I heard an interesting statistic at a conference earlier this week, that apparently this year will be one of the most prolific retiring years for the (re)insurance sector. Ultimately this means a huge amount of the knowledge and expertise the market prides itself on will be departing. I could wax lyrical on both the positive and negative elements of this, but it would be more relevant to focus on the issue this exacerbates - that of skills shortage.
I would argue that without the financial crisis in 2007/8, the industry would be in dire straits, as much of the talent that previously pursued opportunities in the banking sector has instead turned to the more stable insurance market for career options (every cloud...). Not enough has been done to draw in talent, although there are some pockets of resistance that are doing their best.
Diversity and inclusion is undoubtedly an important issue. But insurance, like many other industries, is guilty of not having done enough to make itself attractive to anyone let alone those that can bring a different perspective to the market.
Be reassured that there are people out there who have exciting ideas of how to change this, but whether the talent is tech-savvy, diverse, or otherwise, they simply don't see insurance as an exciting industry...
Not only is the re/insurance industry facing a shortage of talent, it is facing a shortage of the particular skills that will be required as the industry progresses into more technology-driven, forward-looking and innovative business models. This is the view of Chris Beazley, group CEO of the London Market Group, who spoke to Intelligent Insurer about to the need for a more collaborative approach to address the skill gaps that the industry faces. A recent PwC CEO survey echoes these concerns by suggesting that 77 percent of global insurance CEOs see the limited availability of key skills, exacerbated by the ageing of much of the insurance workforce, as a threat to growth.