The insurance industry labor market remains strong and stable, with moderate employment growth expected as we head into 2026. Our recent Q3 2025 Insurance Labor Market Study, conducted in partnership with Aon, revealed 86% of carriers intend to increase or maintain their staff sizes in the next 12 months. While the Bureau of Labor Statistics reported month-to-month employment fluctuations within the insurance carriers and related activities sector, these shifts are typical and do not signal a slowdown in the job market.
Looking ahead, the industry is expecting continued, measured growth. More than half (53%) of companies intend to expand their teams in the next 12 months, up slightly from July 2024; while 33% plan to maintain their current headcounts. The primary driver of growth is expansion into new markets, followed by anticipated increases in business volume. At the same time, 14% of companies expect workforce reductions—unchanged from one year ago—with automation, reorganization and overstaffed areas cited as the main triggers. However, only about 1% of companies plan to reduce staff by 10% or more.
Technology roles remain the insurance industry’s top talent need, followed by underwriting and claims. Among companies planning to hire, more than three-quarters of companies said they’re most in need of experienced professionals, followed by entry-level individuals at 20% and executives at 4%. For those new to the workforce, entry-level positions are most in demand within operations (44%), claims (29%), and accounting (24%). At the executive level, the greatest hiring need is anticipated in actuarial (8%), followed by operations and sales/marketing at 7%.
Recruiting difficulty has eased slightly in nine of 12 functional categories compared to last July. Nevertheless, most positions are still considered at least moderately difficult to fill, with actuarial, executive and analytics roles remaining the most challenging. Additionally, twelve percent of companies reported their ability to hire talent has become more difficult over the past year.
Flexibility remains a top priority for many professionals. Seventy-eight percent of companies shared that most of their employees work a hybrid model (44% one to two days in office; 34% three to four days in office). Despite employee expectations for remote work, only fifteen percent of organizations said the majority of their staff are fully remote, down from 24% in July 2024. Meanwhile, in-office work is on the rise with 8% of companies reporting most employees are in the office full-time—double what was reported one year ago. The vast majority of companies do not plan to change their work models in the next six months. Among the few making adjustments, most intend to require more in-office presence.
If you’re looking for a new role in this competitive job market, being prepared for your interview helps you stand out among other finalists. Read our blog post, "Interview Prep: A Checklist" for a guide to putting your best foot forward, while also gathering the insights needed to decide if the company and the role are right for you.
The Q3 2025 Insurance Labor Market Study took place from July 7 through July 27, with participation from insurance carriers across all industry sectors. The semi-annual survey collects and examines data on insurance industry hiring, as well as revenue trends and projections. For more insight on the industry’s hiring plans and additional labor market trends, view the full report.