Vancouver-based insurtech Apollo Insurance has laid off approximately 25% of its workforce of about 125 people across Canada, according to one source familiar with the matter.
Employees were told during a 9 a.m. meeting, Pacific Time, according to the source, at which time the CEO spoke of a restructuring that would eliminate positions company-wide. The company acknowledged the staffing reductions (but did not confirm the 25% number) in a statement released Tuesday.
“We have made some changes today to our team which reflect a renewed focus for our organization,” David Dyck, vice president of marketing and pubic relations said in the statement.
Apollo has received feedback suggesting brokers are using the insurtech’s portal for fast, simple transactions, the company’s statement says. Apollo launched proprietary technology in April 2019 to quote, bind, collect payment, and deliver home and small business commercial policies online, in real-time, at any time of the day.
“Expanding product is the key to gaining momentum with our broker partners. We also must improve coverage and pricing, in order to have a more sustainable lead to bind ratio that encourages Apollo to be the portal of choice for brokers,” the company added.
Those let go felt blindsided by the layoffs, said the source, who noted team members had received solid bonuses earlier in the fall and that some employees had been discussing significant promotions with their managers in the weeks leading up to the layoffs.
Going forward, Dyck said the company will invest “more deeply in the portal underwriting capabilities” and noted Apollo has brought on new suppliers aimed at assisting brokers in the small-to-medium enterprise and personal lines markets.
“Beyond additional product suites, we will continue to invest in technology beyond quote and bind, such as automated endorsements and self-serve policy management,” he said in the statement.
The statement also noted Apollo is supported by investor partners Definity, Trisura, and Liberty Mutual.
Feature image courtesy of iStock.com/Thitiphat Khuankaew