Joy Agwunobi
The global insurance and reinsurance industry is contending with a widening talent shortage, a challenge that experts say is compounded by outdated recruitment practices, structural inefficiencies, and a persistent image problem among younger job seekers.
From multinational insurers to small brokerages, firms across the value chain continue to struggle with filling critical roles. The difficulties are driven by several factors: an aging workforce, slow and rigid hiring processes, and limited awareness of specialised functions in underwriting, broking, and risk management.
A recent report by Reinsurance News underscored the gravity of the issue, featuring insights from Marco Silva, co-founder of Toucan, a UK-based recruitment firm specialising in the re/insurance sector. Silva noted that while the talent gap is not new, its persistence has been heightened by the way recruitment is handled in the industry.
“There definitely is a talent gap. And most of it, I think, is the fault of systems like LinkedIn, personally,” Silva remarked, pointing to an overreliance on generic online platforms that often yield unqualified or disinterested candidates.
Silva argued that the longevity of careers in insurance can create bottlenecks that limit opportunities for younger professionals. Many industry veterans remain in their roles well beyond retirement age, leaving little room for emerging talent to progress. Yet, he observed, recruiters often hesitate to prioritise younger applicants because companies are reluctant to invest in developing them.
Another major concern lies in the inefficiencies of traditional hiring processes. Candidates typically begin by sending CVs to talent acquisition teams, a system Silva described as unnecessarily time-consuming and prone to breakdowns. “Usually the hiring process starts with the person looking for a role, sending their CV to the talent acquisition team—something that can be very time consuming for the underwriter or broker who is looking for a job,” he explained.
More often than not, he said, the process stalls once applications reach human resources departments. “There are many reasons for this, but in many situations they take too long. For example, six weeks or more for a contract, and the candidate moves on to another company.”
The reliance on LinkedIn and similar platforms, Silva added, can further drain resources. “Usually, talent and acquisition teams just go on the LinkedIn recruiter website, and everyone’s got their hand up for a job. Therefore you get people that are not really interested or not really serious. And so, you do waste an immense amount of time and money.”
While recruitment challenges remain pressing, Silva also highlighted emerging opportunities, particularly in the Middle East. He pointed to the region’s business-friendly environment, low barriers to entry, and favourable tax policies as factors that are positioning it as an increasingly attractive hub for re/insurance activity.
“Another trend we might see over the next few years is the growth of the Middle East sector. It’s a fantastic place to do business. It’s very easy to set up, there’s not a lot of red tape, the barriers to enter are easier, and the environment is great. There is a hub now. A lot of that area is tax-free so people can earn money and live a decent lifestyle,” he said.
Silva predicted that the Middle East could follow a trajectory similar to China’s, where the insurance sector was relatively obscure a decade ago but has since grown into one of the largest globally. He also underscored the potential for the region to serve as a bridge for expanding insurance markets in Africa and Türkiye, noting cultural and business similarities that could ease cross-border collaboration.
“I believe the Middle East presents a significant opportunity to trade business in Africa, Türkiye, and other nations in the region, particularly considering their cultural similarities compared to those with Western European, America, or Far Eastern countries,” Silva concluded.
As insurers worldwide search for solutions to their ongoing talent crunch, the conversation is shifting towards structural reforms in recruitment and the need for new strategies to attract, train, and retain the next generation of professionals. The challenge, however, remains how to modernise industry practices quickly enough to secure the workforce needed for the sector’s future growth.
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