Discussion about this post

User's avatar
The Rational Walk's avatar

Apparently GEICO has closed its insurance office in California. They are still writing policies in the state, but through direct channels (meaning that customers can continue to use the GEICO website and mobile app to get quotes and purchase policies). The action resulted in significant layoffs.

Sacramento Bee Article:

https://www.sacbee.com/news/california/article263946861.html

As I mentioned in the article, GEICO's expense ratio is very low and while that has muted the negative impact of recent difficulties, reducing advertising and employee costs could have longer-run implications. So it is a concern. I rarely wish for quarterly conference calls when it comes to Berkshire, but it would be nice to have some answers on this situation before next year's annual meeting.

Expand full comment
stefano xc's avatar

It seems to me that Combs is a bit of "Jack of all trades" . At one point he was also the main BRK man in the "Health care project JV with Amazon and JPM". He is either a superman or ...tries desperately to find a role for himself at Berkshire. Perhaps Warren got it slightly wrong on this one.

Expand full comment
6 more comments...

No posts