Half of insurance agency employees report feeling burned out: The state of employee well-being in independent agencies in 2025

The past few years have been challenging for agency employees, who have adapted to ever-changing workplace norms while navigating the hardest insurance market seen in a generation.

New research from Liberty Mutual found that increased workloads have contributed to high rates of burnout among employees at independent insurance agencies. And while most employees say that overall, they are satisfied with their job and workplace, there are also signs pointing to the need to address workplace well-being in new ways to combat the realities of a burned-out workforce.

To succeed in 2025 and beyond, independent insurance agencies need a renewed focus on employee well-being.

Read on to learn key findings from the Liberty Mutual 2025 Independent Agents at Work Study.

The power and value of an independent insurance agency comes from its people – those who are on the front lines building relationships with customers every day.

This research shows that insurance agencies are at a crossroads. After years of uncertainty in work and life, many agency employees are feeling stressed and burned out. At the same time, the established ways of addressing workplace stress are no longer working. 

Key findings from the 2025 Independent Agents at Work Study

To better understand the state of employee well-being in independent insurance agencies, the research team at Liberty Mutual Insurance surveyed more than 1,200 independent insurance agency leaders and team members for the 2025 Independent Agents at Work Study.

Here are some of the key findings:

87% of agents say their workload increased in the last year

In recent years, workloads have increased for everyone in the insurance industry. Regardless of role, insurance agency employees indicate they’ve needed to work harder in response to the hard market. The vast majority of survey respondents said their workload has increased over the past year, while more than half (51%) say they feel overwhelmed by their workload.

Half of agency employees report feeling burned out

The increased workload has contributed to feelings of stress, exhaustion and burnout across all roles.

Sixty-five percent of frontline staff (those in non-principal or ownership roles) say they often feel stressed at work. More than half (57%) say they feel mentally and physically exhausted, and 51% report feeling burned out.

Burned out agency employees are 2x more likely to seek a new role

Burnout has contributed to job hunting among agency employees. While 39% of frontline staff overall say they have considered leaving their job, those experiencing burnout were more than 2x more likely than others to express interest in seeking a new role. The good news for agency owners and principals is that most job hunters are looking to stay in the industry. Of those considering leaving their current job nearly two-thirds (63%) said it was for a similar or new role in insurance. This suggests that effectively addressing burnout could help agencies keep – and attract – experienced talent.

Established ways of combatting burnout are no longer working

Typical strategies to address employee well-being often include investing in health and wellness programs, offering flexibility, supporting employees’ work-life balance and focusing on the meaning and purpose behind the work.

While all of these contribute to a positive workplace culture, our research suggests that these strategies alone don’t prevent burnout. This adds to a growing body of research showing that programs focused on the individual employee aren’t effective in combatting burnout.

The majority of survey respondents said that their agency supports employee mental health and physical well-being (76%), provides flexibility (87%) and supports work/life balance (85%). Eighty-five percent said they find purpose in their work, and 73% said they find joy at work.

Yet, burnout is still high, suggesting that these strategies may just be the starting point and the solution is much more complex.

Agencies with a strong technology stack experience lower rates of burnout

Every agency is different, and individuals will experience stress and burnout in their own way. While there are many aspects for an agency to consider when looking at how to reduce stress in the workplace, there are some lessons to learn from those agencies with less burnout.

Our research found an inverse relationship between tech investments and burnout – meaning employees who work for agencies with more digital tools were less likely to report burnout. In particular, the use of tools that streamline customer communication were strongly associated with lower levels of burnout.

Conclusion: What this means for agencies

In spite of the high levels of burnout, many agency employees still have a positive outlook on the industry. Overall, 69% said the insurance industry is a great place to work, and 81% said they are satisfied with their job.

However, job satisfaction was lower among those experiencing burnout, and many respondents reported feeling less satisfied with their job than they were a year ago.

As work has changed, employee well-being and burnout has gotten more complex. Agency leaders need to look at burnout as a systemic issue to find organizational level solutions to reduce workloads, alongside burnout.

Agencies that do so will be better positioned to grow and thrive in 2025 and beyond. Research from the University of Oxford found that happier employees are more productive, creative and collaborative and contribute to higher profits for their companies.

The good news is that independent insurance agencies have a long history of putting people first. This year, Agent for the Future will be sharing stories and insights from agencies that are finding unique ways to invest in their employees, drive staff engagement and reduce staff workloads. Sign up for our email list to be the first to learn about new insights.