WASHINGTON–The fact that U.S. insurance payrolls grew in April for the second straight month despite an overall employment decline in other sectors is consistent with past trends, an insurance market expert said.
Robert Hartwig, president and chief economist at the Insurance Information Institute, made his comments explaining recent U.S. Bureau of Labor Statistics data which showed insurance industry employment increased in April by 3,200 even though overall employment dropped 20,000 for the month. The information is seasonally adjusted.
“The effects of economic downturn are generally muted on the insurance industry, whether property-casualty, life or health,” Mr. Hartwig said.
While the industry is relatively slow-growing, “it tends not to be subject to significant downturns like other sectors,” such as homebuilding and manufacturing, Mr. Hartwig said.
“The reason is that people strive to maintain their insurance irrespective of the state of the economy, whether it's auto, home, life or health-related products,” he said. “People do what they can to keep their insurance,” he said.
He said the insurance industry employs approximately two million people across all sectors. Moreover, he said, “the industry, despite the downturn, is continuing to grow.”
He said p-c and life insurers are always rolling out new products, and “the demand for health care insurance continues to increase all the time.”
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