360 – LOOKING BACK AT 2015

2015 THE YEAR IN REVIEW – INSURANCE RECRUITMENT

Lynda Barnes, 360 Search

2015 brought some radical change to the insurance industry with measures including downsizing, early retirement options and voluntary redundancies for many of our insurers’ executive tables.

Within the industry, we have experienced quite a stabilization within the broker market with premiums set to increase and less volatility around compliance concerns as further risk structures and frameworks are enforced. However, this has impacted on bottom lines as resources are channelled to keep on top of increasing Central Bank requirements.

Insurance firms have in some cases entirely retrenched to their core business areas and have taken considerable time and resources to tidy and streamline their books. Interestingly, we have seen the loss adjusting market, although small in numbers, spring back as these firms diversify their services and add full claims servicing to their business cards.

There has also been less consolidation within the market than expected in 2015 which surprised many, with Ace and Chubb’s union and Willis, IFG and Towers Watson being the ones of note.

SME brokers are focusing on relationships more so than ever, in order to contend with the buying power of global organizations.   Multinational brokers continue to compete for what new business is being transacted, whilst endeavoring to reach retention rates of over 90% or more.  We have experienced salaries of a more modest tone at executive levels in roles that closed at 360 during 2015. Companies are now realizing that in order to retain their strongest performers, they now need to lift salary freezes, reconsider benefits packages and look at participation in profitability, especially within the intermediary fraternity.

Top business development brokers can expect salaries of 65k – 90k at present and at this level, the market has really started to move. Brokers are growing their numbers once again, but the growth is more steady and incremental at best.  The claims market has experienced another humbling year with senior roles often straddling a number of different locations ie. Ireland and the UK or Ireland and Scotland. This poses a difficulty for people who previously didn’t need to commute to conduct their roles.

The 360 Search latest 2016 Salary Survey  findings are based on placed 2015 salary levels, calculated at mean, mid-market levels and provide an insightful overview of market rates across both brokerage and insurance company industry roles.

All in all, the insurance market is growing and on the up! We have seen some significant MGA activity, some UK based insurers exploring Irish waters and a number of lesser-known insurance brands taking the lead in some niche product lines. 2016 should be an interesting year for the industry.

 Written by Lynda Barnes, Managing Director, 360 Search Ltd. 26 Lower Baggot Street, Dublin 2.

[email protected] www.360search.ie