Insurance vendors upping their game as competition for talent heats up

Talent has been a front and center topic in boardrooms across the U.S. amid the pandemic, widespread resignations, a labor shortage, and other trends challenging the recruitment and retention of employees. Yet, through the adversity, companies across the insurance ecosystem have adapted remarkably well, including the vendors that serve the industry.

Recently, SMA surveyed insurance professionals to understand how companies are approaching talent in 2022 and beyond. As a follow-up to SMA's research report focused on insurers' talent objectives, SMA has recently released a new report that offers a fresh view of how technology/software vendors and services solution providers are shaping their talent strategies this year.

The technology sector has long attracted young professionals looking to jumpstart their careers. In fact, a study by Glassdoor found that most Gen Z job seekers are applying for tech-related positions. But when jobs are in high demand for both employers and prospective employees, it creates a hyper-competitive job market that requires a strategic approach. So, it is no surprise that insurance vendors consider attracting new talent as their number one talent objective in 2022. SMA's study shows that vendors have found new ways to recruit talent since the pandemic's start. Sixty percent of vendors reported recruiting from broader geographic areas as the primary change in their recruitment strategies in the past two years. This is a significant finding when considering that many technology/software vendors were ahead of the remote-worker trend when they employed personnel in various geographic regions pre-pandemic. Another 40% of vendors also stated they are using social media or are partnering with universities and associations to reach new talent pools that may have previously gone untapped. But it is not enough to simply set new talent strategies – leaders at vendor companies must ensure their organizations are allocating resources, setting clearly defined goals, and are holding themselves accountable to be truly successful in their talent acquisition.

With the current competitive talent market expected to continue into 2023, it is critically important that vendors rethink their recruitment strategies in 2022 and the roles and skills needed to deliver products and services to the industry. There is now an opportunity to reevaluate traditional processes and redefine roles to provide a quicker onboarding experience and positively impact the organization of technology talent. The key will be achieving balance within teams as the industry is driven to expand its talent search well beyond the boundaries of insurance.

For more information on insurance vendors' talent strategies for 2022 and beyond, read SMA's recently published research report, "How P&C Insurance Vendors are Responding to the Battle for Talent.”  

This blog entry has been reposted with permission from SMA.