A recent survey of younger agents highlighted a generally optimistic view of the future. In addition to reflecting positive sentiments about economic prospects, they also appear to feel good about the security of their positions, given the significant number of current producers that are expected to retire from the labor force. The average age of an agent in the United States is greater than 59 and there are forecasts of up to 25% of the current population of agents planning to retire by the end of 2018.

While there may well be room for optimism for those who properly frame a career in insurance distribution, the likely reality is that carriers will need far fewer agent relationships in the future. Increasing focus on self service capabilities, desires from consumers to be able to have direct interaction with the companies they do business with and greater commoditization will all put pressure on the industry to do things in a more efficient, less labor intensive, fashion. Distribution will hardly be the only function to experience this pressure. More automated underwriting and automated claims adjudication are two other examples.

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