Insurance Labor Market Study 2026: Hiring Staffing Trends
Insurance carriers are maintaining a largely stable workforce heading into 2026, with modest employment growth expected and hiring concentrated in core operational roles, according to the latest Semi-Annual U.S. Insurance Labor Market Study conducted by The Jacobson Group and Aon plc.
Now in its 17th year, the study found that 93% of respondents intend to either increase or maintain staff over the next 12 months, reflecting continued stability in overall carrier employment.
“Overall insurance carrier employment has remained fairly flat throughout the past few years,” said Jeffrey Blair, senior vice president of executive search and business development at The Jacobson Group. “Looking forward, our study found 43% of carriers plan to maintain their staff size in 2026, which is a 15-year peak and 10 points higher than last January. We’re seeing a lot more focus on retention programs and proactive performance management.”
Hiring Growth Moderates Across Segments
Half of carriers—50%—plan to increase staff over the next year, while 43% expect to maintain current levels and 7% anticipate reductions.
Hiring expectations vary by segment and company size. Life and health insurers are driving much of the anticipated growth, with 65% planning to add staff. Medium-sized companies are also more likely to expand, with 61% expecting to increase headcount—outpacing both small and large carriers.
If carriers follow through on these plans, overall industry employment is projected to increase by 0.91% over the next 12 months, including a 0.96% increase within the property and casualty sector.
Revenue Growth Tied to Market Share Gains
Revenue expectations remain broadly positive, with 72% of companies anticipating growth, though that figure is down slightly from January 2025.
Personal lines P&C insurers are the most optimistic, with 90% expecting revenue gains, compared to 68% of commercial lines carriers and 64% of balanced writers.
Across the industry, 49% of respondents cited changes in market share as the primary driver of revenue expectations, while 29% pointed to pricing.
Staffing Driven by Volume and Expansion
Carriers planning to increase hiring most frequently cited expected increases in business volume (30%) and expansion into new markets (24%) as the primary drivers.
Conversely, companies planning to reduce staff most often pointed to automation, followed by reorganization and areas being overstaffed.
Demand Concentrated in Technology, Claims and Underwriting
Despite a measured hiring outlook, demand remains concentrated in technology, claims and underwriting roles, which are expected to see the greatest growth over the next 12 months.
“Key roles within claims, underwriting and analytical functions still remain in demand,” said Jeff Rieder, head of performance benchmarking for the Strategy and Technology Group for Aon.
Carriers are also most likely to add experienced talent in compliance, analytics and underwriting, while entry-level hiring is expected to be concentrated in operations and claims roles.
Recruiting conditions have eased slightly compared to a year ago, though actuarial, executive and analytics positions remain the most difficult to fill for the fifth consecutive survey.
Turnover Declines, Hiring Friction Persists
Turnover trends continue to moderate. Average 12-month voluntary turnover declined to 8.1%, with six-month voluntary turnover at 5.4%.
At the same time, 20% of companies reported that hiring has become more difficult compared to the prior year, up from 14% in January 2025.
Hybrid Work Remains the Standard in the Insurance Labor Market
Hybrid work continues to dominate operating models. Over the next six months, 71% of carriers expect most employees to work in a hybrid arrangement, while 7% require full-time in-office attendance.
Most carriers—95%—do not expect to change their in-office requirements beyond that period.
Long-Running Industry Benchmark
The Insurance Labor Market Study, conducted semi-annually since 2009, surveys carriers across industry sectors on hiring, staffing and revenue expectations, providing a benchmark for labor market conditions across the insurance industry.
The next iteration of the study is scheduled for July 2026.
How to access the Jacobson Insurance Labor Market Study
For those interested in reading the study or accessing the free webcast, it can be accessed here.
