Despite a tough labor market, insurers plan to boost hiring
Only 3% of insurance companies plan to decrease staff over the next year, a study from The Jacobson Group and Ward says.
While the labor market may be more competitive than ever, most insurance companies are still planning to increase hiring over the next 12 months, according to the most recent Semi-Annual U.S. Insurance Labor Market Study, conducted by The Jacobson Group and Ward (part of Aon plc).
For 72% of companies, the coming year includes plans to increase staff, the report states, compared with 58% in the July 2021 study. This statistic includes 76% of small businesses (fewer than 300 employees), 67% of medium businesses (300-1,000 employees) and 71% of large businesses (more than 1,000 employees).
Meanwhile, only 3% of businesses said they anticipate decreasing staff in the same time frame.
The report attributes this increase in hiring to the fact that most companies also anticipate an increase in business volume over the coming 12 months. Eighty-two percent of companies said they expect revenue growth in the next year, and 61% said the increase in business volume was their main reason for hiring. Other reasons cited for hiring increases included understaffed areas (52%) and expansion of business/ new markets (41%).
Insurance businesses are finding some jobs more difficult to fill than others. According to the report, technology and product management staff are currently the industry’s greatest needs, regardless of company size.
“In terms of acquiring and retaining insurance talent, we’re in the most competitive environment many of us have ever experienced,” Gregory P. Jacobson, co-chief executive officer of The Jacobson Group, said in a release. “New roles and opportunities are emerging, job openings are near an all-time high, and retirements are accelerating. As insurance leaders evaluate their talent strategies, flexibility in all areas is essential for long-term success.”