All 38 California GEICO offices have been shuttered and phone sales in the state have halted. According to a statement provided to the Sacramento Bee, hundreds of employees have been laid off as a result. However, the statement also offered assurances the insurance company will continue to write policies and service current customers in the state through direct channels.

This comes after GEICO made the decision in April 2022, to suspend quoting in their call centers across several states — including California — and the effect of this decision is evident in the company’s quote data from the second quarter of the year.