Carriers continue to face ongoing challenges in attracting and retaining skilled talent, with the issue placing increasing pressure on the industry as claims grow in both complexity and volume.
Our annual whitepaper, The Carrier Perspective: 2026 Claims Insights, saw North American respondents cite talent attraction and retention as the top business challenge (18%) for the second year in a row, with the issue also ranking first globally (68%), up from seventh in 2025.
These findings highlight the sustained pressure talent shortages are placing on carriers, as workforce gaps continue to drive operational constraints across the industry.
The Increasing Impact of Workforce Loss on Claims Expertise
A key driver of the talent shortage North American carriers are facing is an aging and retiring workforce.
Retaining experienced employees offers a level of valuable institutional expertise, stronger decision-making capabilities, and greater operational continuity. However, as highly skilled professionals continue to exit the workforce, organizations are being left with critical skills gaps that can impact performance and long-term business success.
In an ever-evolving industry where legal pressures and social inflation continue to drive claims complexity, expert knowledge in claims management has become even more important. Gallagher Bassett (GB) data demonstrates that nearly two-thirds of North American respondents (64%) have seen rising claims complexity in the past 12 months, with 46% percent of North American respondents also reporting shortages in specialized or skilled case management.
Replacing specialized expertise is significantly more challenging than simply expanding your employee pool, and the ongoing loss of experienced talent without an effective succession plan can impact operational efficiency, service delivery, and overall business outcomes.
We break down some of the strategies carriers in North America are employing to close the expertise gap that the aging workforce is leaving in its wake.
Balancing Attraction and Retention Through Compensation Strategies
In response to the threat of an aging workforce leaving the industry with a lack of expertise, North American carriers are adopting a range of attraction and retention strategies, shifting from short-term incentives to providing longer-term gain and investment.
In place of offering flexible work arrangements which was adopted by 61% of North American respondents in 2025, North American carriers are switching to strengthening compensation-related strategies with 52% of carriers now offering higher wages or bonuses as an attraction and retention lever.
This strategic pivot suggests that flexibility has now become an expectation rather than an incentive, while offering higher wages or bonuses is a two-pronged strategy that approaches the attraction and retention issue from both sides, and it is now the second most common tactic being deployed amongst carriers in 2026. As an incentive, it effectively attracts younger talent to claims management roles and motivates upskilling, training them into specialized case managers, while increased wages and bonuses are a retention strategy for older workers, shifting retirement patterns to later.
Investing in Skills to Support Complex Claims and Underwriting Demands
While investment in higher wage and bonus offerings sits as the second most adopted strategy for solving talent shortages, investment in training and development is now the dominant approach, prioritized by 58% of North American carriers.
Investing in comprehensive training that extends beyond mandatory compliance requirements and embedding structured knowledge and guidance as a core part of onboarding equips carriers to retain the talent needed to manage the rising complexity across claims and underwriting. Adequate operational onboarding for new recruits could be the difference between having an extensive group of up-and-coming talent who are knowledgeable in complex claims areas and being left with major gaps in skills that weaken financial and operational resilience.
INVESTing in Emerging Talent to Strengthen Industry Capability
At GB, continued investment in our people and their development has always been a core priority. By building a strong foundation of well-equipped professionals, we have been able to safeguard our ability to support clients and partners in achieving superior outcomes and provide them with valuable workforce reinforcement that plugs the talent gaps currently afflicting the industry.
One key example of how we are nurturing the next generation of talent is our Industry Navigation, Values, Education, Skills, and Training (INVEST) Emerging Talent Program. INVEST is a pipeline for rising claims professionals to cultivate their skills in the risk and insurance industry, offering a seamless blend of advanced education, hands-on experience, and guided mentorship that ensures participants don’t just learn how to manage claims, but also learn how to advocate, communicate, and lead.
INVEST is based on a progressive learning methodology consisting of:
Educate: Participants learn foundational theory.
Sandbox practice: Participants apply their knowledge in a simulated environment.
Demonstrate: Through repetition, participants gain hands-on experience by assisting with simple, straightforward losses.
The INVEST program offers two distinct pathways, the Guidance Pathway and the Guardian Pathway, which provide a launching pad based on current skills and experience. The Guidance Pathway supports individuals entering the industry by developing foundational skills through exposure to straightforward claims and guided operational experience, while the Guardian Pathway prepares high-potential graduates to manage more complex claims requiring stronger analytical thinking, judgement and stakeholder engagement. Together, they create a clear progression model that supports early talent development and long-term career growth within the organization.
INVEST is GB’s commitment to the industry, our talent, our partners and clients, designed to be mutually beneficial to both participants and clients. The program nurtures an influx of highly skilled claims managers to address talent gaps forged by the aging workforce with groups of new client-facing experts who excel in both technical execution and relationship management to deliver superior outcomes for clients.
Connect with us today to learn more about how a strategic partnership with us can help your business overcome talent shortages and unlock new opportunities for growth.
For more industry insights download your complimentary edition of The Carrier Perspective: 2026 Claims Insights now.
