Retaining talent requires the industry to address ‘experience shortage’

The insurance industry has “an experience shortage” that is contributing to pressures in the talent pipeline, according to Karen Weir, owner and founder at Weir Insurance Brokers.

While “career progression, workload and pay are clearly factors” behind the sector’s retention challenge, which needs to be addressed, Weir told Insurance Times that there is not a “talent shortage” – but a lack of opportunities for experience.

The view was in response to Insurance Times’ 2026 Talent Development Report, published in association with Intact Insurance on 9 June, which revealed that 45% of respondents feel some people leave the industry due to a lack of career development and advancement.

From a survey of 304 respondents across insurance, it also showed that 42% of respondents believe people leave the industry because they are overworked, 33% believe it is because people are underpaid and 32% believe it is due to salary scales.

Savan Shah, head of research at Insurance Times, said: “What comes through clearly from Insurance Times’ report is that the main drivers of attrition are progression, pressure and pay.

“The challenge for the industry is not a lack of opportunity in principle, but making progression visible, workloads sustainable and the overall career proposition competitive enough to retain talent.”

For Weir, the findings point to a broader issue that the industry is not “creating enough opportunities for people to gain meaningful industry experience”.

The UK produces hundreds of thousands of graduates every year, she explained, but “too few are finding routes into general insurance”.

She continued: “I encountered this firsthand when trying to secure a summer internship for a Newcastle University undergraduate.

“Despite widespread discussion about talent shortages, finding a placement opportunity proved difficult. If we want to attract the next generation, we need to do more than promote insurance as a career. We need to invest in internships, work experience and entry-level opportunities that give people a genuine insight into the industry.”

Broadening horizons

Echoing this perspective, Chris Welch, operations director at Hedron Network, said that “more needs to be done to attract talent into insurance from the outset”.

He explained that, in this part of the sector, it is “rare” to see many people exit the industry “except at retirement” and that “movement tends to happen between different areas of the industry, often driven by a clearer pathway to career progression or by higher offers of remuneration”.

Once people enter the sector, he feels that “many find strong opportunities to build long-term, rewarding careers”.

And, Insurance Times’ report revealed that 70% of respondents said that their organisation emphasises learning and upskilling opportunities as the most engaging value proposition for young talent, while 62% said career progression and leadership development and 42% said competitive salary and benefits.  

Speaking to Insurance Times, Welch said he believes that the talent development initiatives and technical training offered to brokers via Hedron People have played a part in helping to “improve retention by broadening staff horizons and making people feel valued in their careers”.

As a result, he said that the network is “seeing a new generation of leaders emerging in broking”.

“As with any industry, it is vital that insurance remains competitive on salary for prospective talent,” he continued.

“However, it must also provide clear and appealing pathways for development and progression. Apprenticeships are increasingly being used across a wide range of levels, but beyond training, culture plays a crucial role and that is often shaped by leadership.”