Nearly 60 percent of property/casualty insurers do not have written CEO succession plans in place, Carrier Management and The Jacobson Group found in a recent survey of CEOs, board members and leaders of human resources representing a cross-section of the U.S. P/C carrier population.
Executive SummaryLess than half of the carriers who have any kind of a CEO succession plan in place don't include a statement of corporate strategy among the key elements, according to results of a survey by Carrier Management and The Jacobson Group. This article is the second part of a two-part summary of survey results. See Part 1, "Written CEO Succession Plans Lacking Among P/C Insurers: Research," for more survey details.
Among P/C carrier representatives who reported having some plan of action at the ready—written or not—to replace the current CEO when necessary, the most commonly reported element of the existing plan is having an internal candidate development process, the survey found.
Sixty-nine percent have internal leadership development activities, and 63 percent said the succession plan also addresses the prospect of putting an emergency or interim CEO in place if needed.
Answering a slightly different question, however, only 30 percent said their companies could have a new CEO in place immediately in the event of an emergency, while 37 percent said it would take two months of more.