Independent claims adjustment firm Crawford & Co. announced that Jeffrey T. Bowman is stepping down after nearly eight years as president and CEO and 24 years of service with the company.
Bowman said he agreed to step aside at the request of the board of directors.
The board has appointed board member Harsha V. Agadi to be interim CEO while it conducts a search for a permanent CEO. The search will be led by the board’s executive committee and is expected to take several months.
The announcement did not give reasons for Bowman’s resignation.
The firm had a disappointing first half of the year, in part because a lack of severe weather contributed to a decrease in the insurance claims business. The company has become more dependent on lower margin, high volume claims. It has also been dealing with costs associated with its integration of the GAB Robins acquisition, a new servicing center in the Philippines, and several large legal settlements. Bowman had initiated cost reduction steps he said were starting to improve margins.
Net income in the second quarter of this year was $4.1 million, down from $10.5 million in the same period in 2014.
“After nearly eight intense and challenging years as president and CEO I have agreed with the board to step down. I am extremely proud of what the management team has achieved in this time and where we have positioned the company for the future,” Bowman said in a statement. “The company is going through a significant transformation this year in a challenging industry environment, and I wish all the great employees working at Crawford the best of luck in the future.”
Agadi has been a member of the Crawford board since 2010. He is the chairman and CEO of GHS Holdings LLC, an investing and consulting business.
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