The latest Insurance Labor Market Study, conducted by the insurance recruiting firm, The Jacobson Group, in collaboration with re/insurance broker, Aon, provides insights into the staffing trends within the insurance industry for 2024. According to the study, 90% of respondents plan to either increase or maintain their staff size this year.
Specifically, 52% of insurance carriers intend to expand their workforce within the next 12 months, while 38% aim to retain their current staff levels. The study identifies technology, underwriting, and claims roles as the areas of greatest need within the industry.
Gregory Jacobson, co-CEO of The Jacobson Group, emphasises, “The industry’s unemployment rate is stable and just 10% of companies plan to reduce their headcounts this year. However, insurers appear to be operating with a bit more caution in terms of hiring.”
Jeff Rieder, partner at Aon and head of STG Performance Benchmarking, adds insight, stating, “Companies appear to be in more of a holding pattern around staffing plans for the first half of 2024, as they evaluate growth plans and anticipate greater efficiency gains from technology improvements.”
Moreover, the study forecasts a positive outlook for revenue growth, with 77% of companies expecting an increase in revenue over the next 12 months, representing a 5-point increase from the July 2023 study.
In terms of workplace dynamics, the study indicates a shift towards hybrid work models, with 76% of companies expecting most employees to be in the office at least one day a week over the next six months. Conversely, only 6% of companies mandate daily office attendance.
While recruiting difficulty has eased in certain categories, actuarial, executive, and analytics roles remain the most challenging to fill.
Overall, if insurers follow through on their staffing plans, the industry could see a notable 1.21% increase in employment over the next year.
