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Latest Insurance Talent Perspectives

Building and Maintaining a Strong Employer Brand

In today’s competitive labor market, a strong employer brand is a key differentiator in recruiting top talent, reducing costs, enhancing the candidate pool, and retaining high performers by instilling pride in their roles and company. 

View our latest white paper for tips to ensure your company represents itself as an employer of choice.

Q3 2024 Insurance Labor Market Study Results

The Jacobson Group and Aon conduct a Semi-Annual Insurance Labor Market Study to examine industry hiring and revenue trends and projections. The findings of our Q3 2024 iteration reflect a relatively stable labor market, with modest job growth.

Download the results to explore 2024’s staffing forecasts and hiring plans for the insurance industry.

Combatting the Finance and Accounting Talent Shortage

Faced with a shallowing pool of emerging talent and a workforce nearing retirement, finding qualified accounting and finance professionals has been an intensifying challenge for the industry. A comprehensive multi-prong approach is necessary to cultivate a workforce that can meet evolving demands and ensure operational continuity.

Read our blog post for insights on staying ahead of the growing finance and accounting talent crisis.

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How Big Data and Analytics are Changing the Way Insurers Do Business

It is my pleasure to introduce a guest blogger for this latest post. Steve Lessaris is a Client Development Manager with our Professional Insurance Recruiting practice. Steve recently attended the 2nd Annual Analytics for Insurance USA Conference and gathered some insights that are definitely worth a read. Enjoy…  The recent advances in analytics and big data have revolutionized the business world, changing the way we play sports, shop for goods and track information. For insurers, analytics has transformed business practices and even introduced new job functions. Already, 2015 has been dubbed the year of technology-driven transformation within the industry.  Originally embraced by certain segments of the industry, analytics is now permeating across all areas, including sales, marketing and customer service. Recent research has shown that more than one-third of insurers are investing in predictive analytics. The result is significant improvements in processes and new products that deliver value and efficiency to customers.  But how exactly are the changes in analytics and technology influencing the insurance industry? We’re spotlighting four areas where advances in analytics are changing the way insurers do business:  Managing Risk: Past generations of insurance agents were directly connected with their customers; they knew their communities and the risks involved with providing insurance to local individuals and companies. However, a move toward decentralized agencies and an uptick in online applications has affected agents’ abilities to assess risk. With analytics providing access to a myriad of data, agents are able to build statistical models to better understand and quantify risk. For example, carriers are now able to pull demographic data, credit activity, ‘business climate’ scores—including ROI, failure rate and tax data— to determine which companies are higher risk. Determining Pricing and Upselling: With analytics, organizations are able to track the performance of applications throughout the quote process and identify patterns in price preference and coverage type. Combined with social media activity, past account information and website click data, insurers can provide tailored options and suggest additional products that meet the needs and budgets of consumers. Personalizing Products: Creating models to review customer habits based on collected data, including demographics, health background and account information is helping insurance organizations adapt products and premiums to the individual customer. As a result, they are able to offer customers highly personalized policies at a competitive premium. An example of this is Progressive’s Snapshot® program and Allstate’s Drivewise®. Utilizing a sensor located in the car, the insurer is able to record average miles driven, typical time of day for driving, average speed and how sharply the driver is braking. This data is then used to determine the best rate for the individual based on their habits and history. Detecting Fraud: New analytical processes including pattern analysis, social media insight gathering and database monitoring are assisting insurers with detecting and predicting fraud. This collection of behavioral data is being used to create new models that can identify patterns and pinpoint both normal and suspect behavior. For example, companies are now harnessing data analytics to assist in combating garaging fraud—paying a premium based on a residence that is not accurate. Insurers are able to connect vehicle plate databases, which utilize License Place Recognition (LPR) cameras and policy information to determine if drivers are actually parking their car where they say they are, and adjust their premiums accordingly.  Analytics is impacting all areas and functions within the insurance industry. However, as with all technology, change is happening at a breakneck pace. In order to truly embrace the potential that analytics and big data hold, insurers must embrace the newest advances with creativity and confidence.  What do you see on the horizon for analytics in the insurance industry?

