As organizations balance the effects of the recession, insurance companies see similar pay range adjustments to prior years while the time between adjustments grows longer, according to the 2011 Compensation Data Insurance results. The actual pay range adjustment of 1.5 percent in 2011 remained very similar since 2010, but came in below the projected 1.7 percent for last calendar year.
Pay range adjustments are beginning to occur less often, with an average of 14.6 months since the last adjustment reported in 2011. The year before, participating organizations indicated waiting 12.6 months between adjustments. However, timing varies among industry categories. Agents, brokers and insurance services reported 16.4 months since the last adjustment, but carriers waited almost 16 months to adjust pay ranges.
“In light of the volatile economy, many employers are continuing to stay cautious,” said Amy Kaminski, director of marketing for Compdata Surveys, the nation’s leading pay and benefits survey data provider. “A conservative approach may soon become the norm instead of the exception for many organizations.”
Employers also vary in how they treat employees going over the range maximum. According to the results, more than 71 percent of insurance organizations reported withholding increases. However, 62.5 percent of participating agents, brokers and insurance services reported withholding increases while nearly 72 percent of insurance carriers did so in 2011. The results also indicated 59.2 percent of insurance companies offered lump sum increases in 2011.
About the Survey
Compensation Data 2011 Insurance surveyed 115 industry-specific job titles and 350 benchmark titles ranging from entry-level to top executives. Data was collected from more than 200 insurance employers reporting on 1,750 locations across the country. The results provide a comprehensive summary of pay data, benefit information and pay practices with an effective date of January 1, 2011.
Compdata Surveys is the nation’s leading compensation and benefits survey data provider. Thousands of U.S. organizations provide data each year ensuring the reliability of our results. Compdata Surveys has been providing comprehensive data at affordable prices to organizations from coast to coast since 1988. For more information about our compensation and benefit surveys, contact Michelle Willis at (800) 300-9570.