Leading 5 Generations of Insurance Professionals: The Case for Embracing Individuality Over Stereotypes

For the first time in history the US workforce is made up of five distinct generations: the Silent Generation, Baby Boomers, Gen X, Millennials, and Gen Z. This creates both opportunities and challenges for leaders already struggling to fill a massive insurance talent gap amidst an industry-wide crisis.

In this feature in our series on Employee Experience, we’ll explore the generalized view of the five working generations and explain why embracing individuality over stereotypes is essential to attracting and retaining top insurance professionals, both seasoned and new.

A Brief Overview of the Five Generations

Traditionally, the five working generations and their preferences, traits, and communication styles are summed up as follows:

Silent Generation (1928-1945): Born in the shadows of the Great Depression, their formative years were defined by economic hardships and World War II. They are generally perceived as hardworking and disciplined. Silent Gen employees prefer to communicate directly and value obedience over individuality.

Baby Boomers (1946-1964): Post-WWII optimism led to a population boom, giving birth to this ambitious and competitive generation. They are often deemed ambitious and team-centric. Boomers prioritize job security, loyalty, and respect for authority. Like the Silent Generation, they prefer direct communication over email.

Gen X (1965-1980): Positioned between two large generations, Gen X witnessed the technological revolution and rise of personal computers. Often referred to as the “middle child,” they’re considered independent and resourceful. Gen X is focused on healthy work-life balance. They prefer the most efficient communication style, whether that be phone call, email, or otherwise.

Millennials (1981-1996): Digital natives shaped by 9/11 and the Great Recession, Millennials value flexibility, work-life balance, and social responsibility. They enjoy challenges and are driven by opportunities for development and growth. Millennials prefer to communicate via chat, text, or email.

Gen Z (1997-2012): The latest entrants to the workforce, they grew up in a hyper-connected world and are pragmatic, diverse, and entrepreneurial. Gen Z is motivated by meaningful work, individuality, and innovation. As the most digitally connected generation, it’s no surprise that Gen Z cohorts are more attuned to communicate via instant message, text, and social media.

Generational distinctions, while rooted in studies and research, offer generalized perspectives that can provide valuable insights into the preferences, values, and motivations of various age groups. However, it’s important leaders approach these observations with an open mind and a dose of caution, as every individual employee is shaped by a myriad of experiences, backgrounds, cultures, and personal choices outside the confines of traditional generational labels.

The Pitfalls of Generational Stereotyping

To avoid overlooking unique strengths and the risk of misaligning with your employee’s needs, it’s important for insurance leaders to consider the individual. Not every Millennial is tech-savvy, and not every Baby Boomer is a technophobe.

The bottom line is while it’s helpful to acknowledge the common threads that might exist within a generation, it is essential to remember that an individual’s character, values, and identity are multi-faceted, and by squeezing employees into these boxes, companies might miss out on valuable insights from unexpected sources.

Embracing Individuality Over Stereotypes

So how can insurance leaders begin to shift their focus towards individuality while simultaneously managing the most diverse workforce in history? Leverage employees’ unique strengths by opening communication, creating inclusive training programs, and increasing flexibility in the workplace. These three strategies are small, yet powerful, steps insurers can take to improve performance, engagement, and overall experience across the organization. Let’s explore:

Encourage Open Communication

The benefits of effective, open workplace communication are immense and impact a broad range of organizational metrics including employee happiness, productivity, customer satisfaction and more. Consider these strategies to create opportunities for open, honest dialogue:

Feedback Platforms

Implement digital platforms where employees can give and receive feedback anonymously, ensuring honest input that leaders can act upon. Conducting periodic surveys is another way to get a clearer view of how engaged and satisfied your employees truly are.

Regular Check-Ins & Open-Door Policies

Encourage managers to have regular check-ins with their teams. A study by Gallup highlights that employees who feel their managers are genuinely interested in their wellbeing are more likely to be engaged.

Cross-Gen Mentorship Opportunities

Foster a culture where younger employees can learn from the seasoned experiences of their senior counterparts, and older employees can gain fresh perspectives from younger colleagues. Such programs can be instrumental in breaking down generational barriers, encouraging knowledge sharing, and building mutual respect.

Only 13% of employees strongly agree the leadership of their organization communicates effectively with the rest of the organization
Gallup

Create Inclusive Training & Development Programs

It’s no secret that the insurance sector has been undergoing a rapidly accelerating digital revolution over the past 15 years. Ensuring that all employees are not only comfortable with, but also adept with new tech, automation, and migration to new platforms, is critical to successful transformation.

When it comes to training, one size does not fit all. Some employees might require basic training, while others might need more advanced, comprehensive sessions. It’s also tempting to believe that younger employees are naturally tech-savvy and older ones might struggle, but this isn’t always reality. To develop inclusive learning and development, design modular training programs that cater to different proficiency levels to ensure everyone progresses at their own pace without feeling overwhelmed or under-challenged. Additionally, multigenerational training cohorts encourage knowledge sharing and give employees the opportunity to learn from each other.

Increase Flexibility in the Workplace

Recognize that every individual, regardless of their generation, values flexibility differently. It’s also a mistake to make age-related assumptions about those values. For example, a study released by BambooHR found that offering flexible work arrangements can appeal to both younger workers seeking work-life balance and older generations desiring phased retirement.

41% of Baby Boomers report they would prefer to work from home, while 27% of Gen Z, 28% of Millennials, and 33% of Gen X would prefer remote work
BambooHR Study, AARP

Offering a flexible workplace builds employee trust, boosts productivity, improves work-life balance, encourages employee autonomy, and increases loyalty and retention. A study from Stanford University highlighted that work-from-home opportunities led to a 13% performance increase, citing improved work satisfaction and fewer breaks and sick days as factors. Additionally, employees who spend at least some time working remotely have higher engagement levels than those who don’t.

While it’s not always feasible to implement a work-from-home model for all companies or all roles, it’s worth evaluating the current state of your workplace and determining if there’s an opportunity to develop a more flexible approach to “the office” and what that means to your organization and your employees:

Conduct a Flexibility Audit

Before implementing changes, examine the status quo. Start with a survey to identify needs and preferences, then utilize this data to craft appropriate policies around the feedback.

Empower Employees with Modern Technology

Invest in technology that facilitates remote work and collaboration.

Redefine Performance Metrics

Instead of assessing performance based on time spent in the office, shift to outcome-based metrics. Focus on what gets done rather than where it gets done. This not only supports flexibility but also promotes accountability.

Trust Your Employees

Trust is fundamental in a flexible work environment. Leaders should trust their teams to manage their time effectively and meet deadlines. In return, employees in trusting environments are more likely to stay longer and report higher satisfaction.

Periodic Reviews and Feedback

Regularly review the flexible working policies in place. Gather feedback from employees to understand what’s working and what needs improvement, ensuring policies remain relevant and effective.

Better Employee Experiences for All

The multi-generational makeup of today’s workforce presents both unique challenges and opportunities for insurance leaders. Recognizing and valuing individuality over broad generational stereotypes will be pivotal in ensuring companies attract, engage, and retain the best talent across all age brackets. As technology continues to evolve and reshape the industry, it’s the human aspect – understanding, communication, and adaptability – that will set successful organizations apart.

Leaders must strike a balance between acknowledging generational tendencies and leveraging each employee’s unique strengths and experiences. By embracing flexibility, encouraging open communication, and offering inclusive training programs, insurers can begin to close the talent gap and deliver greater experiences for all employees.

Connect with True to learn how our veteran team of insurance technologists can ease transformation with user-friendly workers’ comp policy and claims administration solutions backed by best-in-class implementation, training, and support.