Insurance Agency EverQuote to Lay Off Nearly 100 Employees

Online insurance agency EverQuote will lay off nearly 100 employees at its Evansville, Indiana office as part of plans to reduce its non-marketing operating expenses by over 15%.

A Worker Adjustment and Retraining Notification (WARN) submitted to the Indiana Department of Workforce Development shows the Cambridge, Massachusetts-based EverQuote plans to lay off 98 Evansville employees by August 28.

In June EverQuote announced plans to implement a structural reduction.

“We remain committed to managing expenses throughout our operations,” said Jayme Mendal, CEO of EverQuote. We expect this efficient cost structure will position EverQuote for growth and profitability when the auto insurance carriers return to their normal pattern of acquiring consumers through digital channels.”

Last week the company announced it would exit its health insurance vertical, beginning June 30. The health insurance vertical includes EverQuote’s marketplace and direct to consumer agency (DTCA) serving the Medicare and “Under 65” health insurance market and represented approximately 10% of the company’s revenue in fiscal year 2022, according to a company statement.

EverQuote said the decision to disband its health insurance vertical is part of the company’s plans to streamline its business and reduce non-marketing operating expenses.

EverQuote will incur aggregate severance charges of approximately $2 million to $3 million, the company said.

EverQuote acquired Evansville-based Crosspointe Insurance & Financial Services, LLC in 2020. The following year, EverQuote announced plans to add more than 100 jobs in Evansville and invest more than $1 million to lease and equip a 14,000-square-foot headquarters facility.

EverQuote experienced 2022 full year total revenue of $404 million, a decrease of 3%.