Last Updated: February 1, 2023

Insurance in 2023: A Guide to Jobs and Opportunities Post Layoff

 

By now, you’re probably aware of the layoff-train insurers are currently on. There’s a who’s who of insurance big names guilty of jumping on the rank-thinning bandwagon.  

GEICO, Allstate, and Humana are notably some of the biggest insurance companies to cut down on their labor force. It certainly isn’t a farfetched notion to be on edge about one’s job security. While a majority of the releases come directly on the back of the pandemic and the hike in hiring during this period, the recent storm of news about the recession didn’t help anyone.  

The second half of 2022 accounted for over a thousand insurance workers without a job. While it can create more hurdles for insurance agencies to jump over to continue providing excellent customer service, it doesn’t entirely spell disaster for individuals looking to establish a career in the insurance sector. 

Newer Challenges Arise

What’s the downside for the industry losing a considerable workforce? Difficulty delivering a consistent best, of course. Apart from the obvious, here are a few more challenges.

1. Increased workloads, limited staff

The apparent result of losing trained professionals is the amount of work that will eventually pile up. With fewer agents in the workforce, the existing agents must do more with less. This will dampen the overall staff morale and increase the chances of burnout, higher stress, and inefficiency. 

2. Resource cutdown

The pandemic brought a wave of economic constraints, ultimately bringing about the layoff season. With a much tighter budget to work on, insurance agents may need to get more creative when finding the best solutions. They will also need more help sourcing the necessary materials to do their jobs at the same levels as in the past.

3. Losing customers  

Insurance customers have a sense of loyalty toward their providers. But with inefficiency creeping up on insurers, it may leave their customers wishing for more or asking for the same level of service they’ve grown accustomed to.  

The insurance industry is already a competitive sector, and that increases the likelihood of customers switching to providers that can meet their needs and demands the best. Agents may struggle to retain clients simply due to the increased workload and a drop in the quality of service they can offer.  

4. Missing opportunities

Market trends will keep evolving, with or without the names that were there, to begin with. A cutdown on resources will limit how feasible it is for companies to keep up with and adapt to the new changes as they come. Failing to keep up will limit training and development opportunities within agencies, negatively impacting agents’ performances and future success.

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What’s Next for Insurance Agents?

The layoffs are ultimately means of cutting costs. Whether it be the Allstate layoffs, GEICO, or even Humana layoffs, cutting jobs should have been a last resort. First, it was COVID-19 that threatened the economy, and now it’s the possibility of a recession. 

Let’s break down a few solutions for agents to stay ahead of the curve and continue providing quality customer service.  

1. Become an independent insurance agent

Going independent can help agents maintain their quality service offerings. Agents can explore different approaches to best meet their customers’ needs. They can claim more control over their careers and more flexibility in setting their rates.  

2. Focus on marketing strategies  

Staying ahead of the competition is a must. Keeping up with the latest trends and technologies is a guaranteed way to beat the competition. With an already competitive market, focusing on developing marketing strategies can help them reach newer clients and retain existing ones.   

3. Customers first

Customer service needs to be the top priority. Fewer resources aside, a stronger focus on customer experience is a definite way to retain the existing client base and build new ones. Insurance agents can leverage platforms like Agency Height to automate efficient workflows and create personalized customer experiences.

Cash in on Career Opportunities

There are always pros to cons, and this is no different. The layoffs have undoubtedly created more challenges, but that doesn’t mean that a career in insurance is less ideal. On the contrary, it’s still a great choice, especially now for people transitioning from their jobs. 

The reality is that without enough insurance sales agents, it’ll be a challenge to maintain steady revenue growth. The good news is that insurance sales agents today can easily gain maximum efficiency and productivity. 

Agents don’t need to have face-to-face interactions to sell policies anymore. Phone, text-based communications, and online video meets make it easy to reach prospects wherever they are. This means an agent can now sell to far more customers than before.  

So, why does it count as a pro?  

It’s simple!  

People will be more conscious of compensation and their insurance. Job losses can also mean losing health insurance. So, there will be a surge of people looking for coverage quickly. This also translates to any benefits they were enjoying while on the job. It creates the urgency to quickly review one’s insurance coverage and look for other crucial policies.  

The layoffs also mean that people have the opportunity to either look for a job again quickly or pursue a different career path. The insurance industry moves fast, and most organizations are constantly looking for the next crop of young guns to pursue careers in this market.  

This is an ideal opportunity to start considering working in insurance sales, and here’s a breakdown of why that’s a great idea.  

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1. Job security

Ironic number 1, yes! Let’s be honest: insurance isn’t going anywhere. As long as risks exist, individuals will always need insurance. There will always be someone looking to protect their health, their property, or their family after their death. The possibility of sales isn’t fading anytime soon. A career in insurance is a smart choice for your family’s long-term personal and financial goals. Plus, insurance jobs can help you improve your quality of life without too much lingering stress.

