The insurance industry is facing an imminent talent gap, as 25% of insurance agents are expected to retire within the next two years. But results from Vertafore’s fourth annual “Millennials in Insurance” survey offer some hope.
According to the report, 86% of millennial insurance professionals are somewhat or very optimistic that the industry will be able to attract future workers.
Related: Bridging the talent gap
“This year’s survey reveals that the millennial generation is not only thriving in the insurance industry, but the vast majority – 82%– would go so far as recommend a career in insurance to friends and family,” said BJ Schaknowski, SVP and chief sales and marketing officer at Vertafore. “These results build an encouraging roadmap for insurance companies to use as a guide for attracting and retaining next-generation talent.”
Results from Vertafore’s 2017 “Millennials in Insurance” survey were concluded from responses by nearly 3,500 professionals currently employed in the insurance industry, including 1,556 millennials ages 19-35.
Millennial workforce & future of insurance
The “Millennials in Insurance” survey reports 82% of millennials would recommend a career in insurance to their friends, and 39% were recruited by friends in the industry. Even more encouraging, 67% of millennials surveyed say they have been in the industry for three years or longer and plan to stay in the industry for as long as possible.
Perceived benefits of a career in insurance
Millennials surveyed cited a number of pros to a career in insurance, the top three responses being:
- Career growth opportunities (63%),
- Rate of compensation (55%), and
- Work-life balance (50%)
The two most popular roles in insurance among millennials are in account management or customer services (39%), and producer or sales roles (23%). The report concludes that millennials are also 2.5 times more likely to be underwriters or adjusters compared to baby boomers (ages 55 and older).
In the past year, companies have made noticeable strides in technology adoption by increasing the use of social media and communications technologies to support and retain customer relationships. By the numbers, insurance companies have increased their use of:
- Video messaging (75%)
- Instagram (+50%)
- Instant messaging/chatting (+41%)
- Texting (+14%)
The survey found that 59% of millennial respondents are satisfied with their company’s use of technology, and 78% believe technology is increasing efficiency by arming them with the tools they need to compete and succeed.
“Between the strides made in technology adoption and the benefits that a career in insurance offers, young professionals are looking to insurance for lifelong careers,” added Schaknowski. “We couldn’t agree more that the insurance industry, and particularly the independent insurance agent, has a strong future.”