There are two main functions of insurance companies. The first is underwriting which is measurement and calculation of risk and the second is investment which is utilising the surplus of premium collected over claims paid. In underwriting, the degree of likelihood that the insurance company has to make a payout on a claim is calculated and the quantum of premium fixed accordingly. This is a crucial aspect of insurance companies as high payouts on low premium policies can adversely impact profitability.
Given this scenario, here are some of the job opportunities in the insurance sector. In most of the jobs, you can either choose to be connected with an insurance company or be an independent free lancer with your own office set-up. If the first option is your choice, you can contact the local employment agency for job openings. For example if you are residing in the State of Victoria, Australia, you may send your resume with choice of job in the insurance sector to agencies specialising in labour hire employment in Melbourne.
- Actuary – An actuary draws upon his skill and e3xpwerience to forecast the degree of risk in writing insurance policies in a wide range of areas – property, health, automotive and business. Statistical and mathematical data as well as societal trends are taken into account by actuaries for fixing insurance premiums. It is actuaries that have stipulated that the premium for insuring a vehicle driven by a 25 year old should be more than that driven by a 50 year old and not without reason too. Young drivers are more prone to breaking speed limits than the elderly. As an actuary you can be a part of an insurance company, Government or third party advisors.
- Claims adjuster – Adjusters are people who negotiate with people to determine the quantum of claim in case of a loss. He is the key to reaching a settlement between all parties and ensures that the ultimate figure is fair to all. To be successful as a claims adjuster you have to have good man-management and communication skills and be tactful with people. You can opt to be an employee of an insurance company or work out from your own office. It pays in this field to have a fair idea of the legalities of claims settlement.
- Agent and broker – An agent is the first link between the insurance company and the insured. He will advise people on how best to protect their property or assets and which policy will optimise their needs. He will also be the first person who will be contacted in case of an accident or fire or injury. As a broker, you should have a good control over insurance contracts. This is a very financially rewarding occupation and is a very good job if you love interacting with people. Must have a flair for sales and marketing.
- Underwriters – Underwriters decide if it is prudent to provide insurance coverage to applicants. He will evaluate the exposure to risk of the applicant to determine if the insurer’s standards are met. Further, an underwriter often takes the responsibility of setting the insurance price for applicants. To be in this vocation you should have a great deal of analytical skills and have a good hold over human behavioural tendencies.
Apart from these main job opportunities, you can also try to be a loss control specialist, service representative and risk manager. All of these are highly paid and lucrative career options.