GEICO had a pre-tax underwriting loss of nearly $1.9 billion in 2022 (the uw loss comes from property & other lines, not just auto).
Geico reported a $703 million underwriting profit for Q1 2023, after reporting a loss for six consecutive quarters (Note: the Q1 profits are the result of receiving approval from states to increase premiums and from scaling back advertising).
If I'm counting back correctly, six quarters from Q1 2023, would be Q2 2021; which means they didn't make a profit for about one and a half years, and in order to achieve profit for first quarter 2023, Geico had to resort to drastic measures (not advertising & premium increases). They've also been losing market share to Progressive.
In all actuality, if Geico were not a subsidiary of Berkshire Hathaway (and a favorite company of Warren Buffett), I think this layoff would've been even larger than it is.
Prayers for everyone impacted by the layoffs (including those that kept their jobs).