Insights

Latest Insurance Talent Perspectives

The Human Element of AI Transformation

Discover ways to effectively navigate through AI transformation. Only 4% of companies say they’re creating real value from their AI investments. The key differentiator is how well organizations manage the human side of implementation. 

Download the white paper to explore best practices for taking a human-focused approach as you lead through change.

Recruiter Report: Find the “Perfect” Candidate

Finding top talent remains difficult in today’s labor market. However, holding out for the “perfect” candidate may mean losing out on high-potential individuals that would thrive in the role.

Read our blog post gain insights on redefining what the ideal candidate looks like and share how to take a realistic and future-focused approach to making the right hire.

Explore Our Full Thought Leadership Library

  • Reset

Infographic: Insurance Industry’s Succession Readiness

As insurers aim to stay competitive in the challenging and volatile labor market, strategic succession planning and clear employee development opportunities are essential. Recently, The Jacobson Group conducted a study to better gauge the industry’s succession planning readiness. Below we highlight a few of the study’s key findings. View the full study results: https://jcbsn.gr/2022-succession-planning-study

May 2023: Labor Market Pulse

The U.S. labor market remains resilient – despite some economists’ predictions – as we enter May. The insurance carriers and related activities unemployment rate saw just a slight increase to 1.6%; and unemployment for the overall U.S. economy dropped to 3.4%, which along with January 2023, marks a 54-year low. Numbers from the Bureau of Labor Statistics also indicate that insurance industry employment hit a new high watermark in April, at nearly 2,937,000 jobs.  Within the larger finance and insurance sector, voluntary turnover levels have slightly lowered, along with the number of job openings. Overall, it seems we may be entering a steadier state compared to the past two years.   AT-A-GLANCE NUMBERS Unemployment for the insurance carriers and related activities sector slightly increased to 1.6% in April.  The insurance carriers and related activities sector gained 15,000 jobs in April. At roughly 2.9 million jobs, industry employment increased by approximately 25,000 jobs compared to April 2022. The U.S. unemployment rate decreased to 3.4% in April and the overall economy added 253,000 jobs.   INDUSTRY HIGHLIGHTS On a year-to-year basis, March* insurance industry employment saw job increases in property and casualty (up 2.8%), TPAs (up 2.7%), life/health (up 1.9%), agents/brokers (up 1.4%), and reinsurance (up 0.7%). Meanwhile, job decreases were seen in title (down 11.6%) and claims (down 9.9%). On a year-to-year basis, March* saw weekly wage increases in property and casualty (up 12.1%), title (up 6.2%), life/health (up 5.2%), TPAs (up 3.5%), agents/brokers (up 1.9%), claims (up 1.6%). Meanwhile, wage decreases were seen in reinsurance (down 2.7%).      BLS Reported Adjustments: Adjusted employment numbers for March show the industry saw an increase of 5,100 jobs, compared to the previously reported increase of 4,300 jobs. The BLS continues to revise numbers to be most accurate, which may contribute to inconsistencies, depending on when reports were pulled. *The BLS Job Openings and Labor Turnover Survey report and reports on wages and employment for the industry category are only available for two months prior. The source for the data represented in PULSE is the U.S. Bureau of Labor Statistics. Insurance data is derived from the insurance carriers and related activities sector.

Compass 16.2: Closing the Collaboration Gap

This quarter’s Compass feature article shares best practices on creating a culture that promotes effective collaboration in today's virtual environment. The newsletter also includes an overview of the industry's current labor market and recent executive-level job changes.

Q1 Insurance Labor Study Results: Continued Growth in 2023

As we move through 2023, insurers continue to face the challenges of a tight labor market. The industry’s unemployment rate remains low and job openings are high, according to the Bureau of Labor Statistics. However, 67% of insurers plan to increase their headcounts this year, according to our recent Q1 2023 Insurance Labor Market Study, conducted in partnership with Aon plc. Despite a looming recession and continued economic uncertainty, carriers have a positive outlook for the remainder of the year in terms of both staff and revenue growth.  Anticipated increases in business volume are the primary reasons for adding staff in the next 12 months, with technology roles remaining the most demand. After technology, the industry’s greatest needs are claims and underwriting staff. Unsurprisingly, technology roles are also considered the most challenging to fill, followed closely by actuarial and underwriting positions. Overall, while recruiting difficulty has eased for some roles compared to last year, the majority remain at least moderately difficult to fill. Experienced staff continues to be the industry’s greatest need overall, with 72% of respondents sharing they are most likely to hire experienced individuals, followed by entry-level employees (27%), and executives (2%). Entry-level staff is in highest demand within operations (53%), followed by actuarial (40%) and underwriting (38%). The industry is still adapting to the evolving priorities of today’s talent, with flexibility and virtual work largely influencing this shift. Ninety-two percent of carriers currently offer a hybrid model and 69% offer fully remote work. When asked how often insurers anticipated their staff coming into the office over the next six months, 72% shared they foresee the majority of employees coming in at least one day per week. While specific preferences will vary among individuals, it's important insurers determine the in-office requirements of a role and offer flexibility in hours and location whenever possible. From a revenue standpoint, 79% of insurers expect to see growth in 2023, with 40% anticipating increases of at least 10%. For many organizations, reaching both hiring and revenue goals will be dependent on their ability to attract and retain the right talent in the current market. To download the full Q1 2023 report or view the results presentation, click here. The Semi-Annual U.S. Insurance Labor Market Study has collected revenue and hiring projections from carriers across all sectors of the industry since 2009. The next iteration of the survey will take place in July 2023. To be notified when it opens, follow this link. 

