us to become more dynamic, agile, and streamline our processes while still serving our customers,” Combs previously told staff members in a company-wide email.

Liberty Mutual and USAA are also among the P&C insurers to execute layoffs in 2023. However, their numbers were on a smaller scale compared to both Farmers and GEICO.

According to S&P Global, Liberty Mutual laid off around 1,200 employees, while USAA had cut 300 employees from its workforce.

Other notable layoffs in the industry included those announced by personal lines insurtech Hippo and specialty MGA Hagerty.

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