Insights

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.

Explore Our Full Thought Leadership Library

  • Reset

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.

Generational Spotlight: Traditionalists Influence the Business Landscape of Tomorrow

This blog entry is part four in Jacobson’s Generational Spotlight Series, which provides a general overview of the generations active in the workforce. While we understand that these overviews may include broad stereotypes that do not apply to all members of that particular generational breakdown, we believe there is value in looking at today’s professionals from a generational perspective in order to gain a better understanding of their viewpoints.  More commonly known as “The Greatest Generation,” the Traditionalists are a driving force in today’s workplace with seven million individuals currently employed in the United States. While smaller than the other generations, this still represents nearly five percent of the U.S. workforce. Playing a key role in forming the business world of today, these tenured individuals are a great source of perspective, knowledge and institutional wisdom. Born before 1945, the Traditionalists grew up in the wake of the “Great Depression” and in the era of nuclear families and strict discipline. World War II was the pivotal event of their lives. War heroes were celebrated upon homecoming; and overall, the nation was marked by a strong sense of commitment to families, soldiers, country, and community. Having imparted their values and work ethic into current workplace policies and procedures, the Traditionalists are expected to influence the business world for decades. What can your organization do to capitalize on this immense source of business insights? Often conservative and “old-fashioned,” this generation follows the rules, has extreme discipline and highly respects authority figures. They are accustomed to a direct style of leadership and prefer organizations with a hierarchical structure. Workplace communication and requests should be direct, face-to-face and personalized. Traditionalists are motivated by projects and tasks that relate to the overall benefit of the organization. Managers and supervisors should identify clear goals and direction when assigning tasks and connect projects to the larger picture. Traditionalists view work as a privilege. They have reached the upper echelons of the business world and continue to work because they want to. Organizations looking to hold on to these professionals should provide ample opportunities for flexible work. Part-time schedules, contract and temporary work offer these experienced professionals the ability to choose when and what kind of work they will do. The most engaged segment of today’s workforce, Traditionalists are invaluable employees. Their experience and perspectives are a great resource for an organization. These employees should be encouraged to capitalize on their experience and participate in two-way mentoring relationships with their younger counterparts. Organizations may also want to engage these individuals through committees and advisory roles that will enable them to share their hard-earned wisdom.  Today’s Traditionalist professionals offer a wealth of knowledge and insider observations that can be very valuable to any organization. With their perspectives and practices expected to shape the business world long after they have retired, cultivating this generation is key. How is your organization reaching out and engaging its tenured, Traditionalist employees?

Generational Spotlight: Baby Boomers as the Workplace Leaders

This blog entry is part three in Jacobson’s Generational Spotlight Series, which provides a general overview of the generations active in the workforce. While we understand that these overviews may include broad stereotypes that do not apply to all members of that particular breakdown, we believe there is value in looking at today’s professionals from a generational perspective in order to gain a better understanding of their viewpoints.  Conversationally known as “Boomers,” Baby Boomers are the largest generational cohort currently employed. With 66 million professionals, the Boomers comprise 44 percent of the U.S. workforce. While these experienced individuals hold most of the power and control within the workplace, retirements are on the horizon and many early boomers are already on the cusp of exiting the business world. However, The Baby Boomers are also revolutionizing retirement, choosing to work passed the traditional retirement age or reinventing themselves with careers in other industries. They are starting new businesses, pursuing their interests, and finding satisfying “second careers” in both the private and not-for-profit sectors. In order to retain these progressive professionals, organizations must focus on creating a culture and environment that supports their desires and needs. Just who are these business leaders and what are their motivations? What can organizations do to ensure their Baby Boomer employees are happy and engaged? Growing up in the post-World War II era—between 1946 and 1964—Boomers were shaped by parents who believed that life would be better for this new, and largest ever, generation. By 1967, the Boomers, then aged 25 and under, were named Time magazine’s Man of the Year. They were the first generation to be graded on “working well with others” and were shaped by climactic events including the assassination of President Kennedy, the U.S. moon landing, and the Vietnam War. For the Baby Boomers, work is a place to prove their worth, resulting in a “whatever it takes” and “going the extra mile” mindset. They possess a strong work ethic and focus on their careers as a defining characteristic. As a result, Baby Boomers, more than any other generation, put emphasis on jobs that recognize their immense experience, offices that are respectable and have status, and organizations that provide formal recognition. Organizations looking to retain these experienced leaders should focus on acknowledging their skills and contributions by giving them leadership and supervisory roles and functions, and encouraging them to share their experiences with their younger colleagues through mentoring. Having been taught at a young age to be good members of a team, Baby Boomers place significant emphasis on making a difference and contributing to their team and organization as a whole. Companies should emphasize how important these employees are to their teams and the value that they add to the organization. They should highlight how the individual’s work is benefiting the organization and how they make a difference on a daily basis. In light of the recent focus on filling the talent pipeline, organizations may be overlooking the Baby Boomer generation and missing out on the valuable knowledge and skills they offer. Is your organization making efforts to engage and retain its Baby Boomer professionals? 

