Increase in Actuarial hiring in 202222 Feb, 20235 minutes
It’s no secret that Actuarial Professionals are in high demand at the moment. A trend that i...
It’s no secret that Actuarial Professionals are in high demand at the moment. A trend that is globally projected to further increase by 24% from 2020 to 2030. Unfortunately for insurance companies who are already struggling to find the resource, there simply aren’t enough Actuaries, so while the demand for this profession is growing, the supply is not keeping up.
Demand for Actuaries
As Lead Consultant for JCW, I’ve witnessed this increased demand for Actuaries first-hand, over the last six months JCW saw hiring for this role increase by 89%. Many insurance businesses are struggling to source suitably qualified Actuaries by themselves, a role that has always been considered specialised and niche but proving even more difficult as the industry experiences a growth in demand. Across Europe, this shortage is mostly generated by amendments to legislation in many Europeans countries. Upcoming and recent changes to regulations have required Actuaries to have an understanding of new systems being brought into place, particularly the IFRS 17 which is due to launch on 1st January 2023.
Changes to regulation
The IFRS 17 is an International Financial Reporting Standard which will become mandatory for companies under International Accounting Standard for accounting periods beginning 1st January 2023. The financial reporting standard officially replaces IFRS 4 in January 2023, initially it was due to launch in 2021 but was delayed due to the amount of time it takes to implement the requirements. IFRS 17 will affect the timing of recognition of insurers’ profits and losses, which may have large cashflow and regulatory consequences. Actuaries will become more deeply involved in the reporting of insurance company profits, so finding the best candidate is even more important. From the conversations I’ve been having, its clear businesses are demanding professionals who already have the knowledge to utilise these systems at the point when they are onboarded.
Impacts on Recruitment
These increasingly complex regulations and compliance requirements, as well as the need to gain deeper data insights in order to compete in the market, mean existing actuarial teams are short-staffed as it is. In Switzerland, the demand for Actuaries is so great that many firms are forced to look outside the country to fill these roles. Insurance companies need to transform their finance departments, this requires hiring talent with the appropriate expertise, particularly as the IFRS 17 introduction date approaches. Potential candidates also need to understand the changes and the additional requirements of IFRS 17. There also needs to be time to test and implement the change.
How can we help
We work within the Swiss market and across Europe, our teams have a deep specialist network of professionals in Actuarial and other financial service specialist roles. If you’re hiring and would like to find out more, I’d be happy to have a confidential discussion to help ensure your hiring requirements are fulfilled, please get in touch.