How does Gen Z view insurance?

Data from Gamma Iota Sigma (GIS), an insurance and risk management collegiate talent organization, indicates that Gen Z is interested in joining the insurance workforce: more students who had not originally intended to study insurance are now interested in doing so at 36% in 2023, compared to 25% in 2022.

Grace Grant, executive director at GIS, explained in an interview with Digital Insurance that Gen Z students and graduates are attracted to the number of opportunities available in insurance.

"We know that this next generation thrives in elements of variety and change, and they're very adaptable. The fact that this industry is multifaceted and that they can turn a hobby into a career, or that they can pursue multiple different careers within the same company or field, is very appealing to this next generation," said Grant.

As a generation that entered the workforce and was immediately affected by the pandemic, high costs of living and inflation, Gen Z is also very conscious of the earning potential and stability of the industry.

Grant explained, "A lot of the interest in insurance is following the impacts that the pandemic had on this generation. They saw their parents lose jobs, and other family members impacted financially, and so the earning potential has risen in influence, in terms of what this generation is looking for in a career."

Insurance-centered academic programs offered by colleges and universities are also driving students to pursue careers in risk management and insurance, according to GIS data.

"We're also seeing that a lot of collegiate programs are adding risk management programs, risk management majors and insurance certifications to their business schools or other schools within the university," Grant stated. "That is helping to bring a little bit more clout to careers in insurance."

When considering employment opportunities and organizations, Gen Z individuals typically prioritize corporate social responsibility efforts, especially in diversity, equity and inclusion (DEI) efforts and sustainability. In 2023, only 39% of respondents felt there was sufficient diversity in their internship or full-time employment, which is a 22% decrease from 2022.

Though Gen Z are known to be "digital natives," and value remote or hybrid work, Grant explains that many from this generation do seek face-to-face interactions in a professional setting. Students are increasingly looking for in-person contact when it comes to meeting with recruiters – the survey found as much as 91% of respondents noted this preference in 2023, which is an increase from 83% in 2022. According to the survey, 36% said the primary place students look for jobs are career fairs and the GIS Annual Conference.

As for the Gen Z professionals currently working in the industry, some believe that there have been improvements in work-life balance, DEI, societal impacts and sustainability. 

According to Deloitte's 2023 Gen Z and Millennial Survey, less than half, 48%, of Gen Z respondents believe that business has an overall positive impact, indicating that Gen Z holds high expectations for employers and continue to believe that business leaders play a significant role in addressing social and environmental issues. Thirty-three percent of Gen Zs are very satisfied with their employer's DEI efforts in 2023, and 30% are very satisfied with their employer's social impact. 

Gen Z is clearly driven by their values when it comes to selecting a career and employer; nearly four in 10 say they previously rejected an assignment and 39% have rejected an employer due to ethical concerns and misaligned values.

The survey reveals that there are a number of areas in which Gen Z feels they can positively influence their organizations further; 35% feel that they can improve the products and services offered to clients and customers, 34% still believe there is room for improvement in DEI efforts and 33% see opportunity in personal development and training.