Generational Spotlight: Generation X Poised to Take the Lead

This blog entry is part two in Jacobson’s Generational Spotlight Series, which provides a general overview of the generations active in the workforce. While we understand that these overviews may include broad stereotypes that do not apply to all members of that particular generational breakdown, we believe there is value in looking at today’s professionals from a generational perspective in order to gain a better understanding of their viewpoints.  Generation X—also known as the Baby Busters, Post-Boomers and the Thirteenth Generation—currently accounts for 33% of the U.S. labor force, with 50 million employees. With the insurance industry expecting to see a dramatic loss of executive and management level talent due to an impending wave of retirements, these professionals are preparing to step up into industry leadership roles. But what does this generation of professionals look like? How can organizations prepare themselves for Generation X’s shift into a leadership position? Born between 1965 and 1980, Generation X grew up hearing adults worry about recession, inflation and stagflation. They saw world leaders, including President Nixon, fall from grace. They were shaped by historic events such as Chernobyl, the fall of the Berlin Wall and the Tiananmen Square uprisings.  Generation X is pragmatic, resourceful and innovative. They thrive on challenges and enjoy tasks and assignments that allow them to demonstrate their personal skills. They value global thought, technology and independence. In the workplace, Gen X professionals enjoy achieving measurable goals and streamlining systems and processes for success. They look for organizations that offer flexible schedules and will adapt to their preferences. For Gen Xers, autonomy is key. They are self-reliant in their professional careers and desire the freedom to manage themselves. Organizations should provide them with control over their work, learning and schedule. Tap into their adaptability for challenging and important tasks. Consider setting aside time for Gen X employees to work on personal projects or allow them to choose their own assignments. In addition to autonomy, Gen Xers place great emphasis on results and believe they should be rewarded for their achievements. Make sure your organization is aligning visibility, promotions and rewards on results rather than tenure lest you disengage your Gen X employees. Provide frequent, accurate, specific and timely feedback on professional performance and room for improvement. Gen Xers want to build their skills and improve their resumes, so this targeted advice is important to them.  Professional growth is key to Gen X engagement. This generation is focused on the ability to grow and develop their skills. In fact, Gen X employees identify professional development as their most-desired job perk. Focus on ramping up your career development and training programs in order to provide these employees with the ability to grow and develop their skills. Present opportunities for Gen Xers to take on additional responsibilities, stretch assignments and supervisory duties. Encourage them to join professional groups or associations or institute a companywide mentoring program. Offer financial support for continuing education programs and professional training. Not only will this go a long way in supporting employee engagement, but a professional development program will also help position Gen X for a role at the top of the company ladder. Generation X is poised to take the helm of the insurance industry. What is your organization doing to support them?

