The latest iteration of the Semi-Annual U.S. Insurance Labor Market Study, conducted by The Jacobson Group and Aon, a global professional services firm, found that 86 percent of respondents intend to increase or maintain staff size within the next 12 months.
“The insurance industry remains relatively stable with modest job growth expected for the next year,” said Gregory P. Jacobson, co-chief executive officer of The Jacobson Group. “While recruiting difficulty has slightly eased, insurance unemployment is low and turnover is slowing.”
“As companies continue their efforts toward building a resilient business and workforce, underwriting, claims and other technical roles remain in demand,” added Jeff Rieder, partner and head of Performance Benchmarking at Aon’s Strategy and Technology Group.
Within the next 12 months, 52 percent of insurance carriers plan to increase staff and 34 percent plan to maintain their current staff size. Another 14 percent plan to decrease their headcounts, which is 4 points higher than last year.
Underwriting, claims and technology roles are the industry’s greatest need. This is the first time in the study’s history that technology roles are not the most in demand.
Seventy-nine percent of companies expect to grow revenue during the next 12 months; this is 2 points higher than the January 2024 study.
During the next six months, 72 percent of companies expect most employees to work a hybrid schedule. Just 4 percent require employees in the office every day, according to the study.
Recruiting difficulty has eased in eight of 11 categories; though, most positions remain at least moderately difficult to fill. Actuarial, executive and analytics roles are the most challenging.
If carriers follow through on their plans, the industry will see a 0.58 percent increase in employment during the next 12 months.
The insurance labor market study has been conducted semi-annually for 15 years. Collecting revenue and hiring projections from carriers across all sectors of the industry, it provides an in-depth look at the insurance labor market outlook and hiring trends.
The study’s next iteration will occur in January 2025.
Related article: Labor Market Study: 14% of Carriers Plan to Reduce Headcount