Only 58% of insurance and banking employees are satisfied with their salaries, recruiter Hays says.

The latest Hays Salary Guide also shows specialist underwriters, technical claims assessors and risk managers are among the five most in-demand roles in financial services, and 83% of insurance employers will raise salaries at the next review.

But only one-fifth plan pay increases above 5%, while almost half of employees expect at least that.

“Moderate salary increases are no longer cutting it. The bar has shifted – employees now expect more holistic rewards including flexibility, growth and wellbeing,” Hays director Fiona Russell said.

In the past year, one-third of insurance and banking employees have changed jobs, and 61% plan to leave within the next year.  

The top three benefits sought by staff are flexible working, additional annual leave and health cover, while the benefits most offered are training, development and career progression.  

Hays says expectations are not aligned, with six in 10 workers believing they are underpaid and few non-salary benefits “truly valued”.

Dissatisfaction stems from “the level of expectations on both sides, heightened by the cost of living, the huge array and complexity of benefits available to employees, and the need for flexibility on both sides”.

The recruiter adds there is “almost too much choice”, with 25 non-salary benefits on offer but more people wanting the top two than the bottom 20 combined.

“The days of thinking a company mobile phone was exciting are long gone,” Hays said. “Flexibility is now a non-negotiable, not a perk.”

Significant salary rises are reported in compliance, risk and relationship management roles, and there is high demand for data analytics, regulatory knowledge and digital transformation experience.

Insurance professionals are advised to “know your worth but remember that meaningful benefits and opportunities for development can be just as valuable as salary”.  

Hays recommends building technical skills and choosing organisations that offer “purpose, flexibility and long-term progression – not just a short-term pay rise”.  

It adds communication, teamwork and adaptability are in high demand, not just technical ability.

Employers are advised to benchmark salaries to retain top performers, especially in high-demand technical roles, and be mindful that flexibility and wellbeing “matter more than ever”.  

“Focus on building clear and visible career progression pathways to boost engagement and reduce attrition,” Hays said.

See the survey here.