Is Your Talent Brand up to the Job?

Do you know how your organization is perceived outside of the office? Do potential candidates view your organizations as a great place to work?  As Catherine Prete, Jacobson’s senior vice preside of operations, discussed in our latest edition of Compass, your talent brand can play an important role in attracting and retaining professionals. In fact, 83 percent of global recruiting leaders report that a strong reputation is a critical driver behind hiring top employees.  Often described as “the people’s voice,” your talent brand is your public image. It encompasses not only your company culture, but also the feelings, impressions and perceptions your employees and stakeholders have about your organization. It also includes the social presence that you promote, via external websites, job boards, social networks and more.   With today’s talent market becoming more and more challenging, having a strong, positive public persona may be the key in successfully fulfilling your talent needs. In fact, a strong talent brand has been known to enhance an organization’s reputation and name recognition, cut down on human resource costs, and assist in recruiting high-quality candidates.  Despite all the benefits provided by a positive company image, a number of organizations are failing to strategically build and foster their external reputations. If your company is missing a talent brand strategy, now is the time to start developing one.  There are a number of key questions that can provide a baseline to get started. Consider what your employees think of your organization. Do job candidates have a positive perception of your company? What values does your organization hold and how well are they upheld? The responses will give you insights on where you need to focus your branding efforts and what promotional activities need to be undertaken.  If you would like to learn more about talent branding and the strategies and best practices for successfully promoting your unique employer image, download Compass.

The Growing Cyber Threat

Cyber is everywhere, even earning its own CSI spin off on TV! With the well-publicized cyber attacks and data breaches at Target, NATO, JPMorgan Chase, and Anthem, cyber security and losses associated with cyber crimes are a growing concern throughout the business world. While the total number of data breaches and record exposures often fluctuates year to year, organizations are seeing a continued upward trend. According to the Identity Theft Resource Center, the number of U.S. data breaches tracked in 2014 hit a record high. The center has been tracking these events since 2005. The reported 783 breaches in 2014 represents an increase of 27.5 percent over the 614 reported in 2013 and an increase of 18.3 percent over the previous milestone of 662 breaches tracked in 2010. In addition, the number of data breach incidents hit a high of 5,029 reported incidents, involving more than 675 million estimated records. Cyber risk has now moved into the top three global business risks, according to the fourth annual Allianz Risk Barometer Survey. This is a significant jump from its eighth place ranking and 15th place ranking in 2014 and 2013, respectively. It is clear that cyber is becoming a critical threat to both governments—faced with a potential for undermined national security—and businesses—struggling to store confidential customer and client information online. Unfortunately, traditional insurance policies have not typically covered the emerging cyber risks. As a result, specialized cyber insurance policies have been developed to support and protect businesses and individuals. A joint survey from Advisen and Zurich recently found that 52 percent of companies are claiming to have purchased cyber liability insurance. With an ever-evolving range of risks, the selection of cyber risk coverage options is expanding as insurers work to keep ahead of the game. Some interesting options that have emerged as a result of the growing focus on cyber risk include the following: Loss/Corruption of Data: Focused more on protecting the actual data, loss or corruption insurance often covers the damage to, or destruction of information assets, due to viruses and malicious code. Business Interruption: When an attack on a company’s network limits its ability to conduct business, business interruption insurance covers the loss of income, as well as extra costs including forensic expenses. Liability: Cyber risk liability insurance covers the legal costs incurred and, sometimes even the punitive damages, resulting from data theft, virus transmission and security failures. Cyber Extortion: This newly introduced coverage option focuses on the “settlement” of extortion threats against a company’s network, as well as the cost of hiring a security firm to handle blackmailers. Crisis Management: Managing and rebuilding one’s organization following a cyber incident can be extremely costly. Crisis management covers the cost of notifying consumers of the breach, providing remediation services and retaining public relations assistance to help with the potential fallout. Criminal Rewards: This insurance policy covers the cost of posting a reward for information leading to the arrest and conviction of a cyber criminal involved in attacking company computers or networks. Cyber risk is evolving at a rapid pace. Today’s insurance organizations are working hard to evolve with it. Already, focus is on the latest round of emerging risks, including the growing use of cloud services, the use of personal devices for business, and the emergence of social media and the resulting potential for online slander. Only time will tell what the future holds in the realm of cyber risk coverage. What do you predict will be the next major trend in cyber risk insurance?

