Wells Fargo & Co has announced its plan to shut down its personal insurance business and to immediately start winding down marketing and product promotion activity.

This decision was taken following a strategic assessment of the personal insurance business, which commenced in October last year.

The company stated that the decision is part of its mission to simplify and rationalise product offerings to better serve customers.

Wells Fargo head of personal insurance Laurie Nordquist said: “Wells Fargo continually reviews our product and service offerings to ensure they meet our customers’ needs and align with the company’s long-term strategic goals.

“The decision to exit the Personal Insurance business reflects these practices, and we will wind down operations in a measured and responsible way for our existing customers.”

In 2015, Wells Fargo announced the offloading of its crop insurance business, Rural Community Insurance Services, and its subsidiary Rural Community Insurance Company, to Zurich American Insurance Company. The divestment was completed in 2016.

In June 2017, Wells Fargo divested Wells Fargo Insurance Services USA to USI Insurance Services, a local and national insurance brokerage and consulting firm.

Earlier this month, Wells Fargo Insurance reached an agreement with Hub International Limited, to sell its crop insurance broker business.

The personal insurance business is the last remaining insurance brokerage agency under Wells Fargo’s portfolio, and is not financially viable for the company. This sale, however, does not impact Wells Fargo’s Wealth and Investment Management’s life insurance practice.