Des Moines-based GuideOne Insurance will cut 200 local jobs over the next year as the company eliminates three business lines, according to a report by The Des Moines Register. The company employs roughly 1,000 people at its corporate headquarters in West Des Moines and another 800 nationwide.
The decision was announced to employees on Wednesday, the newspaper reported. GuideOne will begin phasing out coverage Oct. 1 for high-risk drivers, motorcycles and boats, and mobile homes and inexpensive homes.
Those lines represent almost one third of GuideOne’s $750 million in revenue anticipated for 2000. According to the report, the company plans to focus on core operations insuring churches and related businesses, including schools and senior living communities.
The also plans to focus on standard auto, homeowners and life insurance products. GuideOne Chairman Darryl Hansen told the newspaper additional job cuts were expected nationwide, but the company hadn’t determined how many. The first cuts could be implemented as early as Sept. 15.
Employees were expected to begin meeting with managers or supervisors Thursday to talk about their jobs. In 1999, GuideOne acquired Carnegie Holdings of Camarillo, Calif., a specialty insurance holding company; National Lloyds Insurance Co. of Waco, Texas, a specialty home insurance company, including mobile homes; Personal Service Insurance Co. of Columbus, Ohio, an auto insurance company for high-risk drivers; and American Summit Insurance Co. and J.E. Murphy Cos. of Scottsdale, Ariz., mobile home insurance companies.
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