Compass 8.2: Building Your Talent Brand: Ensuring Success In Today’S Talent Market

In today's challenging labor market, having a positive public persona plays a key role in successfully attracting and engaging both current and potential employees. However, despite recognizing its importance, a number of organizations are failing to take a strategic approach to building and cultivating their images. How can organizations ensure their brand resonates with top talent? We share insights and strategies to build and maintain an employer brand that wins the war for talent. This edition also includes our regular overview of the industry's current labor market and recent executive-level job changes.

Countdown to ICD-10: Get your Training Program on Track

It is my pleasure to introduce a guest blogger for this latest post. Abbe Sodikoff is a senior vice president and health sales manager here at Jacobson, providing leadership to our subject matter experts health services team. Her insights into ICD-10 preparation are worth a read. Enjoy… The official compliance date for ICD-10 has been delayed another year until October 1st, 2015. Despite the extended deadline, many health plans remain concerned about their readiness. According to a study, more than half of healthcare providers and health plans have completed only 25 percent or less of the necessary implementation. The implementation of ICD-10 will affect all aspects across the health system from clinical documentation and business processes to claims and care utilization management. As such, it is critical that everyone working at these health plans, from the chief executives to the coders, is aware of, and familiar with, the new coding standards. Education and training are key aspects of any successful implementation plan. If you haven’t done so already, now is the time to review the needs of your organization and create a training strategy to ensure that everyone is on board.As you prepare your ICD-10 training program, here are some helpful tips to keep in mind. Treat ICD-10 training like you would treat any other training within your organization. Take time to develop a comprehensive project management plan and make sure to utilize the expertise of your training coordinators – or to contract one if you don’t have the necessary expertise on staff. Determine a process for providing specific and relevant information to each individual team within your organization. For example, tailor your training to discuss ICD-10 changes to billing when you are training your billing staff. Remember that everyone learns differently and at a different pace. Utilize a mix of eLearning courses and instructor-led sessions in your training.  Keep in mind that 65% of professionals are visual learners and incorporate visual clues and materials into your education materials. Here at Jacobson, we are staying abreast of all ICD-10 updates and news in order to provide effective support to our clients as needed. In addition, we are encouraging our clients to assess their strengths and limitations regarding ICD-10 compliance and education, and to start an honest internal dialogue about the potential needs they may have during this transition. What is your organization doing to prepare for ICD-10?

What does the crystal ball predict for staffing in 2015?

A number of trending talent issues are sure to impact the insurance industry in 2015. From the growing focus on building a personalized talent brand to the rise in demand for tech talent, the industry is being shaped by a number of emerging trends. Here are seven trends we expect to influence the insurance industry in 2015. Emerging Talent: As the industry faces a growing talent crisis, organizations are turning to young professionals and recent graduates to fill the gap. Talent Branding: In today’s competitive recruitment climate, building an attractive, positive brand is key to success.  Tech Talent: The demand for analytics and big data talent is causing insurers to rethink their hiring plans in order to better attract tech talent.  Increased Industry Turnover: Companies must revisit their employee engagement strategies to combat the growing number of voluntary separations.  Growth of Non-Traditional Employment: The rise in temporary employees is creating a unique solution to employers search for cost-efficient term staffing. Technology Impacting Required Job Skills: The growing focus on technology is creating a demand for a new skillset among today’s job candidates. Climate Risk: Increased demand for claims and underwriting professionals is causing insurance organizations to rethink their current disaster or natural event staffing strategies. Want to learn more about the top talent trends for 2015? Download our full guide for an inside look.

