Our 2022 insurance and financial services salary guide highlights the most interesting developments across the industry, providing salary data and insights from our experts to help you keep up to date with the latest trends for 2022.
Here are five of the most important trends to watch out for this year:
1. More remote positions for financial advisory specialists
Many businesses have had to adapt to the widespread shift to remote working, and while some may have found this a challenge, financial advisory specialists have witnessed benefits to them and their wider business. Conducting meetings remotely has enabled advisers to see more clients and generate more business. On average, financial advisers can expect a salary of £61,700 in the East Midlands, £54,500 in Northern Ireland, and £63,500 in the South West.
2. Less appetite for risk and greater use of automation and technology
Unsurprisingly, there has been less appetite for risk in the insurance market over the past 12 months, which has led to firms having to adapt to meet the changing needs of customers. We have seen greater use of automation and technology in the insurance process, with firms hoping this will help them secure growth in what is a very competitive market.
The change in desire for risk has led to a decline in salaries across the UK. For example, risk managers in the East Midlands can now expect an average salary of £44,900 – which has dropped from £59,700 in 2021. Risk specialists in the North West has seen an even greater decline, from £63,700 in 2021 to an average salary of £45,900 this year. However, as the country starts to recover further from the pandemic, it will be interesting to see if the appetite for risk increases over the coming year.
3. An increased focus on inclusivity and gender diversity
We have seen an increased focus on inclusivity and gender diversity in insurance and financial services over the past year. This is a great development for the sector, especially with its historic challenges around gender diversity. Firms have been taking steps to increase the number of women they hire by adapting their recruitment processes and attraction strategies, ensuring women have better access to positions.
4. Firms are prioritising ESG (environmental, social, governance)
Social impact has become a key driver in customer decision making as well as jobseekers’ behaviour. As an example of how critical this is for insurance firms, the widespread environmental protests that took place during COP26 took aim at companies for insuring or investing in fossil fuel producers. Businesses are now beginning to incorporate ESG into their company goals, which will ease customers’ concerns and be a key attraction strategy for businesses looking to recruit in 2022.
5. Candidates are in control
As with many industries, the past year has seen more power being placed in the hands of jobseekers. Many firms in the sector have been struggling to recruit new staff to help maintain growth post pandemic. With a lack of available professionals, businesses need to look at their salary and benefits offerings to attract top talent.
The insurance and financial services sector as a whole has seen a 7.1% decline in UK average salaries, and if companies want to attract more people to the sector, they need to ensure they are paying competitive salaries to stand out from their local competition.
For more information on salaries and benefits in the insurance and financial services sector, download our free 2024 salary guide here.