Generational Spotlight: Millennials Shaping the Future Workplace

This blog entry is part one in Jacobson’s Generational Spotlight Series, which provides a general overview of the generations active in the workforce. While we understand that these overviews may include broad stereotypes that do not apply to all members of that particular generational breakdown, we believe there is value in looking at today’s professionals from a generational perspective in order to gain a better understanding of their viewpoints.  The Millennial generation—currently 77 million strong—is entering the workforce in vast numbers. Currently, Millennials account for 25% of the U.S. workforce and are expected to form 50% of the global workforce by 2020. They are the fastest-growing generational cohort and are expected to shape the world of work for years to come. In order to recruit and retain this fast-growing generation, organizations must understand and appeal to their perspectives and desires. But just who are these Millennial professionals and what can organizations do to prepare for their foray into the world of business? Born between 1980 and 2000, Millennials grew up in the era of “soccer moms” and multiculturalism. They were shaped by the end of apartheid, the fall of the Soviet Union, the World Trade Center attacks and subsequent wars in the Middle East. They grew up in a world that is global, connected and 24/7. In the workplace, Millennials are looking for organizations that provide flexible hours, access to technology, room for professional development and a company culture that fosters work/life balance. They are likely to arrive on the job with high expectations and want to jump right into the day-to-day office workings. While they believe in the importance of a well-paying job, work is not seen as the sole priority in life. Rather, many Millennials desire to live meaningful, well-balanced lives and would readily sacrifice money to live the life they want. Research shows that members of the Millennial generation tend to exhibit high levels of social concern and responsibility, wanting to make a difference and turn the world into a better place. They are drawn to organizations that have a socially minded culture and are supportive of their community. In fact, as mentioned in an earlier post, 61% of Millennials factor a company’s commitment to the community when making a job decision with 70% saying that they strongly favor companies with a reputation of community involvement. Highlighting corporate citizenship and the meaningful volunteer efforts your organization participates in is an important part of attracting this socially-conscious generation. Millennials also possess a keen desire to learn from their leaders and colleagues. Organizations should consider pairing them up with mentors to guide them through their career journey. Managers and supervisors should be aware of their Millennial employees’ personal goals and spend time coaching and supporting them as they work toward them. Millennials also boast some of the highest levels of education seen to-date and are eager for continuing education opportunities. They are hungry to expand their knowledge and experience and are likely to seek alternate job opportunities if they feel as if they are unchallenged in their current roles. Companies should look into offering lunch and learn programs, providing access to external, professional training and giving stretch assignments to challenge and engage these young professionals. Millennials have already begun to make significant waves in the workforce with their unique perspectives and insights. According to PricewaterhouseCoopers, “Their career aspirations, attitudes about work, and knowledge of new technologies will define the culture of the 21st century workplace.” What is your organization doing to prepare?

Corporate Citizenship: An Overlooked Talent Solution?

Ten volunteers, a few glue sticks, construction paper and a surprise visit from the one-and-only Cookie Monster are all it took to foster employee engagement and help promote the unique company culture at The Jacobson Group. On October 16th, a group of Jacobson employees visited Chicago’s Harold Washington Library as part of the Insurance Industry Charitable Foundation’s (IICF) Week of Giving event. Participating in the newly launched Every Day is a Reading and Writing Day initiative, our volunteers joined together with local children and families to participate in interactive Sesame Street games, videos and activities designed to encourage children and the adults in their lives to read and write together.  But how exactly does this relate to promoting a company culture and building employee engagement? Today’s professionals are looking for an organization where they can find meaning in their work. They want to feel like they are contributing to the greater good and providing a benefit to their community. They look for organizations where they can be socially relevant and impactful. In fact, a Deloitte survey found that 61% of Millennials factor a company’s commitment to the community when making a job decision with 70% saying that they strongly favor companies with a reputation of community involvement. With the insurance industry facing an increasingly competitive labor market, building awareness of the industry as a profession that “does good” is becoming more and more important.  Insurance is a noble profession with a history of making a difference in the lives of individuals and communities. However, this story is not well-known among the general public. By promoting involvement in volunteer and community service opportunities, like the recent IICF initiative, insurance organizations are building a positive corporate image and publicizing a company culture that is highly attractive to today’s professionals. But building a positive company image is just one piece of the corporate citizenship puzzle. Organizing and encouraging volunteerism is also a great way for companies to promote employee engagement. According to a study conducted by Dale Carnegie and MSW Research, 54% of employees who are proud of their organizations’ community service contributions are more likely to be engaged. With Gallup reporting that just over 1 out of 10 workers in the U.S. actually enjoys their job, increasing engagement in the workplace is key to business success. In fact, organizations with engaged staff outperform those with disengaged employees by up to 202%.   Embracing charity projects and volunteerism allows companies to lend a purpose to their employees and provides a chance for staff to step away from their daily tasks and avoid potential burnout. It gives them a new outlook and renewed appreciation for the work that both they and their company are doing. With the competition for top talent heating up, a corporate citizenship program provides organizations with a solution that positively impacts both their talent retention and recruitment. What is your organization doing to provide charity and volunteer opportunities to your employees?