Insurance Industry Still Faces Recruitment, Retention Challenges

Quoted in Health Payer Specialist: What is the insurance industry's talent outlook for 2023? Read this article for labor market insights.

April 2023: Labor Market Pulse

Entering the second quarter of 2023, the insurance labor market remains relatively constant. The industry unemployment rate is low at 1.5%, and insurance employment is steady, boasting nearly 32,000 more jobs than one year ago. Finance and insurance job openings dipped slightly in February*, to 350,000; however, while this number is lower than last year’s annual monthly average, it is still notably higher than pre-pandemic levels.  Hybrid work environments have largely stabilized, industry conferences are thriving and professionals are once again connecting in person. The recruiting climate may be less intense than what we experienced in 2022, yet the labor market remains strong. For insight on whether we are still in a candidate’s market, read our latest edition of Recruiter Report.     AT-A-GLANCE NUMBERS Unemployment for the insurance carriers and related activities sector slightly increased to 1.5% in March.  The insurance carriers and related activities sector gained 4,300 jobs in March. At roughly 2.9 million jobs, industry employment increased by approximately 31,900 jobs compared to March 2022. The U.S. unemployment rate decreased to 3.5% in March and the overall economy added 236,000 jobs.   INDUSTRY HIGHLIGHTS On a year-to-year basis, February* insurance industry employment saw job increases in property and casualty (up 3.2%), TPAs (up 2.5%), reinsurance (up 2%), life/health (up 1.6%), and agents/brokers (up 1.2%). Meanwhile, job decreases were seen in title (down 11.5%) and claims (down 7.9%). On a year-to-year basis, February* saw weekly wage increases in property and casualty (up 11.7%), title (up 5.5%), life/health (up 5.2%), TPAs (up 4.1%), agents/brokers (up 3.2%), claims (up 2.5%). Meanwhile, wage decreases were seen in reinsurance (down 2.3%).      BLS Reported Adjustments: Adjusted employment numbers for February show the industry saw a decrease of 6,500 jobs, compared to the previously reported decrease of 4,200 jobs. The BLS continues to revise numbers to be most accurate, which may contribute to inconsistencies, depending on when reports were pulled. *The BLS Job Openings and Labor Turnover Survey report and reports on wages and employment for the industry category are only available for two months prior. The source for the data represented in PULSE is the U.S. Bureau of Labor Statistics. Insurance data is derived from the insurance carriers and related activities sector.

Recruiter Report: Are We Still in a Candidate’s Market?

