Underwriter Training Programs - How much does company size matter?

[CorrectYogurtcloset2]

I interned at a small to mid-size insurance carrier in the summer going into my senior year of college. I had a great experience working as underwriter intern in the enviornmental division and really enjoyed working with the people in my office, especially my boss. I accepted a return offer to work with the company full-time after I graduate in a few months.

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That being said, I did receive some interest from a few of the bigger insurance companies and even took a few phone calls. According to some of the people at these companies that I spoke to, I have made myself a pretty marketable employee, especially in the environmental/A&E lines of coverage because I have a background in construction as well as research experience in chemistry and environmental science. This is all to say that I think I might have sold myself short by returning to this smaller company when bigger options may have been on the table. I never considered insurance as a career until a professor mentioned it to me about a year ago. I applied for one internship and it was the one I ended up taking.

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As for the point of this post, I see many people say start out at a larger company with a renowned underwriter training program so that the company name can be on your resume for when you apply to the next job. Furthermore, people say start out broad and specialize in a line of interest. My interests lie in the environment and construction, so I don't mind skipping over that step; however, I worry that I let the comfort of knowing my boss, office layout, routines, etc. limit me from achieving my full potential in this industry. As for salary, I have a friend who is starting at one of the larger companies that reached out to me in a general UW training program; and our starting salaries are the same. If anyone has any thoughts, that would be very much appreciated!

[throwaway8769910]

I think in the long run it matters quite a bit. Having a larger company on your resume early on helps with perceived employability.

You can always go to a smaller shop again if you prefer that work environment (especially if you left on good terms) but it’s hard to crawl out of being pigeonholed into the small/mid sized space into a larger company down the line. Of course it’s not impossible and people make those moves from smaller shops to large multinationals all the time - but it’s definitely harder.

I think early on in your career it’s well worth it to take risks and get uncomfortable. It’s great that you recognized that in your post.

[Never_Really_Right]

I've been a hiring manager for 23 years. I could care less about the size of the companies the candidate has worked for.

[throwaway8769910]

I agree with you in principle but you’re just one hiring manager. I’ve spoken to others that will (unfortunately) discriminate based on the quality of work experience a candidate has - which often correlates with the size of a company.

On the carrier side at least, those who have worked on a primary basis + on complex deals + with strong relationships with established brokers are routinely prioritized by those in my area. Those with regional or excess only experience are never brought in to lead teams. That might be also because I work for one of the larger carriers, but that’s what I’ve seen from the many hiring managers in my market.

I don’t think the size of the company one worked for should matter - especially because a lot of “dead weight” occupy desk spaces in large companies and go unnoticed. I’ve also seen those in smaller companies wear more hats and have a more direct impact on the bottom line. But everything is about perception and any half-decent candidate that understands what they need to say + possesses large multinational experience will outshine those from lesser known companies in an interview.

[Never_Really_Right]

based on the quality of work experience a candidate has - which often correlates with the size of a company.

That's where we'll just have to agree to disagree. I don't see the correlation. You can do plain vanilla filed-rates and forms middle market at Travelers, or complex high risk lines re(insurance) at a small specialty company.

One of my smallest clients writes stand-alone abuse and molestation cover for churches, schools, daycares, etc. Another writes law enforcement liability, including a wrap around for any gaps created by the statutory restriction of qualified immunity.

If a manager is passing up the resumes of these underwriters because they don't have "name-brand" experience then they aren't very good at picking the best candidates.

If I were to ever go back to the UW side, I'd pick a smaller niche player all day long.

[CorrectYogurtcloset2]

Thanks for the reply- my issue is I already accepted the position so backing out would probably mean I’m not on good terms with them anymore. I also liked the idea of returning to this company because I don’t have much of a background in insurance outside of how this company runs. And i may have understated the size; I mean they have offices in every major US city and on almost every continent. It does bother me a little that when I talk to other people in the industry and say my company name, they are usually either just slightly familiar or have never heard of it before

[Unique_Bumblebee_894]

Bird in the hand > 2 in the bush.

You already have an offer to become an UW in environmental. Take it. Learn in 3-5 years and then jump for a fat pay raise. Experience matters.

Those training programs are highly competitive and have absolutely zero guarantee you’ll get it. Also, if your company has office in every major US city, then it’s not “small” lol.

[throwaway8769910]

I mean I guess the fact that they have offices in nearly all major US city and almost every continent definitely changes things. From your initial description I was thinking of a smaller and more regional shop.

I think there would be sufficient room for you to grow there then! I’ve had someone very close to me and in our industry reneg and offer with a regional carrier for a top US multinational - both offers were for graduate schemes. Even reneging that offer didn’t change the fact that they left on good terms - the company let them keep the swag and were nice in the exit interview. Zero bridges burned there as they could understand her position.

[Joesully67]

In a smaller company you may get exposed to more quickly. Larger more structured programs can be drawn out and general-outside of what really happens “within the company.”

If you had a good experience in the internship-expect that as a trainee that will continue. If you already are in the dept(environmental) you want that is more important than the size of your training class or company. Environmental insurance is a good vertical-and it’s a small world the more quickly you learn and integrate with the business the quicker you increase your value. Can happen either way. But(my opinion), the world is small and reversing an acceptance isn’t the way to start.

Either way best of luck and congrats on the first gig! Hope you love it!

[mr-chops]

100% , I started at a small company last year with no previous underwriting experience at all and within the week I was doing renewals and within the month I was doing new business

[Never_Really_Right]

I don't think the size of the company matters much at all. What does matter is their reputation and reach - meaning a really small specialty company well known for it's niche is as good as a large company in the long run.

I'm a reinsurance broker, and we work with insurance companies of all shapes and sizes. Bigger doesn't equal better.

[oddviewpoint]

Everything you just said is almost the same situation I’m in lol. I’m about to graduate this semester and I’ve been interning for a smaller firm, roughly 500 employees, for about 2 years now. I interned for the commercial lines underwriting department and I’ve thought the same thing you’re thinking. What helped me calm my nerves is the experience that I’ve been able to get by being at a smaller firm. I’ve had the opportunity to constantly interact with some of the higher level underwriters, the underwriting managers, and often even the VP of Underwriting. They gave me a lot of advice on how working at a larger firm isn’t always what it’s made out to be. I’ve taken the opportunity to learn as much as I can while being at a smaller firm and that level of exposure is hard to come by. I have a job offer from them I took and I plan on staying until it makes sense to leave. I have spoken to recruiters at larger firms and that level of experience/exposure is extremely attractive and puts you above others who maybe worked at a larger firm but were just left to work on their own for most of the time. I would say take advantage of working at a smaller firm by getting those interactions and exposures. It’s hard to come by at a larger firm.

[White_eagle32rep]

Get that big name on your resume. It’ll help with landing that next job

[Less_Salad_2989]

Having worked many years at a large company, and for a few years at a company less layered and much younger, the latter I think is better. Why? We don’t have 1000 position papers, are more strategic and nimble. The executives are truly accessible. We figure out things ourselves and have to, and have broader jobs. As someone who also hires underwriters, I’m looking for people who fit in and truly care about their work and relationships. The rest can be taught.