In a recent article published in the Insurance Journal, it was encouraging to note that of the 500 young agents who were surveyed, the future of the industry looks very bright indeed. According the report, “Optimism is higher today among young insurance agents than in the recent past…The aging of the insurance industry is one reason young professionals see a bright and secure future career.”
It was interesting to note that the report highlighted the fact that there is a huge talent gap facing the industry given that: “Almost half of all insurance professionals are over age 45, with 25 percent of the industry expected to retire by 2018.” It would seem that there is no better time for young career professionals to get in. Also, given the rapidly changing advances the industry is making towards electronic applications, the new way forward is clear, or as one millennial put it: “The industry is just starting its technology revolution and recognizing the value that young professionals can bring in that space.”
“More young agents (32.1 percent) view the independent agency channel’s ability to advance in technology as “very optimistic” in 2016 compared to 2015 when just 22.7 percent took that view.”
From a career perspective it was also worthy to note that almost 60 percent of young agents viewed the career in a “very optimistic” light. They see the age gap of current agents as an entry opportunity: “Overall, young agents feel confident that the industry and their own agencies will attract quality talent to fill the talent gap in the coming years.”
From our own experience at the Benefits Management Team we can attest to this. We are seeing more and more young talent coming to work with us. Attracted by our embrace of new technologies and a far more efficient way of doing business, the results speak for themselves. Millennial agents are encouraged with the fact that their earnings potential is huge and that the harder you work at it, the greater the rewards! The article noted that: “The potential to grow and the freedom that comes with the job were reasons cited most often by young agents in the survey when asked if they would recommend a career in insurance to other young people.”
What is also attracting younger agents is the ability to build a book-of-business and create a meaningful residual income. Given the many economic uncertainties facing younger people out there, this makes infinite sense. A book of insurance is an incredibly valuable asset to own. There aren’t many better industries where you can do this.
One young agent also attributes his success to the great mentorship he received during his initial years in the business. Now that, is music to our ears!
Article source: Young Agents’ Optimism High on Career Choice, Income and Future of Agency System; Insurance Journal. April 4, 2016.