Insurance Industry Continues Positive Growth Trend

The results from our latest Semi-Annual U.S. Insurance Labor Outlook Study are now in! The survey expectations are overwhelmingly positive for staffing and revenue growth. Compared to the July 2014 survey, the rate of expected hiring jumped to 66 percent—the highest percentage since the survey began in 2009. Nearly one-third of all companies are planning to increase their staff by at least 2 percent in the coming year. Primary drivers for this growth in staffing are the anticipated increase in business volume and the expansion of business into new markets. The post-recession recovery continues to effect staffing expectations as more than 40 percent of organizations reported that they would be hiring to fill areas currently understaffed. Revenue growth expectations remain high, with 84 percent of surveyed organizations expecting an increase in revenue growth in 2015. This is the fourth highest level since the survey began, however it marks a slight decrease from the expectations reported in July 2014. An increase in market share and changes in pricing are driving the expected revenue increase within the industry. Despite this positive outlook, insurers face an increasingly challenging labor market as the demand for talent continues to far surpass the current supply. Since its low in April 2011, the industry has seen a growth of more than 60,200 new jobs. In January 2015, staffing in insurance reached 1,481,000—the highest the industry has seen since July 2004. Add in 236,000 job openings within insurance and it is clear that the labor market is in the midst of a drastic tightening. In addition, the unemployment rate remains low. According to the BLS, the January 2015 unemployment rate for the insurance industry was 2.3 percent, a much lower rate than the 5.7 percent reported for the national economy. While the insurance industry is enjoying a period of relative stability, the low unemployment rate is lending to the current talent crunch. Already companies are reporting a difficult recruiting climate. It is expected that the current labor market will become more and more challenging as the available talent pool continues to be effected by industry retirements and a lack of incumbent talent. Actuarial, technology and executive positions continue to top the list of job functions that are the most difficult to fill. This correlates to the growing focus on technology and analytics within the industry and its increased integration throughout insurance. In fact, technology has had the greatest likelihood of increasing staff in 11 of the past 12 surveys for property and casualty companies. To combat the growing talent shortage and meet the growing industry needs, insurance organizations are focused on building their talent pipelines and engaging their current employees. Many insurers are turning toward the incoming wave of Millennial professionals to provide a solution to their talent needs. With Millennials making up an estimated 25 percent of the workforce they present a unique opportunity for the industry to bring in fresh talent. Engaging and recruiting these bright, young professionals may be the key to successfully weathering the growing talent storm. While things are certainly looking up within the insurance industry, the positive outlook must not be allowed to overshadow the growing challenges in recruiting for key industry positions. Organizations must begin preparing now lest they find themselves unable to meet their growing needs. The key is to think ahead and begin building a bench of emerging insurance talent. Download the full results from the survey.

What’s in Store for the Actuarial Field in 2015?

From the emergence of data analytics to the increased need to attract young talent, the insurance industry is being impacted by a number of hot button trends. But what is in store for the actuarial space? We have identified the top five trending actuarial issues that are sure to make an impact in the coming year. One of these key trends includes significant changes to the current actuarial structure. These changes are adding to the complexity of the actuarial role and the demands on actuarial professionals. Companies are bolstering their current risk management practices—they have added additional staff and are creating risk management departments completely separate from actuarial ones. This evolution has included the addition of new roles, such as chief risk officer, as well as a sizable increase in the governance and risk management practices in place. A move toward centralized modeling departments is contributing to the corporate structure changes being made by insurers. In order to support the need for strong risk management and model governance, while preventing employee burnout, insurance organizations need to appreciate the added demands of actuaries. Ensuring that the proper structure and appropriate talent are in place is key to success in the coming year.  Want to learn more about the top trends affecting actuaries in 2015? Download our full guide for an inside look. 

