Policyholder perception on customer orientation of Insurance agent and customer loyalty with reference to Life Insurance companies in Anuradhpura District
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Date
2015
Journal Title
Journal ISSN
Volume Title
Publisher
Uva Wellassa University of Sri Lanka
Abstract
One reason of switching behavior is the low customer orientation service and therefore sector
considered insurance Agent as a vital factor. Without considering positive actions taken by the life
insurance industry, there is little existing research that evaluates individual perceptions of the
service rendered by life insurance providers. Further to that customer attrition is an increasingly
pressing issue faced by many insurance providers today (Goonetilleke & Caldera, 2013) and few
researchers has identified customer-orientated culture leads to excellent customer services (Kassim,
& Fong, 2012). Few empirical studies have addressed the impact of customer orientation of service
employee on firm’s success (Brown et al., 2002). Customers rely on the behavior of service
employees when evaluating quality of services (Thurau, 2004). Customer loyalty has been found in
the literature to be a competitive tool for many companies customer loyalty is to determine the level
of customer service through service quality assessment. Cited by Whereas Ruyter et al., (1998);
Boulding et al., (1993) and Brady and Cronin (2001) found that high degree of service quality
translates into loyalty. According to Aydin and Ozer (2005) and Cronin and Taylor (1992) are of a
contrary opinion. They are of the view that service quality is a necessary but not sufficient
condition to obtain customer loyalty. In previous researches there are contradictory arguments.
According to Henning and Thurau, (2004) customer orientation of service employee is affected an
employee’s technical skills, employee’s social skills his or her motivation to serve customer and his
or herself perceived decision–making authority. My research objectives are to identify the
relationship of the Customer Orientation that influence to the Loyalty of policyholder’s in the Life
insurance, to determine the impact of the Customer Orientation service employee dimensions on
Customer Loyalty in the Life insurance industry and to determine the most and least important
customer Orientation service employee dimension factors that influence to the Customer Loyalty in
the Life insurance industry. Employee’s technical skills, employee’s social skills his or her
motivation to serve customer and his or herself perceived decision–making authority dimensions
are use in this research.
Methodology
Researcher considered the policy holder s ’perception of customer orientation of insurance agent
and the customer loyalty of life insurance industry in Anuradhapura district. Therefore four life
insurance companies was selected in Thabuthegama regional area to carrying out the research study
.Since this research is focused on life insurance customers’ Loyalty and Customer Orientation
insurance agent, life insurance policyholder can be identified as unit of analyses and sample
technique use simple random sample method.
Both descriptive and inferential techniques were used to analyze data. Descriptive statistics were
used to discover and summarize the attributed of the sample. Furthermore, correlation coefficient
analysis was used to measure the degree of linear association between two variables. Multiple
regression analysis was used to combine contribution of each parts of the independent variable.
Description
Keywords
Entrepreneurship and management, Management, Human Resource Management, Financial Management, Insurance