Generation X: Growing Tomorrow’s Insurance Leaders

The leadership landscape of the insurance industry is poised to undergo monumental changes during the next 10 years. Currently, the fraction of professionals aged 55 and older within the insurance industry is nearly 30 percent higher than that same fraction measured within the economy as a whole. In addition, almost 25 percent of the current workforce is predicted to be on the verge of retirement by 2018. At this rate, experts estimate the industry will need to fill 400,000 positions by 2020 in order to remain fully staffed. Seeing this massive leadership exodus approaching, insurance organizations are seeking strategies and solutions to prepare for the impending departures and to minimize the loss of valuable knowledge and skills. Fortunately, Generation X is in position to step up to the plate. This dynamic group of professionals (aged 33-53) is entrepreneurial, open-minded, honest, tech-savvy and creative—all valuable leadership characteristics. The problem arises when one considers that Gen X has often become the forgotten generation in the industry’s impending war for talent.  In preparing for the oncoming talent storm, insurance organizations have focused on attracting and engaging Millennials. Currently, Millennials account for 25 percent of the U.S. workforce and are expected to form 50 percent of the global workforce by 2020. This talented and innovative generation certainly offers a viable solution to the extensive talent influx needed industrywide. Yet, these young professionals may not have the experience nor the professional maturity to step into the key leadership and C-suite roles left vacant by retiring Baby Boomers. Gen Xers, on the other hand, do have the hands-on knowledge and background needed to fill this void.  However, many of these individuals may be frustrated with their current roles, feeling overlooked by their employers. During the past few years, Gen X employees have found themselves without an upward career path as Baby Boomers delayed their retirement amid the economic downturn and training budgets suffered cutbacks. Feeling stuck in a “flat” organization, these professionals have been tempted by opportunities outside the industry or within other organizations in order to climb the ladder.  The time is now to re-engage mid-level employees and potential future leaders. Gen Xers value independence, global thought and technology. In addition to flexible schedules, they look for professional opportunities that offer autonomy, open feedback, and the ability to grow their skills. In fact, Gen Xers identify professional development as their most-desired job perk. Considering the increasingly competitive talent market, engaging these employees through education and advancement opportunities will be vital in building a robust talent bench. Now that the economy has recovered and the insurance industry finds itself experiencing a return to its pre-recession state, insurers should take a second look at their discontinued or trimmed professional development and education programs and determine the best way to begin rebuilding them. A professional development program can be as simple as encouraging employees to join professional groups or associations or establishing a company-wide mentorship program. Consider offering financial support for external continuing education programs and professional training. Provide stretch assignments, additional responsibilities and supervisory functions. Not only do these opportunities help to build employee engagement and increase retention, but they provide organizations with the chance to groom their next generation of leadership.  Fortunately, some insurance organizations have already recognized this emerging need and have begun instituting programs specifically targeting Gen Xers. Only by shifting the focus to cultivating and engaging today’s mid-level, Gen X employees can insurance organizations transition their current staff into the leaders of tomorrow. What is your organization doing to transition Generation X into tomorrow’s leaders?

