Despite thriving as an industry, the US insurance sector continues to face a considerable talent shortage as unfilled job vacancies reach record numbers, the latest analysis from insurance recruitment firm The Jacobson Group and industry giant Aon has revealed.
The recruitment situation
"We are in an extreme situation in terms of not a lot of talent out there, but this is not really anything that is that unusual for our industry," said Greg Jacobson, the firm's co-chief executive officer. "Generally, we are keeping it in a range bound by 2 to 3%."
According to the biannual insurance labor market report, insurance carriers throughout the nation currently employ approximately 1.56 million individuals, which reflects a decrease of roughly 85,000 compared to the figures from 2020."This is not because insurance companies are not hiring people," explained Jacobson. "They are trying to hire lots of people… The reason why we're down 85,000 jobs is because companies cannot hire fast enough to replace the workers that are leaving."
Layoffs and personnel quitting
The analysis also highlighted that while layoffs in the broader financial services industry have hit a 10-year low, the number of personnel quitting their jobs in the insurance sector reached its highest in a decade. Jeff Rieder, partner at Aon and head of its subsidiary Ward Inc., added that in the past 10 years, most insurance companies operated with about an 8% to 9% staff turnover rate, but currently, many insurers are running at between the 12% and 15% range. Both experts agreed that the majority of the firms operating with reduced staff did so unintentionally.
Benefits of choosing a career in insurance
According to the study, more than two-thirds, or 68%, of insurance carriers plan to increase their personnel count in the next 12 months, primarily due to anticipated increases in business volume. The insurance industry offers a variety of opportunities, including traditional roles such as agent, adjuster, and underwriter, as well as diverse professional opportunities in accounting, customer service, marketing, IT, legal, sales, communication, research, data analytics, investigation, finance, actuary, management, and human resources.
A career in the insurance industry offers individuals the opportunity for upward mobility, enabling professionals to continuously enhance their skill sets and advance in their chosen careers.
The industry encourages continuing education to keep up with its ever-evolving nature, and some companies even offer financial assistance for educational opportunities.
Insurance is a dynamic field, presenting new challenges every day, and insurers are adapting to the changing work landscape by offering flexible working arrangements, including remote work. Job security is also a notable benefit of the industry, as insurance will always be in demand as long as people require financial protection.
Work-life balance is a priority for insurers, recognizing the importance of employees' personal lives in increasing productivity. The earning potential and benefits in the insurance industry are attractive, providing a good living wage and high potential for growth. The work itself is challenging and rewarding, offering opportunities to solve problems, be innovative and creative, and make a difference in the lives of individuals, families, and communities.
Highest-paying jobs in the US insurance sector
The insurance labor market study identified the most difficult positions to fill as technology, actuarial, analytics, claims, and underwriting roles. These positions have become even more challenging to fill compared to a year ago, except for executive roles.
To determine the highest-paying jobs in the insurance industry, ZipRecruiter generated "compensation estimates" for each role, considering the job title, location, and hiring company. The figures reflect a base compensation range and don't account for factors like experience, benefits, bonuses, or other considerations.
According to the latest data from ZipRecruiter, the insurance sector in the United States offers a range of high-paying jobs. Here, we present the top 10 positions along with their respective salary ranges:
Consulting Actuary:
Annual Salary Range: $93,000 to $173,000 Consulting actuaries play a vital role by providing accounting and risk-assessment advice to clients. They often work for consulting agencies or as freelancers. This position requires significant experience in the actuarial field and expertise in financial audits and risk modeling.
The Life Insurance Actuary:
Annual Salary Range: $67,000 to $150,000 maximum Life insurance actuaries are responsible . They analyze client risks, conduct financial analysis, and create reports for salespeople and management.
Pricing Actuary:
Annual Salary Range: $99,500 to $149,500 Pricing actuaries work in financial services, including insurance, and are involved in determining product prices. They calculate risks, analyze data, and aim to ensure the coverage of the company's expenses, such as the cost of claims or employee retirement. Strong analytical and computer skills, along with a bachelor's degree in math, statistics, or actuarial science, are essential for this role.
Actuary:
Annual Salary Range: $111,500 to $142,500 Actuaries are professionals who price insurance policies, provide advice on regulatory standards to corporations, and manage risk. They maintain communication with clients, implement risk management software, and specialize in areas such as property and casualty (P&C), life, health, or pension.
Automotive Finance Manager:
Annual Salary Range: $97,500 to $141,500 Automotive finance managers oversee the financing process for new and used vehicles. They create sales training programs and ensure compliance with regulations.
Underwriting Manager:
Annual Salary Range: $92,000 to $125,500 Underwriting managers supervise the daily operations and administrative tasks of the underwriting department. They review applications, establish screening protocols, and develop new methodologies and models for assessing client financial risk.
Casualty Underwriter:
Annual Salary Range: $87,500 to $121,000 Casualty underwriters analyze commercial and personal insurance policy applications. Review property statistics, assess applicant history and financial status, and ensure affordability in safe way
Health Actuary:
Annual Salary Range: $75,500 to $116,000 It works for healthcare organizations and insurance companies in united state. They analyze healthcare data and marketplace trends to determine financial and strategic plans.
interpret medical patterns:
It prepares rate files, review plan reserves, and also create reports using health plan data.
Claims Director:
Annual Salary Range: $75,000 to $115,500 Claims directors oversee the day-to-day operations of an insurance claims department. They establish policies on insurance coverage and claims, as well as ensure excellent customer service. General Adjuster: Annual Salary Range: $43,000 to $114,000 General adjusters specialize in analyzing incidents to determine the financial liability of the insurance company. They investigate property or physical damage related to insurance claims, assess the cause and extent of the damage, and estimate repair costs.
In conclusion, the insurance industry in the US provides a wide range of job opportunities and benefits. Despite the talent shortage, insurance carriers are planning to increase their workforce in the coming year due to anticipated business volume growth. The industry offers upward mobility, continuing education, job security, work-life balance, and rewarding work that makes a difference. Some of the highest-paying jobs in the insurance sector include consulting actuary, life insurance actuary, pricing actuary, actuary, automotive finance manager, underwriting manager, casualty underwriter, health actuary, claims director, and general adjuster.
FAQs
1. Are these the only high-paying jobs in the insurance industry?
No, the jobs mentioned are just the top 10 highest-paying positions identified by ZipRecruiter. The insurance industry offers a wide range of well-paying jobs beyond these roles.There are many other well-paying positions in the insurance sector.
2. Do all insurance companies offer flexible working arrangements?
Not all insurance companies offer flexible working arrangements, but the industry has been adapting to the changing work landscape, especially during the pandemic.
3. How can I pursue a career in insurance?
To pursue a career in insurance, you can start by exploring different roles and determining which area interests you the most. Obtaining relevant education and certifications can also enhance your prospects.
4. Are there opportunities for advancement in the insurance industry?
Yes, the insurance industry provides opportunities for advancement in practically every role, allowing professionals to continually develop new skills and progress in their careers.5. Can I make a difference in the insurance industry?
Yes, insurance professionals have the opportunity to help individuals, families, and communities overcome hardship and provide financial protection when it's needed most.
