For senior insurance hires in Singapore and Hong Kong, retained search is usually the better choice when the role is confidential, scarce or business-critical, such as a Chief Actuary, Chief Underwriting Officer or Country CEO. Contingency search works well for mid-level roles with a visible candidate pool. Retained costs more and is paid in stages, but it buys exclusivity, commitment and a full map of the market.
Neither model is “better” in every case. The right answer depends on how many people in Asia can actually do the job, how quietly you need to move, and what it costs your business each month the seat stays empty. This guide sets out how each model works in 2026, what employers typically pay, and a simple way to decide.
What is the difference between retained and contingency search?
Contingency search
A contingency recruiter is paid only if you hire a candidate they introduced. There is no upfront cost and the arrangement is usually non-exclusive, so several agencies may work the same vacancy at once. In Singapore, JTE Recruit puts contingency fees commonly at around 15% to 25% of annual salary, and advises employers to confirm whether the percentage applies to base salary or the total package.
Retained search
A retained firm is engaged exclusively and paid in instalments, whether or not the search ends in a hire. International industry guides describe a fairly consistent structure. Pin cites fees of 30% to 33% of first-year guaranteed cash compensation, paid in three parts: one third at signing, one third when a qualified shortlist is delivered and one third at offer acceptance. Talentfoot gives a range of 30% to 35% of first-year compensation.
In exchange, the firm commits a dedicated team, researches the whole market rather than its existing database, and approaches people who are not looking.
Retained vs contingency at a glance
| Factor | Retained search | Contingency search |
|---|---|---|
| When you pay | In stages, typically thirds, whether or not you hire | Only on a successful hire |
| Typical fee (industry guides) | Around 30% to 35% of first-year compensation | Around 15% to 25% of annual salary in Singapore; 20% to 30% in international guides |
| Exclusivity | One firm | Usually several agencies at once |
| Replacement guarantee | Often 6 to 12 months | Often 30 to 90 days |
| Committed timeline | Usually a target, often 90 to 120 days | Typically none |
| Best suited to | C-suite, heads of function, confidential replacements, very small talent pools | Mid-level roles, multiple similar hires, active candidate markets |
Fee and guarantee ranges are drawn from JTE Recruit, Talentfoot and Pin. Terms in Asia vary by firm, so treat these as starting points for negotiation, not a price list.
Why senior insurance hiring behaves differently
Insurance leadership roles in Asia sit in unusually small talent pools. A general management search can draw on several industries. A Chief Actuary, Head of Reinsurance or Appointed Actuary search usually cannot.
- Scarcity. The HRnetGroup 2026 insurance hiring guide describes actuarial roles as critically scarce, with senior positions taking three to six months to fill across the region.
- Speed of the market. The same guide notes that top candidates in Singapore and Hong Kong are typically off the market within three weeks. A slow, passive process loses them.
- Premiums for specific experience. HRnetGroup reports that verified IFRS 17 experience still commands 10% to 20% above market. Candidates with niche technical skills know their value.
- Confidentiality. Many senior searches replace an incumbent or support a market entry that has not been announced. Advertising the role is not an option.
- Passive candidates. The strongest underwriters and actuaries are rarely applying for jobs. Someone has to find them, approach them discreetly and make a credible case.
These conditions favour a model where a firm is paid to research the full market and is accountable for the outcome. That is the core argument for retained search at senior level. For timelines in more detail, see our guide on how long it takes to hire a senior insurance executive in Asia.
When retained search makes sense
- The role reports to the CEO or board, for example CEO, CFO, CRO, Chief Underwriting Officer or Chief Actuary.
- Fewer than a few dozen people in the region could realistically do the job.
- The search must stay confidential, including from your own team.
- You are entering a new market, such as setting up a Hong Kong or Malaysia presence from Singapore, and need someone with local relationships.
- A previous contingency process produced CVs but no hire.
- The cost of a vacancy (lost premium, delayed product launches, regulatory exposure) is clearly higher than the fee.
When contingency search makes sense
- Mid-level technical roles such as underwriters, claims handlers or pricing analysts, where the candidate pool is visible and reasonably active.
- Several similar hires, where you can compare agencies on quality.
- Roles you can advertise openly without commercial risk.
- Tight budgets where paying only on success matters more than speed or exclusivity.
If you are still benchmarking what agencies charge overall, our breakdown of recruitment agency fees in Singapore covers the full range of models.
The hidden costs of each model
Contingency
Because agencies are paid only on success, they naturally prioritise the roles they are most likely to fill. Hard, senior mandates can quietly slide down the list. In a small market the same candidate can also be sent to you by two agencies, which creates fee disputes and makes your company look disorganised to a senior person you are trying to impress.
Retained
You pay the early instalments even if no hire is made, so the quality of the firm matters a great deal. One less obvious benefit: retained firms commonly agree not to approach staff at client companies. Pin describes off-limits periods of 18 to 24 months as typical. That protects your own team while the relationship lasts.
Are there options in between?
Yes. Many firms offer an “engaged” or “container” model: a smaller upfront payment to secure commitment, with the balance on placement. Talentfoot puts engaged fees at around 25% to 33% of first-year compensation. Some employers also commission a standalone market map first, to understand who sits where and what it would take to move them, before deciding whether to run a full search.
Questions to ask any search firm before you sign
- Who will actually run the search day to day, and what insurance roles have they handled?
- Is the fee based on base salary, guaranteed cash or total package?
- What is the replacement guarantee, and what are its conditions?
- When will we see a shortlist, and how many candidates will it hold?
- Which companies are off-limits to you, and will we become off-limits?
- In Singapore, is the firm licensed? MOM advises checking an employment agency and its registered personnel against the EA Directory.
If your search is for an actuary specifically, our guide to choosing a headhunter to hire an actuary in Singapore or Hong Kong goes further.
How LUNOS can help
LUNOS is a boutique search firm focused on insurance, contracting and consulting across Asia, with offices in Singapore, Malaysia and Hong Kong. Our seven desks include Actuarial, C-Suite and Senior Appointments, and Underwriting, Broking and Claims, and we run confidential senior and C-suite mandates end to end. If you are unsure which model suits your hire, we can start with market mapping or salary analysis so you can see the candidate pool before committing. Start a conversation with a consultant to talk through your role in confidence.
Frequently asked questions
Is retained search worth the higher fee for a mid-level insurance role?
Usually not. For mid-level underwriting, claims or analyst roles with a visible candidate pool, contingency search is typically more cost-effective. Retained search earns its fee when the pool is very small, the role is confidential or a vacancy is costly.
What percentage do retained search firms charge?
International industry guides such as Pin and Talentfoot put retained fees at roughly 30% to 35% of first-year compensation, usually paid in thirds: at signing, at shortlist and at offer acceptance. Terms in Singapore and Hong Kong vary by firm.
Can I use several contingency agencies for one senior hire?
You can, but in a small market such as insurance leadership in Asia it often leads to the same candidate being submitted twice and to discreet approaches becoming public. For senior roles, one accountable firm is usually cleaner.
Do I still pay a retained firm if I hire someone myself?
Under most retained agreements the staged fees are owed regardless of where the successful candidate came from, because you are paying for the search effort. Check the contract wording before signing.