Factors Affecting Policyholders’ Satisfaction towards Life Insurance: An Empirical Study on Life Insurance Policyholders in Bangladesh

Abstract

Insurance represents a very important tool to minimize risks borne by people and businesses in trendy economies. It’s nothing but a mechanism of spreading the chance of one to the shoulders of the many. Insurance is one vital segments of monetary system. The insurance business is exclusive within the sense that it's rewarded for managing the chance of alternative parties. Human life is the most precious thing and life insurance is the most significant form of insurance that provides monetary protection to individuals and their families at the time of unsure risks or injury. Although life can’t indemnify, life insurance provides a way of security, safety and protection to people and conjointly encourages savings among folks. This study aims to behold the factors affecting policyholders’ satisfaction towards life insurance policies in Bangladesh which will help insurance companies to develop strategies to grow and sustain the life insurance business. The study is descriptive in nature, has been conducted supported both primary and secondary data. Twelve (12) variables have identified in this respect and hundred (100) policyholders are selected randomly from different locality. Collected data have tested with the help of various statistical tools like reliability and validity checking, regression analysis, ANOVA, weighted average method and hypothesis testing. The analyzed data has been presented in the form of table, graphs and charts. The study suggested that mass communication helps to form awareness and trust among the people with reference to taking associate degree contract strategy. The study concluded that low premium, service quality, efficient agent, trust, technology and communication are the most significant motivating factors compared to product feature, price, flexibility, brand value, economic growth and maturity benefits on policyholders` satisfaction. This study can become useful for the advance of insurance in Bangladesh.