Most insurers (68 percent) plan to increase staff during the next 12 months, while only 5 percent anticipate a reduction in the number of employees, according to the Semi-Annual U.S. Insurance Labor Market Study by The Jacobson Group.

Overall recruiting difficulty remains at its highest point in the study’s 13-year history, with technology, actuarial and analytics positions continuing to be considered the most difficult to fill. In fact, 48 percent of companies feel their ability to hire is worse than one year ago, according to the study.

Demand for temporary staffing also continues to peak, with 96 percent of carriers planning to increase or maintain their use of temporary employees.

If the industry follows through on its plans, there will be a 0.94 percent increase in employment during the next 12 months—and a 2.14 percent increase for just the property/casualty segment. Technology, underwriting and claims roles are expected to see the most growth during that period.

For those companies planning to increase staff during the next 12 months, the top reasons given were:

  • Anticipated increase in business volume — 61 percent
  • Currently understaffed in certain areas — 55 percent
  • Expansion of business/new markets — 44 percent

The top reasons for companies planning to decrease staff:

  • Improved automation — 12 percent
  • Reorganization — 6 percent
  • Anticipated decrease in business volume and contraction of business — both at 5 percent

“The majority of insurers are planning to add to their teams in the next year, despite an increasingly challenging labor market,” said Gregory P. Jacobson, co-chief executive officer of The Jacobson Group, in a statement. “The talent shortage persists, and we’re seeing continued movement at all professional levels, making it essential for insurance leaders to be future-focused, flexible and efficient in their hiring and retention efforts.”

For more highlights and commentary, download the full results summary and recorded webinar here.

Source: The Jacobson Group

Topics Carriers Talent