Wells Fargo said it is “exiting” the personal lines insurance business. The sales scandal that rocked the company and cost it $185 million is to blame. In a statement last week, the bank said it will start unwinding immediately from auto, homeowners, renters and umbrella insurance. The statement also said the company’s insurance operation isn’t that important to the bank’s bottom line.
It may not impact the bottom line but the scandal has impacted business. The company illegally forced auto insurance premiums on 575,000 or more customers and that hasn’t set all that well with a lot of consumers.
Wells Fargo got out of the crop insurance business last year in 2016 and has sold its commercial lines business but that sale hasn’t closed yet.
Source link: Insurance Business America