Insurance sector proves it is never too late
The insurance sector retains professionals long-term, even if they switch employers. A common observation among veterans is that few leave the industry entirely, despite moving between companies. Data confirms this pattern of sector loyalty, though not always to individual firms.
LNJ Recruitment found that UK insurance employees stay with a single insurer for an average of 2.8 years. However, 60% of the workforce has worked in the sector for over a decade, and 10% have remained with one employer for more than 30 years.
These figures reveal a retention challenge while also suggesting a way to address a growing talent shortage. As the industry faces a lack of skilled workers, recruiters are turning to retirees or those who have left the field to fill gaps.
The Untapped Talent Pool
The insurance sector faces a demographic challenge. The Hays UK insurance salary survey showed that 84% of employers reported skills shortages in the past year. A Chartered Insurance Institute report from April 2024 warned that 25% of the UK insurance workforce will retire within the next decade.
Roger Flaxman, chairman at Flaxman Partners, understands this shift. He began as a Lloyd’s broker in 1969 but had to restart his career at 50 after a serious illness. Rather than retiring, he started his own advisory firm. He believes professionals over 50 represent a largely untapped resource that could be encouraged to return.
Digital processing often overshadows the human aspects of risk assessment. While automation handles data entry and basic calculations, interpreting complex liability or negotiating high-stakes claims still requires human judgment. This expertise, developed over decades, is difficult to teach in a classroom, making experienced returners valuable.
Flaxman said many who leave eventually miss the work. He pointed to a humanitarian benefit in returning, where veterans can mentor clients and brokers. He once resolved a nearly cancelled local event by spotting a simple computer error made by a junior employee.
“This type of experience doesn’t come from a textbook,” Flaxman said. “It comes from having seen the market cycle multiple times.”
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Breaking the ‘Too Late’ Myth
Lucy Luckett, a products and wordings associate at Willis Towers Watson, shows that re-entry is achievable. She started her career at 17 as a claims handler but left in 2001 to raise her children. After a decade away, she returned part-time before moving back to full-time work to regain financial independence following a separation.
Her return allowed her to advance quickly. She worked at Covéa Insurance, equine broker KBIS, and Partners& before joining WTW. Luckett said her age and experience gave her flexibility to explore different roles, and her insurer-side background helps her understand brokers’ challenges.
Convincing experienced professionals to return requires addressing confidence issues. Michael Wilson, a senior advocate at Flaxman Partners, noted that many in their late 50s or 60s don’t see their knowledge as unique. Some retire relieved to leave pressure behind, only to later regret the decision.
“They may not realize that without older professionals, the context of insurance practices has been lost,” Wilson said.
Karen Weir, founder of Weir Insurance Brokers, believes the industry must adapt to accommodate returning talent. She has seen successful setups where veteran executives transition into lower-pressure roles while younger staff take the lead. This approach lets businesses retain decades of expertise on short-term contracts without overburdening senior staff.
“Too much knowledge is leaving the profession for us to ignore better ways to keep it,” Weir said.
Simon Caplan, chief innovation officer at recruitment firm Arthur, agreed. He stated that technical capability and commercial judgment “can’t be replicated,” adding that the market values senior leaders with extensive experience. Client-focused broking initiatives have also highlighted the importance of such expertise in maintaining service quality.
The Insurance Times Talent Development Report further explores how firms can better integrate returning professionals. It suggests flexible roles and mentorship programs as key strategies to retain institutional knowledge.