Love the One You’re With: Increasing Employee Engagement

Happy, engaged employees are the key to a successful workforce. The employees who love their jobs and their companies are the most productive, effective and loyal. The positive energy these professionals bring to the workplace not only helps to create a cheerful work environment, but also directly affect your organization’s bottom line, service-quality and employee retention. What happens when the relationship between your organization and its employees fizzles? What can you do to bring back the spark? The last year has seen a decrease in the love employees are feeling for their employers. According to a recent survey by Virgin Pulse, 67 percent of employees are happy or have no strong feelings about their organization. While this outlook may sound high, it represents a drop of nearly 10 percent from last year. So what is to blame for this rocky patch in the employee-employer relationship? Poor work/life balance is the prime culprit. Nearly 40 percent of respondents reported that they wished their company cared a bit more about their work/life balance. For organizations looking to re-court their current staff, now is the time to show them just how much you care for and support them. Looking to re-win your team over? Consider focusing on these key happiness drivers:                Adjust the workday: When it comes to benefits that professionals would love to have, flexible work arrangements top the list. Is work-at-home an option for your organization? Could your telecommuting program use an update? Rethink your current policies to see if you can provide a more customizable, tailor-made work environment for your employees. Foster relationships: When it comes to creating a positive workplace, manager-employee and employee-coworker relationships are of great importance. In fact, 60 percent of employees report that their relationship with their manager is the deciding factor when it comes to work productivity and focus. Furthermore, 66 percent believe that good colleague relationships are key. With Gallup reporting that employees who have a best friend at work are seven times more likely to be engaged and thriving in their careers, encouraging water cooler conversations may be the ticket to a high-performing staff. Spice up the day-to-day: Don’t bore your employees with mundane tasks and projects. More than 50 percent of professionals believe that interesting and challenging work is the top reason to love their company. Focus on meaningful projects and long-term tasks that will not only help meet your bottom line, but will engage and excite your staff. Bring in some Zen: A fundamental part of employee happiness is their overall well-being and health. Maintaining physical, mental and social health was at the top of the list for 28 percent of survey participants with an additional 36 percent wishing their company cared more for their emotional health. Offer social activities such as book clubs and walking groups, engage in community service, or even set up a meditation room to help your team take a step back and unwind.  Build a positive mission: Your organization’s mission not only defines your business, but is a key component of your overall company culture. For 38 percent of employees, having a positive company mission is crucial to their overall engagement—and the impact of the mission on the ultimate employee-employer relationship is growing. Make sure you are connecting employee projects to department and company goals. Encourage open communication and share organizational highlights with your staff. Take an interest in your employees’ careers with professional development and continuing education opportunities. Sometimes all it takes is a little love to keep your employees engaged and happy. Win them over with some of these engagement motivators and you can be on your way to a more productive, focused and successful workplace. What is your organization doing to maintain positive employee engagement?

Social Media: The New Recruitment Frontier?

