Insurers prioritize tech staff: Jacobson Group, Aon

Insurers plan to increase or maintain staff this year, according to the Semi-Annual U.S. Insurance Labor Market Study, conducted by The Jacobson Group and Aon. 

Technology, underwriting and claims roles are top priorities. Only 10% of companies said they plan to reduce headcounts but many suggested they are cautious about hiring, according to the study results. Automation was the most common reason companies plan to reduce staff over the next year. 

Gregory P. Jacobson, co-chief executive officer of The Jacobson Group, said in a statement: “The industry’s unemployment rate is stable and just 10% of companies plan to reduce their headcounts this year. However, insurers appear to be operating with a bit more caution in terms of hiring.”

Companies listed business volume increase as the primary reason for increasing staff, followed by expansion of business and new markets. Large and small-sized companies are likely to hire technology staff, while medium-sized companies are looking to fill actuarial and underwriting roles.

Recruitment will continue to be a challenge for the industry. Actuarial, executive and analytics positions are the most difficult to fill, according to the study.

Jeff Rieder, partner at Aon and head of STG Performance Benchmarking, said in a statement: “Companies appear to be in more of a holding pattern around staffing plans for the first half of 2024, as they evaluate growth plans and anticipate greater efficiency gains from technology improvements.”

Also, 82% of companies are now expecting most employees in the office at least one day a week, which is up from 76% last year. Only 6% of companies are requiring employees to be in-person every day.