The insurance industry is bullish about growth in the next 12 months, with three-quarters of personal lines companies expecting to increase staff.
The majority of insurance (81%) companies are also expecting to grow their revenue in the next 12 months.
The stats are the results of an “Insurance Labor Market Study”, a joint effort conducted by The Jacobson Group, a global insurance recruiter, and Ward Group, a benchmarking and best practices consultancy and part of
Aon.
According to the study, “the primary reason to increase staff during the next 12 months is the expectation of [growing] areas being currently understaffed. 46% of companies listed this as the primary reason to hire.”
Meanwhile, “the industry continues to face an increasingly competitive recruitment environment,” the study reported. “This tightening market is being driven by virtually non-existent industry unemployment, a growing talent gap, a shallowing talent pool and increased staffing demands.”
Technology roles, as well as analytics and claims, are expected to grow the most over the next 12 months.
However, much of what is being seen right now – at the top end, at least – is searches for replacements for retiring execs, said Greg Jacobson, chief executive of The Jacobson Group.
“Our executive search and professional recruiting groups tend to focus on higher level positions,” Jacobson told
Insurance Business. “Many of these roles are open due to turnover, including retirements.
“For example,” he said, “we have conducted many CEO searches in the past four years, mostly related to retirement, not growth. We are also currently engaged in C-suite opportunities in claims, underwriting, marketing and technology due to retirements.”
The specter of automation remains the biggest cause for concern in the industry, according to the study.
More than a quarter of respondents – 26% - said that automation of roles will be “the primary reason for reductions in staff during the next 12 months.”
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