How the cyber line should source its talent

When recruiting for talent to sell cyber insurance, widening the expectations around job experience may be one place to start, suggested experts at a Gallagher Re Industry Event in Toronto.

“The space is changing so quickly that 15- or 20-years’ experience is very good, [but] it’s not necessary,” said Jason Arbuckle, head of reinsurance underwriting at AXIS Re.

The cyber line is still relatively nascent in Canada, and new talent may find themselves able to learn quickly in the still-maturing cyber line.

“Cyber offers the chance for a very steep learning curve comparative to other lines, because there’s not as much of a track record or ingrained experience to be compared against, or for us to educate the younger group of individuals to come into this space,” James Dominguez, VP cyber specialist broker at Gallagher Re observed. “The hard part is really keeping up with the daily changes and new trends that develop in an evolving market.”

While the history of the line may be in its infancy, making it easy for talent to learn its history, the threat landscape moves fast as cyber criminals develop new methods for carrying out cyberattacks. That requires industry players and new talent to stay on their toes.

For the sector, new hires with cybersecurity experience are worth their weight in gold.

“We need to be looking at different channels and schools—tech schools, colleges—and not just at candidates with insurance backgrounds but include people who are interested in the technology side of things, [or] in the cyber security side of things,” said Angela Feudo, vice president, professional solutions at Trisura.

“Who [wouldn’t] love to hire a cyber security person as an underwriter? That’s the tough part.” said Feudo. “There are lots of us in the industry that can teach them insurance. [Having] the technical piece, I think, is great.”

But further diversifying your talent pool may also prove vital for the growing industry. For example, talent with project management backgrounds may hold skills that are applicable to the cyber space, Dominguez added.

Turnover in the industry is expected to ramp up as senior leaders retire and employees leave their employers, as Arbuckle observed, meaning the industry will need to find ways to source and train cyber talent.

More specifically, 8.5% of the industry’s workforce is expected to retire in the next five years, with the majority of those (68%) happening more than two years away, particularly in management positions, senior management and mid-level managers, according to the newly released Insurance Institute of Canada’s 2022-23 industry demographics study.

The share of employees planning to leave their employer within the next five years remains at 29.7% in 2022. But five years ago, the majority of those leaving (72.5%) were staying within the P&C insurance industry. That has since fallen to 57.7% and may pose a concern for the industry, IIC reports.

 

Feature image by iStock.com/NicoElNino