Personal Cheerleaders: Should Management Double as Employee Coaches?

The most important part of any organization is its employees. The effective engagement of employees can be the difference between business success and failure. However, as mentioned in a previous blog post, Gallup reports that 63% of U.S. employees are unhappy with their jobs, while 24% actively hate their position. Together, these number reflect a bleak reality where just over 1 in 10 U.S. employees actually enjoy their work.  Many organizations facing a disengaged workforce may be overlooking the key role that management plays in creating a happy, engaged company culture.  Employees want to feel like a valued part of a team rather than just a cog in the corporate machine. By taking a personal interest in their employees, managers are engendering a spirt of comradery and reinforcing the idea that the employee is respected as an individual, not just as another member of the organization. The new managerial mindset needs to shift from “How can I get the best performance from my team?” to “How can I help my team develop?”  By focusing on employees’ development, managers no longer have to ask the question of how to get top performance. Only by supporting and facilitating the personal and professional development of employees, can managers truly attain top-performing staff. Armed with this understanding, what can managers do to fully embrace this role? Here are three tips to help you transition into a “cheerleader” management mindset: Schedule regular conversations and one-on-ones. Don’t just rely on the standard annual discussion to talk to your employees about their personal and professional goals. Try and connect with your staff on a more frequent basis to learn more about how they are progressing towards their professional goals and to support them in their development efforts. These short conversations will allow you to spot potential learning opportunities and refine their goals as needed. Encourage employees to take on new roles. When starting work on a project or assigning tasks, ask your employees for their input on how they feel they can best contribute. Allow them the opportunity to take on a new task or expand their responsibilities. This allows organizations to provide on-the-job learning and to avoid only assigning employees with tasks they are already proficient at. Make sure your staff is aware of the organization’s goals. Employees want to feel like they are contributing to the overall success of their organization. Be transparent about the state of the company and any upcoming changes or projects. Not only will this improve employee morale, but it encourages employees to consider how their projects fit within the scope of the entire organization.  In order to foster a positive, engaging work environment, today’s managers must embrace their roles as coaches and cheerleaders. Helping employees develop and pursue meaningful development milestones not only strengthens employee commitment and happiness, but goes a long way in increasing retention and improving performance.

Insurance 2.0: Finding Tech Talent for the Insurance Industry

The crunch is on! As analytics and big data shape the future of the insurance industry and the demand for high-quality talent continues to grow, insurance organizations are faced with the difficult task of finding experienced data and analytics professionals amid a challenging recruiting climate. Already, the U.S. is expected to see a shortfall of more than 260,000 analytics professionals as early as next year. Fortunately, the hunting ground for qualified, experienced professionals does not have to remain confined to the insurance industry. In fact, analytics presents insurance organizations with a natural opportunity to broaden their search for talent to other industries. Insurers should look beyond insurance-specific talent and consider employees from financial services, health care, Internet-based technology, retail and other consumer-driven fields. These industries all provide access to cutting-edge, forward-thinking, skilled individuals who are capable of fulfilling the industry’s growing analytics needs. In addition, broadening the search outside of the industry allows insurance organizations to enrich the current talent pool and increases the chances of finding the right candidate. Companies should look for candidates with a well-developed combination of skills including problem-solving, information technology, quantitative analysis, technical architecture and hands-on experience working in areas such as data mining, data modeling and data gathering. Don’t overlook “soft skills” that are key to success, including presentation and communication capabilities. Analytics professionals are often required to interact across job functions, so being able to speak the language of business and “translate” tech speak is an important quality for a standout candidate. Interviewers should provide ample opportunities for potential candidates to showcase their analytical skills. Ask candidates about past projects, including those that may not have gone well. Focus on questions that will uncover their communication and problem-solving abilities. Allowing candidates to discuss obstacles and roadblocks can provide insight into their ability to overcome challenges and move initiatives forward. Prompt the candidates to describe their communication strategies or how they have assisted in solving a business problem in one of their past roles. These are great leading questions to assist you in determining if a candidate is able to influence decision makers and communicate clearly and effectively. The demand for analytics talent is growing. This is the perfect opportunity for insurers to reach individuals who may have previously overlooked the industry as a career option and to bring in fresh talent to fill the ranks. Where is your organization turning to fill its current analytics talent needs?

