College Grads Enter Real World With Caution; Job Opportunities In Insurance Industry Scarce, Competitive

Copyright 2009 Crain CommunicationsAll Rights Reserved Business <span id="x_hitDiv1"> Insurance <br> <br> <span id="x_hitDiv2">January 5, 2009 <br> <br> NEWS; Pg. 1 <br> <br> 946 words <br> <br> <br> College grads enter real world with caution; Job opportunities in insurance industry scarce, competitive<br> <br> JEFF CASALE <br> <br> <p></p> When Eric Tonn took a summer internship with a major brokerage firm in Atlanta, he expected to handle copy machine duties for his first week. He was wrong. <p></p> Instead, the insurance broker put him to work on the account of a large client and asked him to put together a standard industry update presentation, which he would deliver three days later. After just coming back from a study-abroad trip in Europe, Mr. Tonn received a crash course in life after college. <p></p> ``I was blown away,'' said Mr. Tonn, 21, a senior at the University of Georgia's Terry College in Athens, where he's majoring in insurance and risk management. ``They threw me right in there three days into my internship (to) sit there in front of the client and risk manager and present something to them.'' <p></p> The presentation had a few minor glitches, Mr. Tonn said. Nonetheless, it gave him a taste of what's to come in his career in insurance and risk management. <p></p> Entering a less-than-ideal job market during a time of economic turmoil, students studying the insurance industry are getting a full dose of reality, in the classroom and during professional training. Though some remain cautiously optimistic about their job prospects, others are keenly aware that opportunities are limited and that competition in the job market will be fierce. <p></p> Insurance and risk management doesn't have the allure of traditional business school subjects like finance, marketing and accounting, but for students who like the challenge of identifying and managing risks while developing dynamic business relationships, insurance and risk management is an option, educators say. <p></p> ``I didn't come to college wanting to study (insurance and risk management) by any means, but I took some introductory courses and found it interesting,'' said Leslie Curtis, 21, also a senior at UGA. ``At the time, I really didn't know what you could do with this major. I liked the nerd aspect of crunching numbers (and that) I also still would be able to go out and meet people.'' <p></p> For students like Ryan Doyle, a 21-year-old senior at Illinois State University's Katie School, the trail into insurance was already blazed. Mr. Doyle's father and older brother both pursued careers with Itasca, Ill.-based brokerage Arthur J. Gallagher & Co. Though insurance wasn't his first career choice, Mr. Doyle said that family knowledge of the industry and opportunities provided through the Katie School guided his decision. <p></p> ``I took my dad's advice and kept plugging myself into opportunities outside the classroom,'' Mr. Doyle said, networking through Katie School events and the insurance business fraternity Gamma Iota Sigma. <p></p> <p></p> Insurance and risk management has been tapped as an area in where business schools at colleges and universities can expand. Robert Hoyt, insurance and risk management department head at the UGA's Terry School, said that he's already seen a 30% jump in enrollment into the IRM major from Fall 2007 to Fall 2008. <p></p> At the University of Wisconsin-Madison business school, Joan Schmit, professor and director in the department of actuarial science, risk management and insurance, said that both the interest and quality of the students applying to the major is improving. <p></p> ``We've been at capacity, so it's hard to say if we're seeing an increase of applicants,'' said Ms. Schmit, but noted that there is a rising interest in the university's insurance and risk management master of business administration program. ``What I can say is that the applicants are getting better. We're seeing some impressive students that would like to get into the program.'' <p></p> What the students do outside of the program after graduation is less clear. A faltering economy has meant hiring freezes or layoffs at many companies. Students once heading into what was perceived as the stable insurance industry now must compete for dwindling jobs in a pool filled with seasoned underwriters, brokers and executives. <p></p> ``It's definitely a little hectic right now,'' said Vanessa Contreras, 21-year-old senior at Illinois State University in Bloomington, who is in the middle of interviewing with companies such as Travelers Insurance Cos. and Zurich Financial Services. ``I'm a little nervous because a lot of companies who had jobs are now cutting those opportunities,'' she said. <p></p> Geography is playing a key role as students hunt for jobs. <p></p> For some, like Duane Woolery, a 28-year-old MBA student at UW-Madison, and Danielle James, a 22-year-old senior at St. John's University's School of Risk Management, Insurance and Actuarial Science at the Peter J. Tobin College of Business in New York, relocation to cities outside their hometowns near New York is something that they are considering. <p></p> ``The current financial situation has forced (us) to look at our game plan and how we're going to make ourselves more marketable to those insurance companies who are still hiring,'' said Ms. James, who is hoping to land a job as an underwriter. ``Being open to opportunities with companies that are hiring in different states is something that we have to be right now.'' <p></p> For Jon Lough, a senior at Indiana State University's Gongaware Center in Terre Haute, staying local might be his ticket to success. Though he knows the insurance market is bigger in areas like New York or Chicago, he thinks some smaller markets will have the better opportunities. <p></p> ``I think it really depends on where you're looking geographically,'' said Mr. Lough, who has interviewed with Kansas City, Mo.-based brokerage Lockton Cos. Inc. ``Chicago may not be hiring right now, but other areas are aggressively seeking people to replace employees that will be retiring.'' <p></p> Many of these students hope that is the case. <br> <br> January 9, 2009 <br> <br> <div> <div class="x_nshr"> <center></center> <center><a href="http://www.lexis-nexis.com/lncc/about/copyrt.html" target="_new" class="x_pagelinks">Copyright © 2009 LexisNexis, a division of Reed Elsevier Inc. All Rights Reserved. </a><br> <a href="http://www.lexis-nexis.com/terms/general" target="_new" class="x_pagelinks">Terms and Conditions</a> <a href="http://www.lexis-nexis.com/terms/privacy" target="_new" class="x_pagelinks"> Privacy Policy</a> <br> </center> </div> </div> </span></span>