Jobs Report: US Insurance Industry Posts Decade-High 13,900 Job-Increase in January
February 10, 2015 by Jeff Jeffrey, Washington Bureau manager: jeff.jeffrey@ambest.com
WASHINGTON – The U.S. insurance industry posted a 10-year high job increase in January, adding 13,900 jobs, according figures released Feb. 6 by the Bureau of Labor Statistics.
The 0.55% seasonally adjusted increase marked a sizable jump over the job growth the industry saw in December. According to updated figures released by BLS, the industry added 5,700 jobs between November and December. BLS had previously reported the industry added 4,200 jobs in December (Best’s News Service, Jan. 9, 2015).
That said, December’s growth marked a dip in the recent surge of hiring the U.S. insurance industry has seen over the past few months.
In November, the industry added 11,000 jobs. That was the highest uptick in 10 years until this month’s jobs report.
Industry employment, which currently stands at 2.5 million, has increased by 93,800 jobs since January 2014.
Nationally, total nonfarm payroll employment rose by 257,000 in January, and the unemployment rate was little changed at 5.7%. BLS said job gains occurred in retail trade, construction, health care, financial activities and manufacturing.
Jason Furman, chairman of the White House Council of Economic Advisers, said in a statement January marked the 11th-straight month that job gains exceeded 200,000.
For the insurance industry, total payrolls are reported each month on a seasonally adjusted basis, along with the current month’s nonfarm payrolls. Separately, data by industry segment — broken out by various insurance carrier and noncarrier categories — are available only on an unadjusted basis for the prior month.
Between November and December, most industry sectors added jobs. Employment rose in life (up 0.34% to 351,400 jobs); health (up 0.47% to 507,700 jobs); title insurance (up 0.4% to 76,100 jobs); agents/brokers (up 0.4% to 728,500 jobs); and third-party administration of insurance funds (up 0.57% to 176,700 jobs).
Sectors that saw employment decrease included property/casualty (down 0.06% to 524,500 jobs); reinsurance (down 0.79% to 25,000 jobs); and claims adjusting (down 2.28% to 51,500 jobs).
On a year-to-year basis, all but three industry sectors saw an increase in employment since December 2013. Employment rose in life (up 2.69% from 342,200 jobs); health (up 5.49% from 481,300 jobs); property/casualty (up 1.33% from 517,600 jobs); agents/brokers (up 4.68% from 695,900 jobs); and third-party administration of insurance funds (up 5.3% from 167,800 jobs).
Those that fell since last December were title insurance (down 0.65% from 76,600 jobs); reinsurance (down 4.21% from 26,100 jobs); and claims adjusting (down 2.83% from 53,000 jobs).
In terms of wages, only two industry sectors saw an increase in average weekly earnings since December 2013 — title insurance (up 16% to $1,373.44) and reinsurance (up 3.75% to $2,346.71).
However, wages were down in life/health (down 2.46% to $1,346.28); property/casualty (down 1.91% to $1,334.41); agents/brokers (down 6.16% to $1,090.67); claims adjusting (down 13.08% to $1,191.50); and third-party administration of insurance funds (down 4.35% to $1,151.49).
