The U.S. insurance industry added 6,900 jobs in January compared to December, according to preliminary data from the Bureau of Labor Statistics (BLS).
Insurance carriers and related businesses employed over 3.04 mn people in January, about 60,000 more than the 2.98 mn jobs recorded in January 2024, reflecting an increase of approximately 52,700 jobs
Hiring slowed in January compared to December 2024, when the industry added 13,300 jobs.
The unemployment rate within the insurance carriers and related activities sector stood at 3.1% in January 2025, a slight decrease from the 3.2% reported in December 2024.
In December 2024, employment gains were observed across various industry segments:
- Agencies and brokerages: Added 10,100 jobs.
- Direct property and casualty carriers: Increased by 2,700 positions.
- Direct life, health, and medical carriers: Gained 200 jobs.
- Pharmacy benefit managers and third-party administrators: Each added 500 jobs.
- Reinsurers: Increased by 200 positions.
Conversely, declines were noted in:
- Direct title and other direct insurance: Decreased by 300 jobs.
- Claims adjusting: Reduced by 500 positions.
Total nonfarm payrolls increased by 143,000 jobs in January, with unemployment dropping to 4%, the BLS reported. Growth came from health care, retail, and social assistance, while hiring slowed in mining, quarrying, and oil and gas industries.
After annual population control adjustments to the data, the unemployment level fell by 142,000, according to Stephen Cooper, executive director and senior economist at the National Council on Compensation Insurance.
Labor turnover remains low, indicating a stable job market with little movement, a sharp contrast to the volatility seen during the pandemic.
Stephen Cooper, executive director and senior economist at the National Council on Compensation Insurance
The BLS reports insurance industry payrolls each month on a seasonally adjusted basis alongside total nonfarm payrolls. However, industry-specific employment data, categorized by carrier and noncarrier segments, is only available on an unadjusted basis for the prior month.
Looking ahead, projections indicate a 0.58% growth in insurance jobs over the next 12 months. The life and health sector is expected to experience a 1.49% increase in employment opportunities, while the property and casualty sector is projected to see a 0.26% rise.
From November 2024 to December 2024, five of the seven insurance industry sectors added jobs. Agencies, brokers, and related businesses led with 10,100 new positions.
Direct property and casualty carriers added 2,700, while direct life, health, and medical carriers added 200. Pharmacy benefit managers, third-party administrators, and the claims adjusting sector each gained 500 positions, while reinsurers added 200.
Direct title and other direct insurance jobs declined by 300, and claims adjusting jobs fell by 500, according to BLS data.
These trends suggest a stable and gradually expanding employment landscape within the U.S. insurance industry for 2025.
