38 ID Trends NAILBA
New LIMRA study :
What ’ s motivating people to this career ?
A recent LIMRA study finds most financial professionals with less than five years are satisfied with their career path . Eight in 10 say they are either “ very satisfied ” or “ somewhat satisfied ” with their role so far . Yet , the study also suggests recruiting practices have room to improve .
LIMRA surveyed 355 financial professionals with less than five years of experience to learn what motivates them , if their experiences met their expectations , if they are satisfied with their new career and whether they plan to stay .
Laura A . Murach , ACS , LLIF , FLMI , manages LIMRA ’ s insurance and investment intermediary / third-party distribution research program . She and her team conduct various research studies related to independent producers , wholesalers , and other distribution intermediaries including BGAs / IMOs , broker-dealers , wirehouses , and financial institutions .
Top motivators
Within the focus groups , agents discussed the importance of having a passion for helping people . The top three motivators for choosing a sales career in financial services were : 30 % make a difference in people ’ s lives 25 % income potential 17 % work / life balance
Meeting expectations ? Largely , financial professionals reported their experiences aligned with their pre-career expectations . According to the survey , financial professionals said their role meets or exceeds their expectations for making a difference in people ’ s lives and work / life balance . However , their experience fell short with regards to income potential where almost half reported their expectations were unmet . Prior LIMRA research suggests new candidates may not clearly understand the challenges involved with the role , including difficulties in building and maintaining a client base .
Has your career met these expectations thus far ? ( by top 3 reasons )
1 % Not met
48 % Met
51 % Exceeded
Opportunity to make a difference in people ’ s lives
48 % Not met
32 % Met
20 % Exceeded
Income potential
7 % Not met
51 % Met
43 % Exceeded
Work / life balance
Source : LIMRA
Transparency in recruiting
There also appears to be a gap between candidates ’ understanding of the job and the reality they face in the field . In the survey , participants said recruiters need to be more honest and upfront about the difficult aspects of the role . Recruiters and hiring managers should be forthcoming about these challenges to avoid creating frustrations and disappointment and ultimately attrition . This will create an environment where new financial professionals can have greater job satisfaction , increasing the likelihood of them remaining in the career .
Despite the fact that more than half surveyed reported disappointment with regard to their income potential , a large majority – 85 % – say they will “ probably ” or “ absolutely ” stay in their current position for at least three more years . And , 7 in 10 would recommend this career to a young job seeker .