GEICO’s Struggles — Terminates 30,000 Employees

Though Berkshire Hathaway Vice Chairman of Insurance Operations Ajit Jain won’t give a time frame for the layoffs, GEICO has cut over 30,000 jobs in the recent past to turn the company’s financial picture around.

He said GEICO wasn’t keeping up with its insurer competition.

As a result, Jain said GEICO posted a $2.2 billion pretax underwriting result in 2025’s first quarter. That’s up 13% from the first quarter of last year. Part of the reason for the increase is the addition of a lot of new business.

Jain credited Chief Executive Officer Todd Combs with the turnaround based on a workforce reduction and an improvement in the use of technology.

“I do not want to be so arrogant to say ‘mission accomplished,’” Jain said and pointed out that GEICO is continuing to develop AI to accomplish its goals.

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