Key figures from the Association of British Insurers’ latest Diversity, Equity and Inclusion (DEI) data collection highlight the work of insurers and long-term savings providers to improve gender representation, ethnic minority representation and socio-economic diversity across the sector.
While the data represents continued progress against the objectives set out in the ABI’s DEI Blueprint, a range of factors have led to an overall decline in apprenticeship offerings across the sector, hindering further development in this area.
Proportion of companies measuring social mobility data up 18% from 2022
More than half (51%) of firms captured social mobility data in 2023 compared to 33% in 2022. The most commonly collected social mobility measure is parental occupation when employees were aged 14, with 35% of firms capturing this data1.
Proportion of women on executive teams increased by 3% to reach 32% in 2023
The proportion of women at senior manager and director level also rose from 29% in 2022 to 32% in 2023, with representation at board level remaining stable at 32%. Representation at manager level fell slightly from 47% to 46%.
The vast majority of firms demonstrated a continued commitment to improving gender representation, with almost 80% working collaboratively with organisations to facilitate and support gender inclusive initiatives and 77% setting targets for representation of women at senior manager level.
Ethnic minority representation increased overall but more action needed at executive level
Representation of staff with mixed or multiple ethnic group backgrounds and those with Asian or Asian British backgrounds increased at most seniority levels. Overall ethnic minority representation is now at 11% across firms – up from 10% in 2022.
While the proportion of Black, African and Caribbean staff remained stable, the distribution changed slightly, with the data showing more representation at entry level and less representation at senior management level.
This suggests that firms may need to take a more nuanced approach to improving representation of specific ethnic minority groups, acknowledging that people from different background may need to be attracted to and supported within the industry in different ways.
Overall progress is slowing on apprenticeships, but more firms now offering insurance-specific schemes
In 2022, the ABI committed to doubling the number of apprenticeships to reach 2,500 by 2025. The data shows that 53% of firms now offer insurance specific apprenticeship schemes, representing a 5% increase from 2022 figures (48%). However, despite this improvement, the total number of apprenticeship starts has reduced by 13%, from 1,603 in 2022 to 1,399 in 2023 meaning the ambitious industry target will not be met.
Although many firms have successfully utilised the apprenticeships system to support potential and existing industry professionals, there are several barriers that have stifled further progress. These include the complexity of the Apprenticeship Levy Rules and the rigidity of the apprenticeship standards which are not currently aligned with how businesses operate.
The ABI remains committed to ensuring that the industry is able to attract a skilled and diverse workforce and will continue to engage with members, government and stakeholders to ensure skills policy, including the Government’s new Growth and Skills Levy, meets the evolving needs of the sector.
“Two years on from the launch of our DEI Blueprint, our new data shows continued advancements in the insurance and long-term savings industry towards a more diverse and inclusive workforce. “However, we have also seen a concerning steady decline in apprenticeship numbers which reflects the rigidity and complexity of the Apprenticeship Levy. The Government’s new employment reforms and the Growth and Skills Levy present an opportunity to enhance training provision and open up important opportunities across our sector, and we will engage with government to understand further details. “We will continue to work with our members and stakeholders towards the mission of our Blueprint – for the insurance and long-term savings industry to become to most diverse, equitable and inclusive sector in the UK economy.”
Yvonne Braun
Director of Policy, Executive Sponsor for Diversity, Equity and Inclusion at the ABI