It’s no secret that social media has become an integral part of today’s connected culture. In 2014, social media was already becoming a popular forum for professional recruitment—a trend that is expected to increase in the coming year. With an estimated 74 percent of all online adult internet users active on social media, it is quickly becoming a fundamental platform for engaging young professionals and top candidates. The insurance industry is currently revamping its efforts in recruiting and engaging Millennial talent. Embracing social media is becoming a crucial factor toward success. Social media is a great way for your organization to set itself apart and stand out from the crowd—key in today’s increasingly competitive labor market. According to a study conducted by LinkedIn and the Altimeter Group, 58 percent of employees are more likely to want to work at a company that uses social media, while 20 percent of individuals are more likely to stay with a social media savvy organization. Recruiters are taking note and increasing their focus on social networks as a recruitment tool. In fact, 73 percent of recruiters have already reported a plan to increase their investment in social recruiting in 2015. However, despite the widespread acceptance and adoption of social media, many recruiters and hiring managers are still unaware of how to tap into the full potential of social media for their job recruitment and hiring needs. The key is to not only be present, but engaged. The younger generation leverages social media as a standard part of the job search. It is a major red flag to candidates if you do not have a social media presence. What can your organization do to create a compelling and engaging social media presence? Prioritize your social media networks. When it comes to professional recruitment, not all social media networks are created equal. LinkedIn remains the top choice among recruiters, with 79 percent reporting they have found a hire through the site. As such, 94 percent of recruiters are utilizing LinkedIn, followed by 66 percent on Facebook. Create a two-pronged approach. Organizations wanting to increase the effectiveness of their social media outreach might want to consider a dual-pronged approach that combines both vetting and engaging potential recruits. Focus on LinkedIn as a tool to pursue potential job candidates while utilizing Facebook and Twitter for relationship building with strong content and unique posts. Follow insurance industry leaders and news sources on Twitter, share relevant industry news on Facebook and promote your organization’s thought leadership on LinkedIn. Share your company’s story. Making your organization interesting and relevant is important when appealing to today’s job candidates. Focus on sharing company culture posts and encouraging your current employees to share their experiences on your page. Highlight recent events and volunteer activities. Has your organization recently participated in an industry conference? Share your thoughts! Employees planning a food drive to support the local community? Post pictures and stories. Shift toward more “real” posts that give candidates a better sense of what your organization is all about. As mentioned in an earlier blog post, being engaged on these sites is also a great way for insurers to position themselves as modern and forward-thinking. Social networks have proven to be a great source for finding top candidates, with both quality and quantity of candidates shown to improve when a social recruiting strategy is in place. Now is the perfect time to take a second look at your current social media strategy and consider revamping it for the coming year. How is your organization using social media to recruit and retain professionals?

Did You Know? Insuring the Super Bowl

On Sunday, February 1, twenty-two on-field players, $4 million ad spots, one chart-topping pop star and more than 100 million viewers will converge in Glendale, Arizona, for the most-watched event of the year. The countdown to Super Bowl XLIX is on. As you debate the outcome of the big game, predict the top ads and stock up on Buffalo wings and dip, it’s time to brush up on your Super Bowl insurance trivia! Those outside of the insurance industry may be surprised to learn how much insurance organizations are involved in large events such as the Super Bowl. From the flyovers that often occur to the number of special events hosted on and off the field, everything is considered from a risk management perspective. So what are the top five insured items at this year’s Super Bowl? We’ve got the inside scoop. Event Cancellation: It’s hard to imagine an event as large and as prestigious as the Super Bowl being canceled. However, the threat of cancellation or postponement due to extenuating circumstances—such as the freak snowstorm that hit Cowboys stadium in 2011—is real enough for insurance to be purchased. Media Liability: From the infamous wardrobe malfunctions and out-of-control celebrities to sound issues and blackouts, organizations and sponsors are making sure they are protected. Corporate Liability: The Super Bowl offers companies the chance to impress clients, but what about a disaster en route or a client gone wild? As sponsors and corporate executives rush to the big game, they need to make sure their general and corporate liability policy extends to special events. Prize Indemnity: Entered to win a new car or a competing for thousands of dollars in the bank? The Super Bowl precipitates a number of contests and sweepstakes with huge prizes. Organizations sponsoring these contests are sure to have coverage for these competitions lest they be left footing the bill. Advertising Liability: With commercials costing upward of $4 million, big-spending advertisers are sure to throw in a little extra to protect their investment. While the big game has yet to be played, planning is already underway for 2016. And with insurance coverage near the $100 million mark, it’s easy to see why the host committee for next year’s Super Bowl is already hard at work. Now go out and wow your friends with your insider knowledge of Super Bowl insurance!

Compass 8.1: The Art Of Interviewing: Mastering The Candidate Selection Process

Today's business interviews often prove ineffective in separating the good from the great. How can organizations ensure their interviews produce impactful hires? We share insights into successful interview strategies and best practices to ensure your organization finds the ideal employee. This edition also includes our regular overview of the industry's current labor market and recent executive-level job changes.