From Perks to Pay: Strategies to Recruit and Keep the Best Insurance Talent
The talent crunch in insurance isn't going anywhere. Everyone’s fighting for the same people. I'm seeing this with account managers within retail brokers more than any other position right now.
On top of the sheer shortage of people, companies are also trying to get folks in office as many days per week as possible, all while attempting to keep salaries down. It's a daunting task to juggle all the things… and being cheap can cost you.
Here are the top 5 things I would do if I were a hiring manager looking to add AM’s to my team right now:
1. Evaluate pay ranges.
Are your salaries competitive? Are you in line with your competitors? If you’re the lowest paying shop around, odds are you'll get the lowest caliber of candidate. Higher quality pay can get you higher quality talent. That will mean producers that are better supported to step back and actually produce, and clients who are happier and well taken care of. So the "extra" you're spending in salaries is more than made up for with new growth and retention.
2. Consider a bonus.
About half of my broker clients bonus their service teams, which seems to track with the marketplace in general. This feels like a hugely missed opportunity. The best way to keep your service team engaged, motivated, and invested is to give them some skin in the game. Consider things like retention bonuses, new business growth bonuses, or a combination of the two. Incentivizing the team financially to help a producer gain new clients and retain existing ones will, again, drive growth and retention.
3. Evaluate the role and decide if ‘in office’ is truly necessary.
Ok, so maybe not every position can be remote, but account management is one that largely lends itself well to that setup. Even if you limit the footprint to, say, a 5-hour radius from your office, assuming your producers are targeting local candidates, that should mean that the AM is drivable for a couple key client visits per month. More and more, producers are growing their client base by focusing on industry niche rather than simply geography, meaning they are prospecting nationwide without even meeting with the prospect/client to face. If the clients aren't local, why does it matter where the account manager who services them sits? The wider your search radius, the more candidates you have access to, and in particular, you can pick up folks in more rural areas who are not otherwise easily commutable to an office.
4. Consider perks that sweeten the pot.
Are you doing anything unique or noteworthy for your teams? Consider adding some creative perks, and make them known. Half day Fridays, 4-day work weeks, fully paid health insurance premiums, robust HSA contributions, free (or affordable) child care, gym memberships. Get creative - and then talk about it! Share things on social media about the perks you give your teams. Are you allowing them to volunteer on company time a couple times a year? Show photos of your team out and about, being involved. The younger generations care more than their predecessors about alignment of their employer’s values with their own – being a good corporate citizen matters.
5. Last but not least, consider a recruiter.
Not just any recruiter. One who understands your specific space in the insurance industry AND wants to learn your company inside and out and can speak with excitement, credibility, and conviction on your behalf. One who knows people in your geographic footprint, and knows the types of people who fit within your culture. Sure, recruiters cost you – but my best clients will tell you that they more than make up for the cost with client retention, new business growth, and saving the time and energy of their teams when facing a hiring need. Additionally, if you implement the above items and create a great place to work, your turnover should be low. I actually only do a handful of placements a year for my best clients. Why? Because they are new position additions, not backfills…their turnover is so low, we only work together when they’re adding. If you do it right, a recruiting partner will be a true asset to your team, and can help you save money by not having a revolving door.
“In a market that’s as competitive as ever, standing out will help you attract and keep top talent. Put your head in the sand and you’ll find yourself settling for the leftovers which will cost you long term. ”
