GEICO abruptly closed all of its physical sales offices in California last week, telling its customers that its insurance policies in the Golden State from now on exclusively will be handled digitally through the insurance giant's website or by using its mobile app.

The office shutdown, which according to several reports was accompanied by "hundreds" of layoffs, involves 38 offices across the state. At the same time the physical offices closed, the company said it was ending the practice of selling policies through telephone agents in California.

"We continue to write policies in California, and we remain available through our direct channels for the more than 2.18 million California customers presently insured with us," GEICO said, in a statement distributed to media outlets across California.

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