The insurance sector’s woeful gender pay gap statistics is a reflection of the imbalanced representation of men and women at senior levels, according to analysis from the Chartered Insurance Institute.
The CII has analysed all 192 insurers, intermediaries, service providers, financial advisors and loss adjusters in the UK that have published pay gap data, and identified an average gender pay gap of 24% for insurers and 23% for intermediaries, measured as median hourly difference.
The body found only three companies have a pay gap in favour of women and that a near equal proportion of men (69%) and women (67%) receive a bonus.
However, the body found the difference in how much is paid out in bonuses is significant – the median gap is 42% and the mean gap is 52%.
Much of the disparity is a reflection of the imbalanced representation of men and women at senior levels, the CII said, with far fewer women in roles at a senior level, which impacts on salary and bonus values.
The CII is calling for a step change, encouraging the development and sharing of good practice to address the root causes of the gap.
The CII’s Insuring Women’s Futures programme has prioritised the development of a flexible working good practice to help employers to improve career potential for both men and women carers – identified as a key cause of the gender pay gap.
Tali Shlomo, people engagement director at the CII, said: “The CII has a responsibility to not only recognise the existence of the gender pay gap in our profession but lead the way as a champion to ensure change happens.
“Without under-playing the urgency of addressing this disparity, the pay gap itself cannot be fixed over-night. We must develop good practice in the tools and methods that are effective in addressing the root causes of the gap, and we can start that now.
Shlomo added: “The CII will continue to identify and collate good practice for the benefit of the profession and for society as a whole. We are not looking to name and shame individual firms but to work in collaboration with the sector as a whole in order to address the root causes of the pay gap.
“We need to attract more women into the profession, then encourage, empower and develop them to achieve their potential.”
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