CLAIM SETTLEMENT SERVICE QUALITY AND CUSTOMERS’ REPURCHASE INTENTION OF INSURANCE POLICIES: A STUDY OF NON-LIFE INSURANCE COMPANIES IN NEPAL
Date
2024
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Publisher
Shanker Dev Campus
Abstract
The rising sophistication of the world economic system in today’s industrial age has increased the importance of insurance in the process of manufacturing and profit-making dealings. The absence of insurance will constantly subject the individual/organization to the fear of a huge financial loss in the event of a tragedy. High growth of the insurance industry contributes immensely to the growth of financial sector of the given economy.
Claim settlement is the monetary compensation that is paid to the policyholder in the event of a loss. Insurers have been criticized for their cloudiness and twisted marketing methods for the fact that they would do anything possible not to pay claims. If a firm does not effectively handle its claims service, it can tarnish its image hence affect the sales and marketing of its insurance products. The aim of this research is, thus, to investigate the link between claim settlement service quality and customers repurchase intention of insurance products and services along with finding the ways through which service firms can improve and manage the process of delivering quality standards to their customers.
The paper has employed both descriptive and causal research design for study purpose. Convenience sampling procedure was applied to select the required sample size from the targeted study population. 400 responses were collected from the target customers of selected non-life insurance companies operating in the country for the study. The source of data used for the purpose of this study was basically primary data that were collected by the means of questionnaire survey instrument structured into two sections. Both descriptive as well as inferential analysis has been conducted on the data collected with the help of SPSS software and finally the hypotheses have been tested to generate all the major findings of the study. The overall findings offer strong empirical support for the intuitive notion that improving service quality can increase favorable behavioral intentions and decrease unfavorable intentions.