Creating a culture of gender equality

[ad_1]

Supporting women’s leadership in insurance is both an ethical and a strategic priority. However, as the research we presented in the previous blog in this series shows, there is still a long way to go for the industry. The path of women’s leadership must be encouraged at all levels of the insurance workforce and supported by an inclusive culture of gender equality. Leaders in the European insurance sector are already taking significant steps to encourage women to lead, setting goals to close the pay gap, eliminate hiring bias and achieve measurable results at senior management level and across the organization. Let’s take a closer look at how current research ranks insurance in terms of gender equality and what the leading insurers in the region are doing to make it a priority.

A broader view of the industry

The latest report on the Gender Diversity Index for European Women on Boards (EWOB), published in January 2022, assesses the gender diversity of 668 public European companies. Only two insurance companies – Tryg (Denmark; 15) and Admiral (Great Britain, 17) – entered the top 20 companies. Tryug also finished in 8th place.^th in companies with the highest absolute proportion of women in leadership positions. Ranked 33rd overall, Zurich is one of the top three insurers.

The report highlights that in Europe the level of governance with the highest participation of women leaders is at the board level, while the level of participation at executive levels in corporate decision-making is much lower. As of July and August 2021, the study found that female representation in senior management was only 15 percent, compared to 35 percent on the board of directors. In addition, only seven companies had a female CEO and a female CFO or COO, including the British financial and insurance services company NatWest and the Austrian insurance company Vienna Insurance Group (VIG).

In this regard, insurance rates are comparatively better than in other industries. A Swiss Re study on gender diversity in the insurance industry found that globally in 2019, women accounted for 23 percent in leadership positions, 10 percent among CEOs and just over 8 percent on company boards.

However, as these figures show, the representation of women in insurance leadership positions remains low and, despite recent progress, women are still significantly underrepresented in management and management positions in companies.

Paving the way forward

In its report, Swiss Re recommends that insurance companies set measurable gender-sensitive targets for hiring and promotions, and create a clear talent list for women in all areas of business.

Establishing a rules-based, balanced formal recruitment process for positions of responsibility is the first step towards balancing out senior employees, and at the same time, it can help fight and eliminate conscious and unconscious hiring bias, the tendency to hire people with similar backgrounds and points vision, and in the case of gender, preference for men over women.

However, addressing recruiting issues is only the starting point. In his research report “Increasing Gender Diversity in Insurance,” Spencer Stewart, Human Resources and Employment Services Consultant, also highlights the importance of signaling the value of gender diversity from above. A strong signal of support from management, especially male leaders, can lead to more business diversity.

But gender diversity leadership is about more than just acclaim or strategic goals. Spencer Stewart recommends making this a practical permanent duty. Managers should sponsor women’s careers, and companies should reward them for it.

The report also notes that the nature of the role is also important. Opportunities need to be created for women to take on key roles that will enhance their business knowledge, enable them to work across disciplines, and increase their access to and familiarity with senior company leaders. This could be a key factor in reducing traditional points of failure and allowing women to move seamlessly into top leadership positions.

In practice: what the industry does

Leading insurance companies are already working to create a work environment that provides women with equal career opportunities.

In terms of hiring, Zurich in the UK provides fair hiring training to all hiring managers and requires them to adhere to a fair hiring policy. It also targets a diverse group for hire. In 2022, Mapfre achieved gender parity (+55% female employees), with 41 percent of positions of responsibility held by women, and as the next step in its 2022-2024 strategic plan, Mapfre is committed to closing the gender pay gap . AXA also requires gender equality in recruitment processes. For example, each leadership position requires that the shortlisted candidates include at least one male and one female. And increased accountability, team diversity and gender balance are now a common goal for all AXA leaders.

Insurers are also looking to adapt working mechanisms to different contexts and life situations of people. For example, Zurich, UK has introduced flexible working hours and is open to all part-time, part-time or full-time jobs. As a result, the company achieved a 25 percent increase in the number of women applying for jobs at all levels of the business. The company is also aiming to achieve 40 percent female representation in senior management by the end of 2023, and the executive team has clear targets to achieve this.

Chubb is an example of an insurance company that nurtures talent at all levels of the business. He introduced a range of acceleration programs designed for women at all stages of their careers. These programs range from interactive sessions offering networking strategies and advice on developing rewarding mentorship relationships for women early in their careers, to programs that promote departmental and geographic relationships for women in middle management positions, and a sponsorship program that involves sponsors- managers. with very talented women to mentor and prepare them for leadership.

AXA rewards talent by launching sponsorship programs that extend across all of its divisions, with a particular focus on increasing female representation in the sales and distribution sectors, as well as among senior management (Top 250 Leaders). In these programs, each participating female leader has the opportunity to be sponsored by a member or partner of the group’s Steering Committee. The company has also set a goal of achieving gender parity across its global leadership network by 2023.

And as far as the gender pay gap is concerned, Zurich around the world is constantly reviewing equal pay for equivalent work to ensure that gender is not a factor when it comes to remuneration. The exercise analyzes differences in wage rates between men and women, including bonuses, at the global level. The results are available to the public, adding another layer of accountability. AXA also monitors the unjustified pay gap between employees in the same position and aims to achieve full parity by 2023. Mapfre has gone one step further by making closing the gender pay gap a key strategic goal of its 2022-2024 strategy. plan.

Move forward

Industry analysis shows that more needs to be done to stimulate women’s leadership in insurance. As case studies show, insurers are taking steps towards a more equal workplace. And yet, what is the experience of women leaders in the industry? In the next article in this series, I will share the views of leading women leaders in the insurance industry on their views on the state of gender equality and women leaders in their companies.

Get the latest insurance industry insights, news and research straight to your inbox.