Pekin Insurance Announces Job Cuts, To Reduce Coverage in Storm-Prone Areas

Source: WCBU | Published on October 26, 2023

Pekin Insurance to leave personal lines market

Pekin Insurance, which offers property and casualty coverage in Illinois and six other states, has eliminated some full-time positions and will refocus duties of many remaining employees as part of what is being called an accelerated strategic plan.

The company announced the Tuesday layoffs in a news release, citing rising inflation and erratic severe weather as factors impacting the financial stability of the insurance industry.

“It is always extremely difficult to make these types of decisions,” said Dan Connell, Pekin Insurance’s president, CEO and board chairman. “Unfortunately, today’s business climate is forcing us to take immediate action to ensure our future financial success and steadfast commitment to our policyholders.

“Our remaining team will be focused on serving all our customers with excellence and precision.”

The announcement said the company is reducing home, auto and other property coverage in storm-prone areas in favor of a focus on commercial lines of insurance. The statement said a “small percentage” of positions were eliminated, but did not provide an exact number.

The company said dismissed employees were offered severance packages based on their positions and seniority.