Filed Under:Markets, Commercial Lines

7 biggest areas for insurance industry job growth

Technology is likely the reason that some insurance industry sectors are seeing fewer new jobs. (Image: Thinkstock)
Technology is likely the reason that some insurance industry sectors are seeing fewer new jobs. (Image: Thinkstock)

A few sectors within the insurance industry experienced consistent job creation in recent years, while others saw fewer people doing more work, according to a new report from the New York City-based Insurance Information Institute.

100,000 new jobs


The III’s presentation is based on year-over-year employment data from the U.S. Bureau of Labor Statistics. That data dates back to 1990. Overall, the research indicates that in roughly five years, and despite some employment volatility within specific sectors, the insurance industry has added more than 100,000 new jobs.

Speaking by telephone from his New York City office on Wednesday, Steve Weisbart, the III’s senior vice president and chief economist, said the data provides a solid view of where new employees coming into the insurance industry are likely to find work.

Related: 4 facts about the insurance labor market

“The central question is long-term,” said Weisbart, who linked historical insurance industry vitality to the country’s overall economic health. “Is this an industry that young people would be attracted to? The industry obviously needs to be able to attract new people” in order to continue to advance and innovate.

Contemporary workplace


Many companies are beginning to heed the contemporary workplace mores that appeal to millennials. Research indicates that today’s young workers want jobs that give them purpose, that enable them to grow professionally, and where managers are invested in their success.

But there’s also the question of whether there will be opportunities for skilled insurance agents and producers who choose to devote their careers to this business. According to Weisbart, “You get a different kind of answer depending on what part of the industry you’re looking at.”

Weisbart said technology is likely the reason that some insurance industry sectors are seeing fewer new jobs.

Keep reading to find out the top 7 areas within the insurance industry that have experienced the strongest recent growth in job creation, and are therefore well-poised to attract new talent:

The 7 biggest areas for insurance industry job growth

7. Independent claims-adjusting firms

Employment increase between April 2015 and April 2016: 0.5%.

Number of new employees during that time: 300.

Total sector employment as of April 2016: 56,000

The 7 biggest areas for insurance industry job growth

6. Property and casualty carriers

Employment increase between April 2015 and April 2016: 0.6%.

Number of new employees during that time: 3,000.

Total sector employment as of April 2016: 519,000.

The 7 biggest areas for insurance industry job growth

5. Third-party insurance administrators

Employment increase between April 2015 and April 2016: 0.7%.

Number of new employees during that time: 1,300.

Total sector employment as of April 2016: 175,000.

 The 7 biggest areas for insurance industry job growth

4. Agents and brokers

 

Employment increase between April 2015 and April 2016: 2.2%.

Number of new employees during that time: 16,500.

Total sector employment as of April 2016: 772,800.

Industry watchers note the recent rapid expansion of job opportunities in this sector.

“This is an interesting area because from time to time, you hear predictions that (the number of) agents is going to shrink,” Weisbart said. This sector “not only has not shrunk, but has been growing.”

He added that one caveat to the job growth in this sector is that the Bureau of Labor Statistics fails to distinguish between different types of insurance agent and brokers as part of its data collection.

Related: Employment up in all but two insurance sectors for December

The 7 biggest areas for insurance industry job growth 

3. Life insurance and annuity carriers

Employment increase between April 2015 and April 2016: 3.8%.

Number of new employees during that time: 12,100.

Total sector employment as of April 2016: 331,100.

The 7 biggest areas for insurance industry job growth 

2. Reinsurance carriers

Employment increase between April 2015 and April 2016: 4%.

Number of new employees during that time: 100.

Total sector employment as of April 2016: 24,700.

The 7 biggest areas for insurance industry job growth 

1. Health insurance carriers

Employment increase between April 2015 and April 2016: 4%.

Number of new employees during that time: 20,600.

Total sector employment as of April 2016: 539,800.

“Health insurance companies have been adding jobs pretty much every month” for a very long time, Weisbart said. “If you’re coming out of college and you want to look for a field where there are likely to be job openings, health insurance is a place to go.”

Related: Graduates of disabled veterans program land jobs in insurance industry

Originally published on LifeHealthPro. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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