Transparency in the insurance sector – vital in candidate attraction
by Heat Recruitment
By Tom Webster
The insurance industry today is in a state of flux. According to the Association of British Insurers, the UK’s insurance and long-term savings industry is now the third largest in the world. In addition, according to PWC, cyber-insurance is today worth $2.5bn… by the end of the decade, however, this figure is projected to reach $7.5bn. It is clear, therefore, that the insurance market has huge potential for growth and expansion in today’s complex environment.
At the end of 2016, Tony Sault of EY confirmed that 2017 would be a “challenging year”. He was correct. With Brexit, a skills shortage, exponentially increasing regulatory requirements, a lack of available talent and, indeed, greater competition for the talent actually available, insurers are truly “feel[ing] the pressure in an already soft market.”
A key challenge in meeting this issue is the rise of the millennial workforce. Currently, managers and industry heads are indeed recruiting within this wide talent pool. When it comes to actually engaging these members of staff, however, the majority of employers fall short. One of the key requirements millennial workers have in their roles, tying directly to staff engagement, is one of credibility – employers ‘saying what they do, and doing what they say’. Meeting this requirement will be key to winning the ‘War for Talent’
According to a PWC survey, Millennials at Work, one quarter of millennial employees expect to have six employers or more in their working lives. This compares to just 10% of workers in 2008. Further, 78% admitted to having made “some sort of trade-off” to get into work. The report hypothesises that, as economic conditions improve, voluntary turnover is “almost certain to increase”. Millennials, quite simply, have few strong ties to working with specific companies for long periods of time.
Research from Deloitte supports this belief, continuing that one of the largest issues in insurance today is one of poor leadership. Companies are now struggling to develop leaders at all levels – impacting insurers abilities to navigate future challenges. A majority of executives believe their subordinates do not display the necessary skills to join the C-suite, citing “a lack of personal ambition and motivation”.
LinkedIn recently released research that highlighted a direct correlation between ROI and strong employer branding. 72% of recruitment leaders worldwide “agreed that employer branding had a significant impact on hiring”. Strong branding was found to result in a 50% cost-per-hire reduction, a 50% increase to qualified applicants, and a 28% reduction in turnover. The solution clearly lies with a strong employer brand – but how can this be achieved?
The insurance industry is, quite simply, crying out for dedicated, motivated staff – however motivations and goal orientation are hugely misaligned. Organisations require career-specialists, and are finding this talent hard to come by in a millennial workforce.
Branding, and more importantly, transparency as to what is on offer, are key building blocks to meet this challenge. For insurers to attract the right talent, they must first ensure their branding and values are aligned to a newer generation of workers. Incentive schemes must be adjusted to changing requirements and the perception of a ‘worker for life’ must be dropped entirely. The employment landscape, employees, and even their basic requirements, have changed dramatically over the last few decades. For insurance specialists to ensure continued success, their businesses must change in tandem.
At Heat Recruitment, we have a strong talent-pool of experts to help you navigate today’s insurance market – finding a role that matches your values. We’ve even developed our Ultimate Guide for Insurance Broking Jobs to help you get started. If you’re looking for your next role in the insurance sector, get in touch!