Last year, we were in the midst of one of the most competitive labor markets the insurance industry has ever seen. Candidates gained a substantial upper hand in the hiring process, leveraging a red-hot recruiting climate and competing offers to raise their expectations around compensation, benefits and flexibility. Now, as we move through 2023 with a looming recession and economic uncertainty, we’ve been having many discussions with clients and other industry leaders around the need to continually adapt to remain competitive in an evolving market. In this edition of Recruiter Report, we’re exploring the question, "Are we still in a candidate’s market?" The Current State of the Insurance Labor Market For the past several months, questions around a potential economic downturn and its impact on the labor market have been increasingly prominent. However, the Bureau of Labor Statistics reports employment within the insurance industry reached an all-time high in January, with the larger finance and insurance sector continuing to experience elevated levels of job openings and voluntary quits. Professionals are making moves; and, at the same time, insurers are continuing to hire. Our Q1 2023 Insurance Labor Market Study found 67% of carriers plan to increase their staff sizes in 2023, which is just 1 point lower than July 2022’s study and 5 points lower than January 2022. For additional context, this is 6 points higher than January 2020, prior to the pandemic.   Shifting Candidate Expectations In 2021 and 2022, as the economy began to recover from the initial impacts of COVID-19, the industry experienced unprecedented movement. While this reshuffling seems to be slightly easing, we’re still seeing high turnover as professionals seek out companies and working arrangements that best align with their values and professional aspirations. Individuals are unlikely to make lateral moves, yet their salary expectations have become more reasonable. Companies’ flexibility around hours and locations are now key differentiators and common deal breakers for candidates – even more so than salary, especially as some insurers are asking employees to spend more time in the office. Remaining Realistic and Competitive Regardless of how the market shifts long term, professionals’ expectations around the hiring process and the employee-employer relationship have forever changed. Here are a few ways to help calibrate to the current equilibrium. Make your position stand out.  In today’s market, candidates are unlikely to make a move without a compelling reason. This could be more money, greater flexibility or the opportunity for upward mobility, among a number of other factors. Active candidates are receiving multiple offers and it is necessary to stand out among competing opportunities. Some passive candidates may also be hesitant to make moves right now, and finding out what is important to those who are on the fence is key. Use the interview process to uncover these unique motivators and accommodate individual needs to the best of your ability. At the same time, be flexible with your job requirements – if an individual already meets all the requirements of a role, there’s no room for growth. Limit relocation and in-office requirements.   Workplace flexibility has become a top priority for many professionals, even more so than bumps in compensation. While specific preferences will vary among individuals, many are reluctant to come into an office even three days a week. Relocation also remains difficult, especially given today’s housing market and the assumption that many jobs can be performed just as well remotely. Take time to fully consider the in-office requirements of a role and be creative in offering the flexibility in hours and locations that many professionals currently seek. Maintain a sense of urgency.  Providing a streamlined interview process and open lines of communication continues to be essential. While it may not be as crucial to make decisions immediately after talking with a candidate, the interview process shouldn’t extend longer than a week or two to avoid losing the candidate’s interest. Maintain momentum by clearly defining the required skills for a role within your interview panel, interviewing with intentionality, and uncovering the information necessary to create a strong and personalized offer. Do you feel we’re still in a candidate’s market? Share your thoughts in our LinkedIn poll below.    

Closing the Collaboration Gap

As the insurance industry settles into longer term hybrid and fully remote environments, leaders are experiencing a learning curve. By building and strengthening relationships, embracing communication and feedback, and encouraging interaction throughout the workday, creating a culture that embraces collaboration is possible.

Q1 2023 Insurance Labor Market Study Results: The Candidate’s Market Persists

Despite ongoing uncertainty throughout the U.S. economy, insurance remains in a candidate’s market as 2023 unfolds. The industry hit record-high employment in January, job openings continue to be elevated after reaching a peak in 2022 and insurance unemployment is just 1.4%. According to our recent Q1 2023 Insurance Labor Market Study, conducted in partnership with Aon plc, 90% of insurers plan to increase or maintain their staff sizes this year. Most companies also have a positive outlook regarding revenue expectations, making hiring necessary for successfully meeting their growth goals.  According to our study, 67% of insurers plan to add staff in 2023, which is just 1 point lower than July 2022 and 6 points lower than the study’s all-time high in January 2022. The primary reason for adding staff during the next 12 months is an anticipated increase in business volume, followed closely by areas currently understaffed and expansion of business/new markets. Technology roles remain in the highest demand, followed by claims and underwriting positions. Of the companies planning to add staff, 88% also expect an increase in revenue, driven by changes in market share.  While overall recruiting difficulty has slightly decreased from 2022’s record high levels, nearly all functional areas remain moderately difficult to fill. Technology positions continue to be the most challenging, followed by actuarial and underwriting roles. Overall, one-quarter of insurers shared they feel it’s harder to hire talent than it was one year ago. Organizations are continuing to find the right balance regarding where and when work takes place. Ninety-two percent of respondents currently offer hybrid environments, with 89% sharing employees have at least some input on determining the days required in the office. Sixty-nine percent of carriers offer full-time remote work, yet 76% feel the majority of employees will come into the office at least one day per week throughout the next six months. Long-term flexibility is key as insurers strive to remain competitive in today’s market and meet professionals’ preferences and expectations. The Q1 2023 Insurance Labor Market Study took place from January 11 through February 1, 2023, 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. If you’re considering making a move in the current market – whether within your current company or the larger industry – check out our recent post on taking an intentional approach to professional development. 

Polling Results: Is Your Organization Aligned with Today’s Professionals?

