Employment in the Life Insurance sector in Portugal has shown a significant decline over the past decade. Starting at 1.72 thousand FTEs in 2013, the sector experienced a considerable drop by 2023, reaching 0.783 thousand FTEs. Over the years, the industry suffered sharp contractions, particularly between 2015 and 2016 with a 37.93% reduction. Stability was observed around 1.1 thousand FTEs from 2017 to 2019, but another notable downturn occurred between 2021 and 2023, showing consecutive drops of around 7-8% year-on-year. The CAGR over the last 5 years indicates an average annual decline of -6.64%, leading to a forecasted reduction to 0.508 thousand FTEs by 2028.
Future trends to watch for include the impact of digital transformation and automation in the life insurance sector, potential regulatory changes, and market consolidation. These factors could further influence employment rates, necessitating adaptive strategies to either mitigate further declines or leverage technological advancements for new role creation.
