Talent, Again

It’s no surprise to independent agencies that talent, quality talent, is hard to find. Employers of every size and industry — across nearly every state — say they are facing unprecedented challenges trying to find enough workers to fill open jobs. Right now, the latest data shows that we have 8 million job openings in the U.S. but only 6.8 million unemployed workers.

Finding experienced insurance talent in the industry is not easy, the experts say.

“It’s tough to find good candidates,” says Mary Newgard, partner and senior search consultant for Capstone Search Group, a national recruiting firm dedicated to the insurance industry. “People seem less committed to the process.” There is also a lot more competition with offers, she says. Plus, low unemployment rates will continue to lower job candidate options for agencies. “Recruiting is infinitely more difficult when unemployment is low.”

For insurers, most companies report the need to hire as well. According to Jacobson’s latest Q3 2024 Insurance Labor Market Study, insurers continue to add jobs, and their employment growth remains relatively modest.

But the search for tech talent seems to be waning at least for insurers, Jacobson says. For the first time in the study’s 15-year history, technology positions are not the industry’s greatest need. Underwriting and claims roles are currently in highest demand, with technology ranking third.

The Jacobson study found that just over half (52%) of companies intend to grow teams in the next 12 months, unchanged from January 2024. Meanwhile, 34% plan to maintain current headcounts.

Both agencies and insurers should continue to consider flexible working options.

According to Jacobson, flexibility continues to be an important consideration for many professionals. Seventy-two percent of companies shared that they have a hybrid model (38% one to two days in office; 34% three to four days in office). Just 4% said most employees are in the office full time. The vast majority (94%) of companies do not plan to make changes to their work models within the next six months, the report found.

Neward says when agencies began moving away from remote hires in early 2024, the “time-to-hire” rates increased substantially. “An account manager job went from between 60-90 days to fill to over six months,” she told Insurance Journal. Beware in 2025, she advises. “If you restrict openings to one location and one zip code don’t be surprised … if your job is open for 6-12 months.”

That’s something to consider when discussing agency hiring strategies for 2025.