As the talent landscape continues to shift, professionals’ behaviors and attitudes are also evolving. We’ve polled our LinkedIn audience to provide insight on individuals’ current preferences and expectations around a number of topics. Consider this information as you build out your own talent strategies and aim to effectively recruit and retain talent in the changing landscape.   Although just three years ago it was standard to come into the office each day, employees’ expectations around flexibility in location and hours have greatly shifted. 60% desire a fully remote work environment and 35% prefer a hybrid model. Just 5% would choose to be fully in person, making it vital for employers to balance organizational needs with employee preferences to remain competitive in today’s market. Many organizations are including additional benefits to entice talent, such as increased flexibility, expanded PTO, affordable healthcare, and family-friendly offerings such as childcare and parental leave. Considering these options, 56% of professionals said flexibility would be most important to them when evaluating potential employers. 29% said expanded PTO packages were most important, followed by affordable healthcare and family-friendly offerings at 11% and 4%, respectively. “Quiet quitting” – the concept of doing the minimum requirements of a role – has become increasingly prevalent. While professionals may become disengaged and quiet quit for a number of reasons, most respondents (34%) felt burn out would be the most likely cause, followed closely by lack of opportunity (25%), lack of compensation (24%) and feeling disconnected (18%). Understanding what motivates and fulfills individuals is valuable not just for retaining employees, but also for maintaining a             productive and engaged workforce.  Many hiring managers are being “ghosted” by candidates who don’t show up to an interview or even their first day of work. However, only 12% of respondents admitted to missing an interview without notifying the employer first. While it may not be possible to completely mitigate your chance of being ghosted, ask the right questions to best gauge a candidate’s sincerity around a role.   For more insights, check out our recent blog sharing polling results around how insurers are navigating the current talent marketplace. To share your thoughts in our future polls, follow us on LinkedIn.

2023 Actuarial Talent Trends Guide

Thanks to economic uncertainty, the continuing candidate's market and shifting business priorities, actuarial leaders are facing a number of talent challenges and opportunities. From 'quiet hiring' to a renewed focus on attracting young talent, we are seeing a number of trends emerging this year. Download our guide to learn about the trends that will have the most impact on the actuarial industry in 2023.

March 2023: Labor Market Pulse

The insurance labor market continued its steady growth in February with unemployment falling almost a full point to 1.4% for insurance carriers and related activities. Revised numbers for January also show the industry hit record-high employment at 2,922,000 jobs. Amid employment growth, insurers continue to face a tight labor market. Twenty-five percent of companies report hiring has become more difficult compared to last year, according to our Semi-Annual Insurance Labor Market Study. Many insurers are reevaluating hiring requirements to offer more flexible working arrangements including hybrid and situational travel (i.e., traveling into the office once a month) options to align with candidate expectations and expand their talent pools.    Meanwhile, industry wages were reported as 6% higher than last year, though wage growth did stall in January, likely indicating wage inflation may be slowing.  For more insights on hiring trends and the outlook for 2023, view our infographic highlighting the results of our recent Semi-Annual Insurance Labor Market Study. AT-A-GLANCE NUMBERS Unemployment for the insurance carriers and related activities sector decreased to 1.4% in February.  The insurance carriers and related activities sector lost 4,200 jobs in February. At roughly 2.9 million jobs, industry employment increased by approximately 35,500 jobs compared to February 2022. The U.S. unemployment rate increased to 3.6% in February and the overall economy added 311,000 jobs.   INDUSTRY HIGHLIGHTS On a year-to-year basis, January** insurance industry employment saw job increases in property and casualty (up 3.6%), TPAs (up 3.3%), agents/brokers (up 2.7%), life/health (up 1.6%), and reinsurance (up 1.4%). Meanwhile, job decreases were seen in title (down 11.6%) and claims (down 8.3%). On a year-to-year basis, January** saw weekly wage increases in all categories: property and casualty (up 10.2%), life/health (up 5.8%), title (up 5.8%), TPAs (up 4.8%), agents/brokers (up 4.8%), claims (up 1.3%) and reinsurance (up 0.3%).      BLS Reported Adjustments: Adjusted employment numbers for January show the industry saw an increase of 1,700 jobs, compared to the previously reported decrease of 5,100 jobs.** The BLS continues to revise numbers to be most accurate, which may contribute to inconsistencies, depending on when reports were pulled. *The BLS made its annual revisions on February 3, adjusting current employment statistics numbers for the past five years. **The BLS Job Openings and Labor Turnover Survey report and reports on wages and employment for the industry category are only available for two months prior. The source for the data represented in PULSE is the U.S. Bureau of Labor Statistics. Insurance data is derived from the insurance carriers and related activities sector.