Market Overview

Insurance Labor Study Highlights Competitive Labor Market

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According to the latest iteration of the Semi-Annual U.S. Insurance
Labor Outlook Study conducted by The
Jacobson Group
and Ward
Group
, a part of Aon plc (NYSE:AON), 63 percent of companies polled
intend to increase staff in 2018. In addition, the Bureau of Labor
Statistics has reported that the unemployment rate for the insurance
industry is at 1.7 percent. This remains significantly lower than the
national average—reported at 3.9 percent.

"Expected increases in business volume and expansion into new markets
are driving continued hiring," says Gregory
P. Jacobson
, co-chief executive officer of Jacobson. "This
organizational growth, coupled with a shallow talent pool and virtually
non-existent industry unemployment, results in an increasingly
competitive labor market."

The study found that job vacancies are still moderately difficult to
fill. However, recruiting is slightly less difficult in some disciplines
than it was one year ago.

Some additional key findings include the following:

  • Eighty-two percent of companies expect an increase in revenue growth,
    up three points from the January 2018 survey. Seventeen percent of
    companies expect flat revenue growth, up three points from January
    2018.
  • The need for technology, claims and underwriting staff is expected to
    grow the greatest in the next 12 months.
  • Executive, technology and actuarial positions are the most difficult
    to fill.
  • If the industry follows through on its plans, we will see a 0.6
    percent increase in industry employment during the next 12 months,
    creating new jobs.
  • Companies are requiring more temporary staff. Thirteen percent of
    companies are planning to increase their use, up from 12 percent in
    July 2017.

For more highlights, download the full insurance labor outlook study results
summary
. For commentary, view the recorded webcast.

The insurance labor outlook study has been conducted semi-annually since
July 2009. Collecting revenue and hiring projections from organizations
across all sectors of the industry, the survey provides a valuable look
at the labor market outlook and hiring trends.

The study's next iteration will occur in January 2019. For details on
how to participate or to request more information about the survey,
please contact Vince Albers of Ward Group at +1 (513) 746-2422 or vincent.albers@wardinc.com.

About The Jacobson Group:

The Jacobson Group is the leading provider of talent to the insurance
industry. For nearly 50 years, Jacobson has been connecting
organizations with insurance professionals at all levels across all
industry verticals. We provide an array of services including executive
search
, professional
recruiting
, temporary
staffing
and subject
matter experts
. Regardless of the need or situation, Jacobson is the
insurance talent solution. Further information is available at jacobsononline.com

About Ward Group®:

Ward Group is the recognized leader of benchmarking and best practices
studies for insurance companies. The firm analyzes staff levels,
compensation, business practices and expenses for all areas of company
operations and helps insurers measure results, optimize performance and
improve profitability. For more information about Ward Group, visit ward.aon.com.

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