There are likely a range of reasons why Geico left Califonia, including cost savings, business strategy, and response to regulatory and market challenges in the state. Geico closed all of its physical sales offices in California and told all its customers that all insurance policies in the state will now be managed digitally. This means Californians can access and manage their policies through the official website or mobile app. This move to close the physical offices also meant hundreds of employees were laid off across the 38 offices in the state. Additionally, Geico has ceased selling policies via telephone agents in California. This is part of a larger shift towards digital solutions in the insurance industry.