Quote & Buy's business development director Doug Phelan has been made redundant as a result of the company's decision to drop its stand-alone distribution website.
Phelan's two business development managers, Chris Moseley and Robin Mellish, were made redundant three months ago.
Two consultants working with the team were also laid off.
Phelan, Moseley and Mellish had joined Quote & Buy in late 2000 to promote the website (www.qandb.com and www.qandb.co.uk) to brokers.
Quote & Buy offered brokers the opportunity to have parts of the website re-branded with their own logo.
The company held a number of successful roadshows across the UK at the beginning of 2001.
However, managing director James Green said they realised soon after the roadshows that they could not compete on the range of products offered by the sector's giants Misys and CSC.
"If I'd known then what I do today, I'd never have done the roadshows," he said.
He said Quote & Buy would continue to service brokers who had bought into the website, but would not attempt to attract new business.
Green said Phelan and his team had been made redundant because the website did not bring in enough money.
"They weren't generating sufficient revenue in the area," he said.
Phelan is understood to be working
as a consultant with a London-based company.
Green said Quote & Buy would continue to offer motor through an integrated online and offline channel and would launch a new vehicle for other products such as commercial combined in the next month.