What’s the business case for brokerage diversity programs?

Brokerage employees’ views about the merits of diversity, equity and inclusion (DEI) programs are changing, Canadian Underwriter’s fifth annual DEI Survey finds.

While this year’s survey finds 14% of respondents strongly support DEI programs, up from 10% last year and 8% in 2024, the percentage saying they ‘appreciate’ DEI initiatives slips to 38% this year, against 48% last year and 47% in 2025.

Further, those voicing ‘acceptance’ to DEI programs remains at 18% this year, matching 2025’s result but below the 24% saying the same in 2024. And 15% of brokers say they’re neutral to DEI in 2025, statistically consistent with 13% in both 2025 and 2024.  

But the percentage of brokers saying they disapprove of DEI efforts climbs to 11% in 2026 – up from 7% in 2025 and 6% in 2024. Those saying they reject DEI remains at 4% in 2026 – matching 2025 but up from 2% in 2024. The survey, fielded in April 2026, garnered responses from 209 brokers and is supported by Sovereign Insurance.

Looking at another key metric, the data show brokerage employees are gradually becoming less concerned about risks to organizations that don’t embrace diversity. While only 6% of 2026 respondents report being ‘very concerned’ over a lack of diversity where they work, that number is consistent all five survey years (see chart, below).

But move down one tier to ‘somewhat concerned’ and the picture changes. Back in 2022, 30% of brokerage respondents said they had at least some concerns about lack of corporate diversity. This year, that percentage sits at 14%, following a slip into the 20-percent range between 2023 and 2025.

Making a business case

For P&C insurance brokerages, diversity creates value by serving genuine business and market connection strategies, says Juan Antonio Diaz, a broker at Begin Insurance. Part of his company’s business strategy is development of multicultural markets, including Asian and Hispanic communities, which led them to open Garitas Insurance, a specialized branch with a 95% Spanish-speaking clientele.

“From our experience, diversifying the type of producer and the cultural background of the team has allowed us to access markets that otherwise would have been much more difficult to reach,” he tells Canadian Underwriter. “Communication, language and cultural understanding play a major role in insurance, especially when dealing with complex financial products where clients are looking for trust and clarity.”

Clients often want to conduct business in Spanish, both for the language preferences and because they feel their culture, concerns, and service expectations are better understood, Diaz adds.

“Even within the Hispanic market, there are important cultural differences depending on the client’s country of origin,” he says. “This is where I see the practical value of diversity within a brokerage. It is not simply about inclusion as a corporate concept, but about the real ability to connect with different market segments and expand the business.”

He’s also found different communities require varied levels of education and guidance about Canada’s insurance system. “In the Hispanic market, for example, we often spend additional time explaining how insurance history (non-payment cancellations, at-fault accidents, convictions, etc.) affect future premiums. That additional guidance generally strengthens the broker-client relationship and significantly improves retention.”

More clues from the data

A finer sifting of the survey data show male respondents, brokers working in both western and eastern Canada, brokers at firms with fewer than 50 employees, and those who haven’t witnessed pay inequity at their companies all show higher tendencies to voice disapproval or rejection to DEI initiatives. Also, brokers under age 45 also show statistically higher disapproval or rejection of DEI, although the sample size for Generation Z is small.

Reasons for these viewpoints run a gamut from those stating in survey comments that DEI is a form of social engineering that works against meritocracy, to those arguing the natural diversity in Canada’s society will ultimately create diverse workplaces regardless of corporate policies.

In a verbatim survey response, one western broker who identifies as a minority and rejects DEI efforts notes the C-suite at his company is evenly split between men and women, while “senior leadership is 70% women and lower management is 100% women.”

Focus on the bottom line

And, while the percentage of brokers saying they’re ‘not very concerned’ about a lack of diversity at their firms slips to 31% in 2026 from 35% last year, that decrease is offset by a sharp increase in brokers saying they’re ‘not at all concerned’ – which reached nearly half of brokers (49%) in 2026, but was far lower in prior surveys (see chart, above).

Diaz says he understands why some brokers may perceive less risk from a lack of diversity at their firms. “Many brokerages still operate successfully within traditional English-speaking markets and may not yet feel the need to expand into multicultural segments,” he says, adding they likely see a need to focus on market conditions, retention, and underwriting challenges in the shorter term.

But the consequences of not adapting to diversity can happen gradually, he says. “The risk is not always immediate. But over time, it can lead to difficulty accessing new markets, disconnect from Canada’s demographic changes, and [create] challenges attracting new talent,” he tells CU.