Insurance Talent Trends for 2025
1. A Focus on Hybrid Working Models
Hybrid working is here to stay, but its shape is evolving. Flexibility continues to be a key driver for talent retention, expanding the talent pool by removing geographical barriers and allowing access to a more diverse workforce. However, many London Market insurers implement policies requiring a minimum in-office presence—often three days a week. This shift highlights the belief that being physically present fosters team collaboration, mentorship, and professional development, particularly for early-career employees or those transitioning into new roles. Both approaches reflect the industry’s effort to balance flexibility with the benefits of in-person engagement.
2. Generative AI & Data Literacy as Talent Priorities
Generative AI continues to redefine the insurance value chain, from underwriting and claims management to customer engagement. The London Market is embracing algorithmic underwriting, where AI enhances decision-making through real-time data analysis and predictive insights. Tools like these enable faster, more accurate assessments, however there’s a critical talent gap in data literacy.
The evolution calls for hiring employees knowledgeable in digital skills, data analytics, and artificial intelligence (AI). This isn’t about replacing people, it’s about empowering them. As Send Technology highlights, hybrid teams of humans and AI are the future, offering new ways for employees to thrive in a fast-paced industry (Top 10 Insurance Industry Trends Underwriters Should Know About in 2025 – Send). AI is no longer just a buzzword; it’s becoming a practical tool to support teams. By prioritising the recruitment and development of talent capable of leveraging these technologies, insurers will gain a competitive advantage amongst their peers.
3. Diversity and Inclusion: A Strategic Priority
Diversity, equity, and inclusion (DE&I) remain critical focal points in talent strategies for the insurance industry. Programs like the London Market Group’s Future Academy and upcoming Talent Hub are helping to address longstanding gaps in representation (LMG London). The London Market is actively working to attract and retain a diverse workforce that reflects the global client base it serves.
4. Knowledge Transfer to Bridge the Talent Gap
The insurance industry faces a looming talent shortage, with an ageing workforce and limited interest among younger generations. According to the Chartered Insurance Institute (CII), 25% of the UK insurance sector is set to retire within the next decade. The challenge is twofold: attracting new talent while ensuring knowledge transfer from experienced professionals.
Investing in upskilling, mentorship programs, and making roles more appealing through digital innovation will be key to addressing this gap. Companies that prioritise employee development and modernise their approach to recruitment will gain a competitive edge.
It’s essential to equip workers with the necessary competencies in areas like digital literacy, data analysis, and customer engagement. Such initiatives not only enhance employee capabilities but also improve retention by providing career development opportunities.
5. Employer Branding: The Talent Magnet
In a competitive market, how industry participants position themselves matters now more than ever. Gone are the days where a job application and a simple website sells you as a great employer. The insurance market has an opportunity to stand out by showcasing not only its innovative use of technology, but also its impact on tackling global challenges like climate risk and cyber threats.
Showcasing company culture, values, career development opportunities and commitment to employee well-being are all new benchmarks for attracting top talent. Additionally, leveraging social media and digital platforms for recruitment is becoming more prevalent, allowing companies to reach a broader and more diverse audience.
6. Future Planning
Aon’s “Global Risk Management Survey (GRMS) of 2023 ranked “failure to attract or retain top talent” as one of the most critical global, regional and future risks for the industry.
The need for digital skills continues to grow. As insurers adopt advanced tools and platforms, employees must be equipped to use them effectively. However, this isn’t just about technical training; it’s about creating a culture where continuous learning and innovation is encouraged. Supporting employees in developing these skills ensures they remain engaged and confident in navigating change.
2025 is shaping up to be a pivotal year for talent in the insurance industry. The most successful organisations will be those that not only adapt to change, but also empower their people to grow. With significant shifts in talent management strategies, focusing on technological upskilling, flexibility, diversity, innovation, and development, the industry can create a workforce that’s ready for the future—no matter what it holds.
The London Market, with its rich history and forward-thinking initiatives, is uniquely positioned to lead the way. As always, it’s the people who will drive the industry forward.
