How Insurance Can Attract the Talent it Needs

Together.Again. FinanceMalta meets Insurance | How Insurance Can Attract the Talent it Needs

The insurance industry could tap a €2 million training fund launched by the government to train sector employees.

How can Malta’s well-performing insurance industry attract the right talent in a tight labour market? This was one of the questions being discussed at the recent Together. Again. FinanceMalta meets Insurance event, which analysed the current status of the insurance sector in Malta. Developing industry-specific training, recruiting professionals from abroad as well as raising awareness about insurance as an interesting career were mentioned among the measures that could help the sector attract and retain the talent it needs to continue on its growth course.

• 10% Growth

The insurance sector has long been enjoying growth, and despite the pandemic, the sector industry has shown remarkable resilience. According to Ray Schembri, Head, Insurance and Pensions Supervision at the Malta Financial Services Authority (MFSA), the MFSA authorised seven new insurance companies in 2021, and two more licence applications are in the pipeline. “That’s quite a significant number and accounts for more than 10% of growth in the total number of insurance companies.”

• Training Fund

Hon. Clyde Caruana, Malta’s Minister of Finance and Employment explained that in 2020 the sector’s Gross Value Added per employee stood at €82,000, which is way above the general average of €30,000 for the Maltese economy. He also mentioned that Government is launching a €2 million fund to support training and educational initiatives designed by industry itself. He invited the insurance community to submit a proposal for insurance-specific training, which could be financed through this fund. “The purpose of this training fund is that sectors like insurance can have their own courses or academy,” the Minister said.

• Highlighting Insurance as Career Choice

Dr Matthew Bianchi, Malta Financial Services Advisory Council Sub-Committee Chair and FinanceMalta Deputy Chairman, said that the industry is keen on facilitating better access to courses and training so that employees can grow their skills and knowledge. He also mentioned that the sector is very busy, which is a good and reassuring sign for graduates and young professionals looking to join a strong and dynamic industry.

• Attracting Foreign Talent

“Improving human talent is important,” Romina Soler, Partner and Insurance Leader of PwC Malta, agreed. She also believes the sector needs to get back to the drawing board and design new educational and training programmes. “But in the short-term,” she said, “we will still need to import professionals from abroad. So, we also need to think about a fresh set of incentives for people to come to Malta.”

• Into the Future

Malta’s insurance sector has been on an upward trajectory since the country joined the EU in 2004. On the back of its highly developed regulatory framework, Malta is expected to continue to attract international insurance firms looking for an EU base. The industry is also working on strengthening its offering for the use of Reinsurance Special Purpose Vehicles, with the aim to gain a greater share of the cat risk market in the years to come.