ABSTRACT
The tremendous decline in automobile production, along with wartime gas and tire rationing, and much lower speed limits—35 m.p.h. was the top speed permitted on the nation's highways—all dramatically reduced the business prospects for automobile insurers. Insurers such as Erie Insurance needed to bolster their agent ranks depleted by military service. They also needed more then ever an effective sales force to counter the decline in automobile production and the wartime restrictions on car use. The excursion of the ERIE's claims manager into sales was extremely successful and helped the company overcome the serious challenges that World War II posed to its business. In the mid-1930s Erie Insurance began to expand its insurance business outside of the state of Pennsylvania. Insuring Lyons and other long-haul truckers based in Pennsylvania got Erie Insurance to expand to other states. After the 1937-1938 "recession," Erie Insurance's premiums grew steadily.
