State Farm has announced Jon Farney, the company’s chief financial officer, will take over as the insurance giant’s president on Jan. 1.
Farney's appointment marks the first step in a succession plan ahead of CEO Michael Tipsord's planned retirement next year.
“Jon will work alongside chairman and CEO Michael Tipsord to lead State Farm in our longstanding mission to help people,” State Farm spokesperson Angie Harrier said in a statement to WGLT.
Farney joined State Farm in 1993 and has worked in various leadership roles within the company. The Illinois State University alum became senior vice president, treasurer and chief financial officer of the company in 2016.
State Farm named Tipsord its president and later its CEO in 2015, succeeding Ed Rust, who served 30 years as the company's top executive, longer than anyone in State Farm's 101-year history.
Harrier noted Tipsord recently shared with State Farm employees his plans to retire in 2024.
"He went on to say that while the role has meant to much to him, he is excited about the selection and announcement of his successor (as board chair and CEO) that will likely be made in the first half of the year," Harrier said.
Tipsord has led the insurer through a time of increased instability and competition in the industry as other companies gain market share against the traditional insurers. State Farm took a record hit in underwriting losses last year and outsourced some of its IT work to cut costs.
Bloomington-based State Farm is the largest home and auto insurance company in the United States. It has more than 13,000 employees in Bloomington-Normal.
