The headlines are warning employers to get ready for a mass exodus of employees. Today, U.S. employees are leaving their jobs at the fastest pace in 20 years. In April 2021, the Labor Department reported 2.7% of U.S. workers are leaving their jobs, vs. 1.6% a year earlier. Additionally, more than 50% of North Americans are planning to look for new jobs this year, according to a study by Achievers, a consulting and software company focused on talent management.
Pent-up demand resulting from workers putting off job changes during the pandemic in 2020 is a potential cause of this shift. Research from Achievers Workforce Institute also highlighted work stress and a desire for work-life balance as other reasons.
While the increase in job turnover could be concerning for those looking to retain and hire, this also presents a potential opportunity for firms. As higher numbers of people leave jobs, proactive firms can position themselves to hire the right staff to help boost growth. So how can you turn this workforce migration into an opportunity to accelerate your growth?
MarshBerry’s 2021 Organic Growth study showed that hiring the right producers was integral to a broker’s growth strategy. Staffing ranked as both an important driver, as well as a challenge, for growth goals for companies in the study. Hiring new producers and focusing on larger accounts ranked as the top two most important categories.
An insurance career may not be on the radar of many active job seekers, but there are ways to sell the insurance industry and your firm to help candidates understand the benefits. Here are some ways insurance brokers can position themselves and the industry to benefit from this time of increased turnover in the job market.
Show the financial and professional opportunities:
- People are often enchanted with the idea of a career with tech firms, marketing agencies, and other industries that actively promote their growth opportunities and innovation. However, there are tremendous opportunities in insurance that include financial upside and stability.
- In insurance, there are many upselling opportunities along with the security of renewals and recurring revenue, which is not available in sales roles that wipe commission earnings clean year-over-year. Once customers trust their agents, they’re likely to renew services and buy other insurance.
- Insurance also provides a great deal of autonomy, particularly in producer positions where salespeople can gain some flexibility, as they build their schedules once they’re established. Flexibility is becoming increasingly important to job seekers, as more companies offer remote and hybrid work.
- Potential employees should know that their professional development will be supported, and there are pathways to accelerate their careers. Career development and training are important to many insurance brokers, as their team members can earn certifications and better serve clients.
Highlight the stability of the insurance industry:
- For some, insurance is a necessity, but pedestrian and an expense that many would rather avoid. However, many don’t consider the consultative risk management aspect, where clients can turn to insurance experts to gain insight for future planning, mitigate liabilities, and secure their wealth and assets.
- MarshBerry believes the insurance distribution industry has superior fundamentals and is very resilient relative to other industry sectors. Insurance remains one of the largest global industries and plays a significant role in identifying, quantifying and mitigating risk within the world’s economies.
- Insurance is a stable industry that is practically immune from recessions because insurance is often a business requirement. Unlike discretionary products and services that customers might decide to forego when budgets are cut, insurance policies won’t get canceled.
- According to a government report, the insurance industry was largely shielded from the negative effects of the 2007-2009 recession. While many of the property/casualty and life insurers were in good capital positions pre-financial crisis, regulatory actions also mitigated damage. During the 2020 pandemic and volatility in the financial markets, the global insurance market was financially resilient.
Ultimately, insurance careers provide long-term opportunities for those who join the industry — and when you can show this to people who are looking for new opportunities, you can benefit and attract new talent in the current environment.
If you have questions about Today’s ViewPoint or would like to learn more about growing your business, please email or call Frank Cox, SVP Management Consulting, at 616.426.8522.
MarshBerry continues to be the #1 sell side advisor in the industry (as ranked by S&P Global). If you’re considering selling your firm, we are the best choice to help you through the complicated process. If you don’t hire MarshBerry, hire a reputable advisor that can help you navigate one of the most important business decisions you will ever make. You will be much better off having an advisor in your corner that knows the industry than trying to do this on your own.