Broadening the scope of insurance talent

The insurance industry is facing an imminent challenge: The growing gap between the current talent pool and the evolving demands of the market. As the need for expertise in data analytics, artificial intelligence and emerging risks grows, it will become necessary to recruit from an expanded pool of talent by seeking perspectives and experience from outside industries.

Insurance organizations must meet this challenge by adapting to the burgeoning needs for new skills in an evolving industry. By embracing this expansion, we can continue to grow and adapt alongside our industry peers, making space for a wider range of ideas and innovation in the process.

Technology in insurance: Expanding the talent pool
When we look at what's ahead in terms of new industry opportunities, data analytics and artificial intelligence are at the top of every list. With automation at the front and center of this transformation, insurance companies are positioned to improve widescale operational efficiencies. This leaves room for upskilling of current talent and recruitment of new talent.

As a result, it has become increasingly important that the insurance industry addresses its skill gaps in data analysis, machine learning and AI expertise. To meet the evolving requirements of a digitalized global ecosystem, insurance companies and hiring managers must rethink the expectations of the insurance workplace.

Somesh Mukherjee, vice president, Solutions Architect at ACORD Solutions Group, spoke to the rising technical demands within insurance:
"Traditional insurance roles (both functional, as well as technical) are evolving, and the workforce must adapt by acquiring new knowledge and competencies. For example, actuaries and underwriters now require more data analysis skills, and agents must be able to utilize digital tools effectively, even leverage AI-enabled agentic technologies to fast-track decision-making."

So how can insurance organizations signal their investment in new skills and fresh talent? Mukherjee continued, "Insurers should consider hiring professionals from outside the industry to bring diverse perspectives and experiences into their organizations.

This could involve recruiting data scientists or AI engineers from tech companies, risk management specialists from the finance sector, or experts from other industries that have successfully implemented AI and analytics with the right security measures."

The rise of emerging risks: Meeting the challenge
Emerging risks like cyberattacks and climate change are changing the landscape of insurance as we know it. As the scope of insurance coverage and risk evolves, so must the insurance workforce. To better serve the needs of our global communities, insurance organizations must invest in talent that is well equipped for the future.

Charlie Sidoti, executive director of InnSure, commented on the industry's position in the wake of new and emerging risks:
"Insurance is often thought of as a stagnant and unimaginative industry, but we have an opportunity to change that perception. The ongoing climate crisis and increasing severity of natural disasters are putting risk management in the spotlight as one of the most important societal roles in the coming decades. This gives us the opportunity to position ourselves as an exciting industry for those interested in using their STEM knowledge to address a pressing global need."

A commitment to talent with expertise in these newfound areas allows insurance organizations to adapt to future challenges and serve its policyholders better. Sidoti added, "As the risk environment changes, so do the skillsets required to properly evaluate and underwrite them. Insurance needs talent with niche climate vocabulary and expertise they can bring to the underwriting and risk management process, especially as modeling and scenario analysis continue to grow in importance as pivotal parts of the risk management role."

The growing talent gap: Diversifying the candidate pool
With an expanded talent pool to support the changing needs of insurance, the industry can be a leading force in market transformation. A robust talent pipeline will be our greatest asset as we continue to face new problems and develop creative solutions, and it's up to hiring managers to pull from a wide range of candidates.

Margaret Resce Milkint, global insurance practice leader at Diversified Search Group, shared her expertise on expanding the network of talent in insurance:
"Insurance has widespread reach into nearly every corner of STEM careers. The growing talent gap is an opportunity for insurance organizations to recruit and retain high-level STEM talent from a diverse candidate pool."

As the industry evolves at a rapid pace, we are in a unique position to embrace this change by bringing new ideas to address new challenges. Milkint continued, "We are at a critical moment in the field of insurance. By putting our full investment into diverse talent recruitment and retention, we can champion new perspectives and voices in an industry that fosters innovation. It's crucial that we do the work to hire candidates across the full scope of experience, ultimately providing fertile ground for widespread industry transformation."

Building a stronger insurance workforce
Insurance is facing a unique opportunity for change. With improved recruitment and retention practices, we can yield an industry landscape better suited for emerging risks and evolving demands. To do this, hiring managers must expand their recruitment into other industries, take non-traditional approaches, and use the tools available to their organizations. With this new talent at the helm of our industry's workforce, we can steer confidently into the future of the insurance market.