2024 Insurance Commercial Real Estate Trends to Watch
5 trends that will shape the insurance industry and its workspaces
- Elsa Wilson
- Sarah Bouzarouata
- Amber Schiada
Insurance CRE executives are focused on portfolio optimization, attracting talent, workplace transformation and sustainability – and the potential of harnessing technologies, like artificial intelligence (AI), as a positive change agent to spur innovation.
Currently, compared to the labor force, the insurance industry is roughly ten percent behind capturing employees under 35. To compete with tech and insurtech firms, insurance organizations must create a work environment that appeals to young employees, providing in-person collaboration, mentorship and flexibility. As older employees retire, the industry will need to offer new spaces and experiences to attract and retain Gen Z talent.
Insurance companies must strategically reassess their space needs , considering factors like cost-savings, customer and employee experience, access to skilled talent, and location costs. With the rise of AI, insurance companies must also adapt their location strategies to be present in AI talent hubs and reconsider the necessity of tertiary office locations. Creating a workplace that maximizes collaboration, productivity, and innovation is crucial to energize employees and attract a new generation of talent.
As the financial services and insurance sectors lead in meeting carbon targets, competition for sustainable space is expected to increase. Insurance companies should prioritize managing their greenhouse gas emissions and adopt standardized methods for setting goals.
The industry must also prepare for the transformative impact of AI on key insurance processes and invest in advanced technologies and a skilled workforce. This will require reskilling and upskilling employees and creating a culture of continuous learning and innovation.
Learn strategies to prepare for these shifts by downloading and exploring the five trends driving the insurance industry in 2024:
Attracting the next gen workforce
Portfolio optimization
Holistic workplace experience
Acting now to keep pace with net-zero goals
Adapting the business for AI transformation
