A line from British folklore says, “Old soldiers never die, they just fade away.” What if we could apply that idea to the insurance industry, which is facing a wave of retirements by Baby Boomers? What if, instead of fulling retiring, many Boomers moved into what Sharon Emek, CEO of WAHVE, a talent agency, refers to as “pre-tirement” and continued working 20 -plus hours a week?

That possibility makes a lot of sense to me. An underwriter with expertise in an important niche would be great to keep on, even on a part-time basis. Same with a broker who has a longstanding relationship with a key client. Claims professionals could help not only in areas of expertise but just with the sheer volume of work that needs to be handled.

As Sharon notes in this month’s interview, many people like the idea of continuing to work part-time. That way, they don’t have to go cold turkey on their wages. They also stay engaged mentally and perhaps socially, especially if they continue with their current employer and work with the same group of people.

Part-time work can be tricky to manage, both in the short term (what if the expert isn’t available when a pressing need arises?) and in the long run (that key client relationship has to be transferred to the next generation some time). And artificial intelligence will increasingly capture the knowledge that workers develop over their careers, meaning that less of it simply walks out the door when people retire. The industry must also, somehow, start doing a better job of attracting young talent.

In the meantime, though, in the face of the talent shortage that the wave of retirements is creating, every option should be on the table, and the “pre-tired” could be a real help.

Cheers,

Paul

P.S. Americans likely associate the “old soldiers never die” line with Gen. Douglas MacArthur, who used it in his retirement speech to Congress in 1951, but I’m not sure he’s the best example of fading away. He was forced to retire because of blatant insubordination – as commander of the allied forces in the Korean War, he publicly advocated for expanding the war into China and tried to provoke China, despite a firm policy by President Truman that the war should be confined to the Korean Peninsula. So he didn’t “fade away” from the military. He was cashiered. In any case, a British song originated the line about old soldiers some 40 years before MacArthur made it famous in the States.

Paul Carroll

The insurance industry has been operating under projections that approximately 400,000 professionals will retire soon, meaning that an awful lot of knowledge as well as an awful lot of people will be walking out the door. What can we do?

Sharon Emek

The insurance industry is challenged because we don't have enough young people still coming into the industry. There's now become sort of a bias by companies against young people. I hear it from my clients all the time. Young people don't have the same work ethic. They're nine to five. They don't put in the extra effort. Within a year, they want a promotion and a raise. Then they move on.

On the other hand, with the older generation, first of all, we're living longer. People have to work beyond 65. So retirement is a conversation the industry needs to have.