Protection business Asurion slashes headcount

Asurion has ranked among the largest private companies in Nashville in recent years, having reported 2020 revenue of $10.6 billion, the Nashville Business Journal said.

Asurion, which sells gadget, phone, and appliance warranty cover as well as offering repair services, did not respond to a request for comment when approached by Insurance Business.

Users on a Nashville social media forum, who claimed to be staff members, reported potential cuts across multiple areas of the business, with affected individuals being notified yesterday.

The reductions are the latest in a tide of layoffs to affect the insurance sector – though these have been concentrated within the insurtech community.

Recent US insurance personnel cuts have included insurtech Next Insurance cutting its 800-strong headcount by 17%.

Next Insurance co-founder and CEO Guy Goldstein blamed worsening economic conditions, a shift towards prioritizing profitability, and cost management drivers for the reduction in a message to staff earlier this month.

Dallas-based life insurtech Bestow confirmed it was trimming its workforce by 14% in June, in response to “changing market conditions”, with around 41 employees affected.

Policygenius, Thimble, Root Insurance, Sidecar Health and Coterie have also reportedly made layoffs since the start of this year.

Cuts have not been limited to the US – also this month, Insurance Business revealed that UK-based commercial motor provider Zego was reducing its headcount by 17%, which Insurance Business understands followed a wave of redundancies during the first UK COVID-19 lockdown.