Measuring and evaluating the satisfaction of life insurance customers

Motarjem, K.; Niakan, L.

doi:10.22056/ijir.2021.01.04

Document Type : Original Research Paper

Authors

K. Motarjem ¹
L. Niakan ²

¹ Department of statistics, Faculty of Mathematical Sciences, Tarbiat Modares University, Tehran, Iran

² Department of General Insurance, Insurance Research Center, Tehran, Iran

https://doi.org/10.22056/ijir.2021.01.04

Abstract

Objective: The main aim of this study was to propose a developed model to investigate factors affecting life insurance customers’ satisfaction in the Iranian insurance industry useing structural equations and stratified regression analysis.
Methodology: This study was descriptive-analytical. The statistical population consists the customers of one insurance company, as a pilot insurance company in Iran. Cochran's formula was used to determine the sample size. Sampling was done from 355 customers of an insurance company who are in the stage of paying the insurance installments and the group who used the insurance benefits. Data were collected by a researcher-made questionnaire based on the SERVQUAL model electronically on the web and analyzed by structural equation modeling and stratified regression approach.
Finding: The findings of this study based on structural equation modeling show that in the five dimensions of the SERVQUAL model, the current situation, the level of customer satisfaction of the second group is significantly lower than the customers of the first group. This means that customers who have reached the stage of receiving life insurance benefits are less satisfied with life insurance services.
Conclusion: The hypothesis of customer satisfaction in all aspects of the model is rejected according to the results of this study. This shows that the level of life insurance customers’ satisfaction is not in a favorable situation. In stratified regression analysis, the factor of inflation and non-fulfillment of promises given to customers when selling insurance by the company were as the most important factors of customer dissatisfaction. The biggest gap was in the dimension of empathy in both groups. Therefore, it is necessary to have appropriate policies by the insurance company in the dimension of empathy and giving importance and compassion to customers and paying special attention to each customer in the future plans of insurance companies. Educating and persuading employees to deal properly with customers and not exaggerating the promises made to customers when selling life insurance can also be important and effective measures in providing customer satisfaction.
JEL-Classification: M31, G22, C83

Keywords

Main Subjects

Marketing and Sales

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Iranian Journal of Insurance Research

Measuring and evaluating the satisfaction of life insurance customers

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Volume 10, Issue 1 - Serial Number 35
January 2021
Pages 37-52

Measuring and evaluating the satisfaction of life insurance customers

References

References

Letters to Editor

Send comment about this article

Volume 10, Issue 1 - Serial Number 35January 2021Pages 37-52

Volume 10, Issue 1 - Serial Number 35
January 2021
Pages 37-52