A casual conversation at a social gathering that began with, “So, what do you do?” sparked an interest in the insurance industry that Peter Hohman, president and CEO of the The Insurance Institute of Canada, fanned into a career of which he is clearly proud.
One of the feathers in Hohman’s cap is his involvement in the formation of the Chartered Insurance Professional (CIP) Society, now celebrating its 10th anniversary. The society of Insurance Institute CIP and FCIP (fellow) graduates has grown to a membership of more than 15,000 across Canada and counting.
As the society’s momentum gains, Hohman says in the coming years it will continue to foster the professional development of its members, as well as research and develop tools and programs to help the industry win ‘the war for talent.’
In the past, people have entered the insurance industry by following in the footsteps of a family member. But for Hohman, following his family’s professional path led him to a career in the sciences. After graduating from high school in his hometown of Timmins, Ontario, he obtained an undergraduate degree in Microbiology from the University of Waterloo. But he admits the sciences “were not an ideal career choice.”
Instead, he sought a career in business and accepted a position at a bank. “I was becoming somewhat bored with that experience,” he recalls. “One night I happened to be speaking with a field adjuster and his job seemed fascinating and like something that I would really enjoy. I didn’t know the person beforehand, it was just one of those things where you chat with someone at a party and ask: ‘What do you do?’ He talked about working in the industry and helping people in their time of loss, and that really attracted me to what he did.”
After a bit of research, Hohman discovered that with his limited, two-years-plus experience in the banking sector (as well as an undergraduate degree), he was a good candidate for Safeco Insurance, which offered a strong training program.
For the next three years, he worked as a field adjuster in Southern Ontario. He then moved into management, underwriting and marketing positions. “A position became available at the Insurance Institute some years ago, and it was something that intrigued me, so I took up the opportunity.”
ELEVATING PROFESSIONALISM
It’s been nearly three decades since Hohman entered the insurance industry. In that time, he’s witnessed a shift within the industry towards “bringing on different types of people” that are more prepared and better educated, he says. “We used to look for folks with an undergraduate degree,” he said. “Now more often than not for our technical positions, we’re looking for people that would come with a university degree and are committed to completing their professional qualifications.”
The CIP Society’s mandate is to help elevate individuals throughout their careers. Over the past decade, the society has provided its membership with professional development courses and seminars, as well as networking opportunities.
“What really started as a vision 10 years ago has seen the society evolve to become a vital component of the industry’s fabric,” Hohman says. Its mandate, he continues, is to strengthen the insurance knowledge base of CIP and FCIP graduates.
“We’re grooming them to become the industry leaders of today and tomorrow by developing their leadership skills so that they are able to inspire and motivate others,” he says. “We are also working to develop our graduates to exemplify professionalism and instil confidence in the public.”
The society in 2009 is launching its National Leadership Awards program, a first for the industry. “These awards will recognize CIP members who are leaders in their organizations, the industry or in their communities,” Hohman says. There will be two categories of awards: one for the well-established leaders, and one for emerging leaders.
BEST-KEPT SECRET
Elevating professionalism, imparting knowledge and creating industry leaders can’t happen without recruiting the right people to begin with, Hohman said. He recognizes recruitment and retention are not issues unique to the property and casualty industry, but statistics show the issues are particularly pressing for the insurance industry. Earlier this year, the Insurance Institute released a demographic study that found a large percentage of the industry was preparing for an exit to retirement; only a trickle of new entrants were coming into the field to fill the gap.
Identifying and quantifying the issue through the research was only the first step, Hohman says. “Our biggest challenge in the area of recruitment is that our industry is the best-kept career secret out there.
This is a great business. Many of us came into the industry through different experiences, and perhaps more by happenstance than by design, but the reality is that we have all chosen to stay in the business.”
The CIP Society is now trying to convey this reality to prospective industry talent. The Career Connections program has already brought Insurance Institute ‘ambassadors’ to more than 50 high schools, and the Institute is currently in the process of “taking it to the next level,” Hohman says. “We’re currently developing new messaging and tools that will help us to reach young adults more broadly, beyond just high school students.” These include people who are looking for a career change, as well as newcomers to Canada.
At the same time, the Institute is working on Phase 2 of its demographic research, with an anticipated completion time of Spring 2009. “It’s intended to examine in more detail some of the industry [segments] that seem to experience a higher level of turnover, as wells as to look at what are the drivers that lead to effective recruitment and retention strategies.”
Hohman holds to the belief that developing talented, knowledgeable and passionate people for the industry is absolutely paramount. “Certainly in my experience people make all the difference in the success of an organization and to the industry,” he maintains. “We need qualified individuals who can excel at delivering the insurance promise to consumers. We need leaders who can chart the course for their organizations and the industry, but in a way that’s nimble and proactive and responsive.”
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“Many of us came into the industry … perhaps more by happenstance than by design, but the reality is that we have all chosen to stay in the business.”