The insurance industry remains relatively stable as we move through 2024. Our recent Q3 2024 Insurance Labor Market Study, conducted in partnership with Aon, revealed 86% of carriers intend to increase or maintain their staff sizes in the next 12 months. At the same time, the Bureau of Labor Statistics shows 11 consecutive months of job growth for the insurance carriers and related activities sector.
However, while the industry continues to add jobs, this employment growth remains relatively modest. Just over half (52%) of companies intend to grow their teams in the next 12 months, unchanged from January 2024 and down 11 points compared to July 2023; while 34% plan to maintain their current headcounts. The main drivers for growth are expected increases in business volume and expansion into new markets. At the same time, 14% of companies expect a reduction in their workforce—up 4 points from one year ago—with automation continuing to be the most common reason. No respondents plan to decrease staff size by more than 10%.
For the first time in the study’s 15-year history, technology positions are not the industry’s greatest need; underwriting and claims roles are currently in highest demand, with technology ranking third. Desired job levels remain relatively consistent with previous studies: 77% of those planning to hire say they’re most in need of experienced professionals, followed by entry-level individuals at 21% and executives at 2%. For individuals who are new to the workforce, entry-level positions are most needed within operations (62%, which is 14 points higher than one year ago), claims (38%) and underwriting (21%). Compliance (4%) and loss control/risk management (7%) are the areas most likely to add executive-level positions.
Recruiting difficulty has eased in eight of the survey’s 11 categories; however, most positions continue to be considered at least moderately difficult to fill. Actuarial, executive and analytics roles remain the most challenging. Nevertheless, just 11% of companies report their ability to hire talent has become more difficult over the past year, down from 17% in July 2023.
Flexibility remains important for many professionals, and 72% of companies shared the majority of their employees work a hybrid model (38% one to two days in office; 34% three to four days in office). About a quarter of companies say most of their staff is fully remote (up from 18% in January 2024) and just 4% report most employees are in the office full time (down from 6% at the beginning of the year). The vast majority (94%) of companies do not plan to make changes to their work models in the next six months. The remaining 6% plan to require more in-office presence, down 10 points from January.
Whether you are ready to take your next professional step or looking for new opportunities in the insurance sector, the industry is continuing to grow. If you are actively interviewing, make sure to check out this post, “Navigating Job Interviews: 7 Questions to Assess Fit and Stand Out” to help guide your search and make informed decisions throughout the process.
The Q3 2024 Insurance Labor Market Study took place from July 8 through July 28, with participation from insurance carriers across all industry sectors. The semi-annual survey collects and examines data on insurance industry hiring, as well as revenue trends and projections. For more insight on the industry’s hiring plans and additional labor market details, view the full report.