Pekin Insurance has eliminated some full-time positions and will refocus the duties of many remaining employees as part of what it calls an accelerated strategic plan.
The company announced the layoffs Tuesday in a news release, citing rising inflation and erratic severe weather as factors affecting 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 chairman of the board. “Unfortunately, today’s business climate requires us to take immediate action to ensure our future financial success and unwavering commitment to our policyholders.
“Our remaining team will focus on serving all of our customers with excellence and precision.”
The announcement said the company was reducing home, auto and other property coverage in storm-prone areas in favour of a focus on commercial lines of insurance. The statement said a “small percentage” of positions had been eliminated, but did not give an exact number.
The company said employees who were laid off were offered severance packages based on their positions and seniority.
Founded in 1921, Pekin Insurance provides property and casualty insurance in Illinois and six other states.