2. High pay potential

The insurance industry offers some of the most impressive benefits that you won’t find everywhere. It stayed strong during and even after the pandemic—far more than what most other industries can promise. The insurance industry also boasts competitive salaries. It’s a stable industry, so you can also count on getting paid on time!   

If you’re wondering how much insurance agents make, it’d be tricky to put a number on it. But the sky’s the limit for anyone in insurance sales. You’ll basically earn a commission or a percentage of the total insurance premium the insurer is paid. It greatly depends on your finding your niche and how best to connect with customers.

3. Low barriers of entry

The low entry barriers make insurance sales a good career choice for people transitioning into a new career. Unlike other finance-related professions, it doesn’t require prior experience either! It only takes a few weeks or months to prepare for the state licensing exam, pass it, and start selling.

4. Abundant entry-level opportunities

Insurance sales offers a variety of work for insurance agents. There also won’t be the monotony of having to do the same work over and over again. Becoming a captive agent is also relatively simple—you simply have to pass a sales aptitude test. Even degrees, additional experience, and career certificates in a business-related field can help you land a job. You don’t have to be an expert to get into the industry as an agent or adjuster

5. Work for yourself

A career in insurance sales is quite flexible and allows agents to easily work remotely. It’s ideal if a 9-to-5 lifestyle isn’t for you. Whether you’re an independent or captive agent, you can schedule and reschedule appointments to accommodate your clients and yourself. Going independent also gives you the flexibility to sell a larger variety of products. You can use this to your advantage, better match your customers’ needs and earn their trust.  

Insurance jobs aren’t just flexible with the work that you do. With enough experience, you can even become an insurance broker. You can run your own business selling policies from different insurance agencies. Running your own shop is a path you can choose as a captive agent or broker.   

6. Insurance is an employee’s market

An employee’s market means job applicants and employees have the upper hand in labor negotiations. Unlike typical job interviews, the employer has to convince candidates to join them! It’s especially true for P&C Insurance. 

The industry lacks change makers, which means there’s a growing need for young labor. Insurance is an industry ruled by the older generations, after all. With the aging workforce, there’s a growing need for new leaders and management professionals. So, several insurance companies provide newcomers with lots of opportunities for advancement.  

7. It’s a solid industry

Regardless of how the economy is doing, people need insurance. It’s always in demand. People may not want to spend too much at times, but it’s up to you to quote lower rates to be more competitive. Use the flexibility this job provides! The demand for insurance agents should also remain steady, with more employment opportunities down the road.  

If a job in insurance is your target, then there are different categories you can choose from: 

  • Become a life insurance agent. It’s a rather challenging job, since life insurance itself can be hard to sell and customers hard to find.  
  • Go the P&C route. Property insurance agents help customers protect property, including homes, vehicles, and more. Casualty insurance specialists offer liability coverage against financial losses related to accidents involving their property. This can include auto, home, and renters’ insurance.  
  • Work as a health insurance agent. Work on behalf of health insurance companies and sell health-related products and services. This category also includes agents who help clients find disability insurance and coverage for assisted living care.  

But if working as an insurance sales agent isn’t the insurance job you had in mind, there are quite a few other routes—research different positions within the field. You can work as an underwriter, an adjuster, an actuary, or a customer service representative.  

There are companies and platforms built to help insurance agents get the best quotes, policies, and coverage for their clients. Agency Height is one such platform assisting agents in generating more quality leads, building efficient workflows, and keeping up with the latest technologies. You could be an agent working with the platform, grow as an agent, and help many more people protect their financial futures. 

Agency Height understands the challenges agents face and the struggles of the mass layoffs in the insurance industry. Our mission is to support agents and provide them with the resources to help them get back on their feet.  

Searching for jobs now can be difficult. Agency Height will help you return to successful employment as quickly as possible. With the extensive network of industry contacts we’ve built, we’re confident that you’ll be able to find the right customers in no time. So, take advantage of this opportunity!  

Contact us today and begin your new journey towards a new career with Agency Height. 

Frequently Asked Questions

Are insurance and tech layoffs going to continue?

Maybe! This is because businesses that cannot expand into their inflated new values and who cannot raise additional money without running the danger of a downturn may have to reduce payroll, which is frequently their single-largest expense, in order to extend their runway.

Is the insurance industry a stable career?

You’ll enjoy job security! 

Insurance isn’t going anywhere. It’s been around for centuries and will stay as long as people need medical care, drive cars, own homes, and run businesses. During a recession, insurance is more stable than in other fields.

How do I succeed in insurance sales?

Here are a few characteristics an insurance agent needs to have to be successful: 

  1. Interpersonal Skills. Interpersonal skills help you communicate with your clients effectively. These skills are the number one characteristic of a successful insurance agent.
  2. Good Salesmanship. Insurance agents are salespeople by nature.   
  3. Customer Service Skills.   
  4. High Energy Level.   
  5. Honesty.   
  6. Knowledge of a Variety of Products.   
  7. Choose the Right Carrier. 

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