Women Leaders in Agencies

At first glance, examining gender equality within independent agencies seems to show a near equal balance. After all, gender representation in insurance agencies showed significant improvement over the last few years. Between 2018 and 2022, the percentage of agencies with at least one woman in a principal or senior leadership role increased by 12%, rising to 47% of agencies, according to the 2022 Agency Universe Study published by the Big I. But look a little bit closer and there remains a glaring gender imbalance at the top ranks in agencies today.

To honor International Women’s Day on March 8, Liberty Mutual and Safeco Insurance released a new research report exploring the unique experiences of women in independent insurance agencies. The report, 2023 Outlook: State of Women in Independent Insurance Agencies, explores the gap in leadership experienced by women in the independent agency channel — including research and insights on what women look for in an insurance career, the disconnect between leadership aspirations and who ultimately rises to the highest positions, and how we can create better career pathways for women.

The report showed that while more agencies have at least one woman in leadership, men still outnumber women in leadership two to one. Women make up more than half of all employees in insurance agencies, but less than one-third of all agency owners and principals.

“Though women outnumber men in entry-level positions in the insurance industry, the number of women in leadership roles is far smaller,” the report noted. “The reasons for this are complicated and interconnected.”

Key findings include:

• While gender representation in insurance agencies is improving, less than one-third of agency principals are women despite women making up more than half of all employees.
• The leadership gap appears early in women’s careers, with only 50% of Millennial and Gen Z women saying they actively aspire to be a leader in their agency, in contrast to 78% of men in the same age group.
• Women value some benefits over others, such as flexible hours and job stability, and were nearly twice as likely to cite parental leave as an important job characteristic than their male counterparts.
• Disparities in caregiving remain a key barrier to career growth for women, and those with young children are less likely to say that their manager is developing them for leadership.

“While insurance agencies are, by and large, great places for women to work, agencies can do more to level the playing field and empower women to reach their full potential,” the report said. “It’s ultimately in agencies’ best interests to do so, as research has shown that getting more women into leadership is good for business.”

What are you doing to develop women leaders in your agency?