Talent Gap

It’s no secret — independent insurance agencies are struggling to find qualified job candidates. And young talent may be even harder to find.

According to a recent report by Vertafore, nearly a third of agents surveyed said they’re finding that “young people just aren’t that interested in insurance.”

Vertafore’s annual insurance workforce survey report also showed a drop in current insurance professionals who would recommend a career in the industry to a friend over the past four years (from 85% in 2021 to 65% this year), and it shared that 32% of employees involved in hiring said “culture fit” was a barrier.

That number was almost three times higher than what was reported in 2022.

Still, nearly three-quarters of all respondents said they plan to stay in the industry for six or more years, and Vertafore reported that, holistically, most of the survey-takers remain keen on the industry.

The survey found that insurance employee retention and talent attraction continue to show up as a major industry trend to watch.

“As far back as 2015, millennials showed little interest in working for insurance and insurance-related organizations — The Hartford’s 2015 Millennial Leadership Survey revealed that just 4% of millennials were considering a career in insurance,” wrote Sharon Emek in an article “The Smart Workforce Pivot: Insurance’s Backdoor to Talent Acquisition” on page 28. Since then, not much has changed, she said.

“A Pew Research study shows that interest in the industry has held at 4% as recently as 2023. Ironically, millennials will make up 75% of the workforce by 2025.”

But solving the talent crisis goes beyond recruiting young professionals. It might be helped by recruiting retired professionals, Emek says.

“Retired workers are reshaping retirement, which could be the salvation that the insurance industry desperately needs to fill so many open positions,” Emek writes.

There is experienced talent in individuals who have retired but are now seeking to bring their knowledge and skill back to the industry in ways that do not require long commutes or being in the office from 9-to-5. “They also prefer a less stressful position at lower pay as they are no longer on a career path,” according to Emek. Organizations should be willing and ready to meet those professionals where they are to fill the talent gap, right now.

Are you ready and willing?

Topics Talent Training Development