Preparing for the Future Amid the Insurance Talent Storm

The results are in! The results from our third quarter iteration of the U.S. Insurance Labor Outlook Study are now available. Compared to the January 2014 survey, the rate of expected hiring experienced a slight decrease, down to 58%; however, this remains the second highest reading since we started the semi-annual survey back in 2009. In addition, unemployment continues to be low, with the BLS reporting the August 2014 rate for insurance at 2.4%. The industry is clearly enjoying an extended period of relative stability. However, the optimism surrounding the low unemployment and continued focus on hiring is clouded by a diminishing talent pool and increased recruiting difficulty. The industry has seen growth of more than 51,000 new positions since its low in April 2011, reaching 1,471,600 total employees in July 2014—the highest the industry has seen since 2008. Already companies are reporting difficulty in recruiting, and that is only expected to increase as the available talent pool continues to shrink. Industry wide, technology, claims, underwriting and analytics positions continue to be the most in demand. This matches the growing focus on big data and technology within the industry. Due in part to their high demand, technology, actuarial, analytics and claims positions were reported to be more difficult to fill than in past years. It is expected that this demand will continue to grow as technology permeates throughout the insurance industry. Consider also the 211,000 currently open jobs across the industry, and it is easy to predict that recruitment for most insurance roles will become more and more challenging. This renewed hiring push coupled with already low industry unemployment and an aging workforce presents a demand for talent that is far surpassing the current supply. Currently, 20% of the industry workforce is nearing retirement—a number that is expected to grow to 25% by 2018. The tightening labor market is making it very difficult for organizations to combat the talent shortage brought on by the growing number of retirements.  In order to meet the growing industry need, organizations must look toward building their current talent pipelines. Fortunately, the influx of Millennials into the workforce provides a solution. Already, Millennials make up 25% of the workforce. That number is expected to double by 2020. These young professionals are tech savvy, innovative and seek a job that allows them to make a difference—all ambitions supported by a career in insurance. The focus now must shift to engaging and recruiting this talented generation. Focus on promoting the benefits of working within the industry and touting the unique opportunities offered, including the nobility of the profession, competitive compensation and historically low unemployment compared to the national average. The industry cannot be lulled into a fall sense of security by the current market stabilization. We must look to the future as the talent storm continues to strengthen. Only by preparing today, keeping one step ahead and building a bench of talented professionals, can insurance successfully weather the storm. Is your organization prepared for the growing talent shortage?

