SMAR Daily Industry News

New Program Targets Claims Adjuster Shortage

The workers’ compensation sector is facing a significant talent gap, with projections indicating a shrinking pool of claims adjusters over the next decade. To address this, Kids’ Chance of America (KCOA) and the nonprofit Workers’ Compensation, Risk, Managed Care & Claims (WRMC) have launched a national initiative called Kids’ Chance WORKS. Announced in November 2026, the program aims to connect students whose families have been affected by a serious workplace injury or death with career entry points, structured training, and mentorship in the workers’ compensation and risk management fields.

Data highlights the urgency of the situation. According to a Glassdoor Economic Research report from August 27, 2026, job postings for claims adjusters have dropped approximately 55% from their post-pandemic peak, with junior-level openings down about 50% since early 2024. Furthermore, the US Bureau of Labor Statistics (BLS) Occupational Outlook Handbook, updated the same day, projects a 6% decline in total employment for claims adjusters, examiners, and investigators between 2025 and 2035, representing a net loss of 21,800 positions. While the BLS forecasts roughly 21,600 annual openings during this period, these are driven by turnover rather than industry growth.

The program seeks to recruit individuals who possess a personal understanding of the impact of workplace injuries. Brandi Lewis, executive board brand ambassador for WRMC, noted that the industry is struggling with an aging workforce and needs to attract new talent. By partnering with organizations like Crawford & Company—the initiative's first corporate partner—the program provides students with professional networks and guidance. Chris Letsos, president of KCOA, emphasized that while the organization has awarded over 11,000 scholarships totaling nearly $45 million since its inception, students also require the exposure and career pathways that this new partnership facilitates.

For brokers, the contraction of the claims workforce is becoming a critical factor in carrier selection. Sedgwick’s October 2026 Loss Adjusting Insights Report identified rapid retirement among experienced professionals as a major pressure on operations. As carriers lose institutional knowledge regarding multi-state compliance and complex long-duration claims, brokers are finding it harder to recommend carriers with thinner benches. Consequently, the depth of a carrier’s claims expertise is increasingly being weighed alongside traditional factors like price and coverage terms during renewal discussions.

For insurance professionals, the shrinking claims workforce suggests that carrier due diligence must now extend beyond financial stability to include an assessment of claims team capacity and experience, as these factors directly influence the quality of claim management and turnaround times.

Why it matters

The shrinking pipeline of experienced claims adjusters is forcing brokers to prioritize the depth of a carrier's claims operation as a key differentiator during the renewal process.

FAQ

What is the primary goal of the Kids’ Chance WORKS program?
The program aims to connect students affected by a parent’s serious workplace injury or death with mentors, structured training, and career entry points in the workers’ compensation and risk management sectors.

What does the BLS project for claims adjuster employment through 2035?
The BLS projects a 6% decline in overall employment for claims adjusters, examiners, and investigators between 2025 and 2035, resulting in a net loss of 21,800 positions.

How are brokers adjusting their carrier selection process due to the talent shortage?
Brokers are increasingly considering the depth of a carrier’s claims expertise, capacity, and ability to manage complex claims as a primary placement consideration alongside price and coverage terms.

Source: Insurance Business America. See the original source for full details.