This article is by Kate Headley, Government Disability & Access Ambassador and CEO of The Clear Company
Where once a peripheral concern, the concepts of inclusion and belonging are now central to how insurance firms attract talent, retain clients and, ultimately, build trust. Ongoing geopolitical events, the rise of emerging technologies and growing reputational scrutiny are all reshaping the sector, and the ability to foster a culture of true belonging is subsequently becoming a strategic imperative. However, despite this, many leaders are still under-equipped to lead on a truly inclusive basis.
This isn’t due to any individual failing, though. Yes, inclusion starts at the top, but too often the tools and support required to lead inclusively are missing, often assumed to be within a leader’s natural skill set. The insurance sector, like many other highly technical and specialised industries, often promotes based on technical capability, not on interpersonal or inclusive leadership skills. Pathways for promotion don’t tend to offer two routes – people leadership and technical leadership – and so leaders find themselves in roles with gaps in their capability to build the right culture. Organisations must equip their leaders with the right skills and experience to do so.
This practice begins at a personal level, and by holding a mirror up, leaders must be encouraged to reflect on their own biases, assumptions, and behaviours. This isn’t for self-flagellation purposes, but is instead about growth. No one is perfect, and leaders are, after all, human, with strengths and areas of development. This is particularly key for a more traditional market such as insurance, where opportunities for reflection have historically been seen as superficial.
If leaders are really keen to develop, then asking for feedback from those around them and, if needed, getting an executive coach to work on any blind spots will ensure their own performance is optimised for the context they work in. Likewise, leaders should be actively encouraged to ask which voices are missing from the room and to consider the impact that their absence could have.
It’s crucial to remember that inclusion is more of a mindset than a checklist, and it starts with an honest evaluation of leaders’ capabilities. Ultimately, the goal is progress, not perfection, authentic, not performative. When individuals at any level are permitted to reflect without fear, they can lead with vulnerability, humility and empathy – the traits most desired from inclusive leaders in insurance.
Space for conversation
One of the most powerful tools for inclusion is also one of the simplest: conversation. In fact, offering structured spaces for open dialogue, which naturally do not require large budgets or complex programmes, can transform workplace cultures. All they require is clear intention, and by creating regular forums for discussion, they signal that every voice matters. Equally, these spaces enable employees to share experiences, raise concerns and suggest improvements, but crucially, they also allow leaders to learn in a ‘safe’ environment.
True inclusion isn’t built in the boardroom alone, but in the everyday interactions that shape and dictate how people feel at work. The leaders who truly live these principles and make time to listen, ask questions and act on and respond to feedback quickly are those who foster a sense of belonging. In fact, in our recent survey of insurance professionals, the traits most commonly associated with leaders who promote a sense of belonging included leading by example (cited by 81% of respondents), encouraging open communication (71%) and seeking and acting on feedback (60%).
Accountability – in the right way
Of course, conducting these activities is one thing; ensuring there is accountability for outcomes is another entirely. Holding leaders responsible for inclusion outcomes is essential, but it must be done in a way that empowers rather than polices. This is why it’s recommended for firms to create goals
in tandem with leaders and the entire workforce, that are measurable and, crucially, aligned with broader business objectives. Greater levels of psychological safety go hand in hand with improving performance. Managers should also be given a clearer idea of what good looks like and how they can reach these outcomes, including targets for diverse representation or progress on inclusive hiring practices, for example.
Importantly, accountability should also be paired with development, and it’s worth remembering that true inclusion is not intuitive for everyone and needs a focus on learning, and learning requires investment. But when leaders are given clear goals, the tools to achieve them, and the support to grow, accountability can become a real driver of excellence.
Optimised leadership models
However, that’s not to say that all insurance leaders are lacking the ability to act on a wholly inclusive basis, and we consistently see the same traits demonstrated by the most effective professionals. These include acting with curiosity, and those who actively seek different perspectives to challenge their assumptions, and recognise that they don’t have all the answers.
Equally, the most proficient executives are visible, vocal and confident in sharing their own journeys, which underlines that inclusion isn’t a side project, but a leadership priority. They also build out diverse networks with people from a range of backgrounds in order to better identify blind spots, and they act on feedback, taking action when employees raise concerns or suggest changes, emphasising that inclusion is more than just words.
Finally, they embed inclusion into strategy, ensuring that DEI isn’t siloed, but is deeply integrated into recruitment, performance management, product development and client engagement, which subsequently leads to inclusive practices becoming part of how the business operates.
Developing these skills is no longer a luxury, but a necessity, which makes it even more concerning that many firms are still overlooking the needs of their leaders. In fact, according to KPMG data, just 19% of operational expenditure is allocated to skills and capabilities, putting management in a difficult position where they are being tasked with leading in a context of rapid change, but without being equipped with the tools to help them excel.
On the other hand, the firms that do invest in inclusive leadership development see returns in performance, engagement and reputation, are better equipped to attract top talent, retain clients, and build resilient cultures and ultimately shape organisational change, rather than just surviving it.
It’s clear that the insurance sector has made significant strides in DEI, but the journey is far from over. By encouraging honest self-reflection, creating space for conversation, holding executives accountable and celebrating what great leaders are doing right, firms can build cultures where everyone belongs. In doing so, they can build a sector that is not only inclusive but exceptional. Next month’s Dive In Festival reminds us that belonging builds tomorrow and acts as the foundation of the modern insurance industry. It’s therefore crucial to ensure our leaders have the tools to build it.
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