Insurance 2.0: Attracting Tech Talent to the Insurance Industry

As more and more insurers find the value in leveraging data analytics throughout their organizations, the demand for high-quality, experienced data and analytics professionals is on the rise. Alas, the insurance industry is not the only one looking to expand its analytics presence. With a shallow pool of qualified analytics talent, insurance organizations are facing an increasingly challenging recruiting climate as they attempt to address their analytics and big data needs. As mentioned in our recent analytics blog post, the demand for actuarial talent in 2014 was surpassed by analytics for the first time in the history of The Jacobson Group and Ward Group’s Semi-Annual U.S. Insurance Labor Outlook Study. In addition, analytics ranks in the top five most in-demand job functions, as well as in the top five areas where companies are planning to increase staff throughout the year. Globally, insurers are expected to add nearly 24,000 new analytics jobs by 2015, with more than 15,000 of these jobs located within the United States. As companies add analytics positions at a rate more than five times faster than the overall national employment growth rate, the talent supply is struggling to keep pace. Across all industries, as early as next year the U.S. could see a shortfall of more than 260,000 analytics professionals. The talent crunch is on. What can insurance do to compete?  Create a compelling story. Highlight what the industry has already done using analytics, what is currently underway and what the future has in store for insurance analytics. Showcase how analytics is creating exciting changes within insurance. Promote the role of data and analytics in achieving success. Showcase the innovative role analytics is playing within the industry. Insurance organizations are embracing the potential that analytics provides, leading the industry to streamline or rethink many of its current processes. Focus on analytics and big data as the drivers behind these exciting and forward-thinking changes. Spotlight your company culture. Today’s analytics professionals are looking for a company culture that supports technology, utilizes data in decision-making and has analysis embedded throughout its functions. Insurance offers that. The industry must highlight this leading-edge culture when reaching out to potential analytics candidates. Promote the dynamic opportunity insurance analytics offers. Analytics is permeating throughout all areas of the insurance industry, from claims and risk management to marketing. Focus on the opportunities the industry offers for professionals to utilize their highly specialized skills to the fullest extent across multiple job functions. Highlight the support of industry leaders. Due to the relative novelty of analytics as a career opportunity, job security plays a large role in attracting candidates. Leaders in the insurance C-suite should consider providing executive sponsorship to highlight the industry’s commitment to its analytics initiatives. In order to keep pace with the competition and ultimately get a leg up, insurers must focus on attracting and securing analytics professionals. With these talented individuals on the team, the insurance industry is sure to thrive in today’s dynamic, global marketplace.  What is your organization doing to attract and engage analytics talent?

Insurance 2.0: Pioneering Analytics in the Industry

From analytics to big data, red-hot technology buzzwords are sweeping across the insurance industry and companies are beginning to realize the significant value of these trends. Progressive insurance organizations are embracing these groundbreaking applications of technology and changing the way the industry does business. For many insurance organizations, the use of analytics has become a tool allowing them to differentiate themselves, stay ahead of the curve, build their brands, enhance profitability and gain a leg-up in today’s competitive market. According to IBM’s latest study on big data and analytics, nearly three-quarters of insurance organizations reported that the use of analytics is providing them with a competitive edge. Furthermore, a survey of the Chartered Institute of Loss Adjusters showed that 82 percent of industry professionals believe that organizations that do not take advantage of big data trends will become uncompetitive. The impact of analytics and big data on the insurance industry is sweeping. Already a vital part of the P/C industry, analytics is now permeating into the Life and Disability and Healthcare industries, and the impact is being felt across job functions including actuarial, claims, underwriting, product development, information technology, marketing and even human resources. Analytics is impacting every aspect of insurance organizations. As insurers look to harness the competitive advantages and powerful insights that analytics and big data can contribute, the race to find high-quality talent is on. According to The Jacobson Group and Ward Group’s 2014 Semi-Annual U.S. Insurance Labor Outlook Study, for the first time ever, the demand for actuarial talent was surpassed by analytics. Currently, analytics ranks in the top five most in demand job functions, as well as in the top five areas where companies are looking to increase staff throughout the year. We at Jacobson have seen firsthand the increased demand for analytics talent—across all levels and functional areas—and we don’t expect it to subside anytime soon. Year after year, the U.S. Insurance Labor Outlook Study has seen a 10 percent increase in the number of companies planning to increase their technology related staff across the board. Current forecasts predict that by 2015, 4.4 million IT jobs will be created globally to support big data, with 1.9 million of those jobs occurring within the United States. In addition, worldwide big data spending is expected to more than double from $27 billion to $55 billion in 2016. Clearly analytics and big data are heavy hitting trends that are here to stay. Forward-thinking insurers stand at the start of the industry’s analytics story and are finding themselves in the exciting position of being pioneers in incorporating this ever-growing field into the day-to-day operations of the insurance field. This is the industry’s chance to embrace the cutting-edge and run with it.