A RESEARCH PROPOSAL ON “POST PURCHASE BEHAVIOUR OF CONSUMER OF INSURANCE PRODUCTS’’
PREPARED BY: PATEL NIKHIL 35 PATEL SUJIT 36 PATEL YATIN 38 SHYAM SALVI 41 SUBMITTED TO: Ms. PARINAZ TODIWALA
S.R. LUTHRA INSTITUTE OF MANAGEMENT, SURAT 2010-2012
EXECUTIVE SUMMARY
“POST PURCHASE BEHAVIOUR OF CONSUMER OF LIFE INSURANCE
PRODUCTS’’ The Insurance sector in India governed by Insurance Act, 1938, the Life Insurance Corporation Act, 1956 and General Insurance Business (Nationalisation) Act, 1972, Insurance Regulatory and Development Authority (IRDA) Act, 1999 and other related Acts. With such a large population and the untapped market area of this population Insurance happens to be a very big opportunity in India. Today it stands as a business growing at the rate of 15-20 per cent annually. Together with banking services, it adds about 7 per cent to the country’s GDP .In spite of all this growth the statistics of the penetration of the insurance in the country is very poor. Nearly 80% of Indian populations are without Life insurance cover and the Health insurance. THE INDIAN INSURANCE INDUSTRY IS FEATURED BY THE FOLLOWING ATTRIBUTES: ? Low market penetration; ? Ever-growing middle class component in population. ? Growth of consumer movement with an increasing demand for better insurance products; ? inadequate application of information technology for business. ? Adequate fill up from the Government in the form of tax incentives to the insured, etc.
STATEMENT OF THE PROBLEM
Some of the basic problems the consumers are facing after buying the insurance which is hindering the consumer to either discontinue or terminate the contracts are as follows 1. Insurance is wastage of money or yielding less returns 2. Due to inflation the consumer tries to avoid paying the periodic payment as considering insurance as unnecessary expenses. 3. Consumer sometimes feel cheated when the terms and condition of the contract differs from the which being explained by agent or banks etc.
4. Less education about the insurance and terms and conditions leads to misperceptions.
5. A person faces the problem in accessing the service like premium paying or claim fulfilments. 6. During the time of a death claims many a time the nominee do not know the actual policy contracts and feels get cheated.
7. Normally the people buy insurance from agents and access the service from them while
the rate of agents leaving or getting terminated is increasing and once the agent is not handling the consumer with the service they stop paying premium intentionally or unknowingly.
8. Due to the lack of education about the insurance consumer find difficulty to claim and
gets fed up resulting to dissonance.
RESEARCH OBJECTIVES
1. To examine the consumer behavior toward insurance policy purchase by them from different insurance companies. 2. To know the performance of the insurance companies toward customer satisfaction. 3. To analyze the insurance services of different companies. 4. To know the requirement of consumer from insurance companies. 5. To find the exact ratio of termination of the insurance policy, with the reason for it. 6. To find out the best possible way to cater the insurance product services.
LITERATURE REVIEW
Post-purchase behavior involves all the consumers' activities and the experiences that follow the purchase. Usually, after making a purchase, consumers experience post-purchase dissonance. A high level of post-purchase dissonance is negatively related to the level of satisfaction the consumer draws out of product usage. While experiencing post-purchase dissonance, consumers become acutely aware of the marketers' communication.
(Bauzá, R.H. (1982). Manitoba nematodes. Journal of Consumer Behavior, 10, 252-264,)
DEMERITS OF THE STUDY
1. We are not going take response from the every regions or part of the country for collecting the information to analyze data. 2. As students we are not masters or experts of research activity hence it becomes limitations for us.
3. We will have to rely on the information given by the respondents about there behavior.
RESEARCH DESIGN & HYPOTHESIS
Research Design: Exploratory Research Design
Exploratory research often relies on secondary research such as reviewing available literature and/or data, or qualitative approaches such as informal discussions with consumers, employees, management or competitors, and more formal approaches through in-depth interviews, focus groups, projective methods, case studies or pilot studies. The main objective is to help in defining research problem and generate a set of hypothesis or research question which could be worked upon at a later stage. Here, we prepare questionnaire and filled it up by consumer and on the basis of that we collect the data.
Hypothesis
o On the basis of the collected data we assume the behavior of consumer toward insurance policy. o After analysis of collect data of customer we can predict the future consumer demand. o We can also know the satisfaction of customer toward the insurance companies o On the basis of above analysis we can also know or measures the performance of different company, for selecting best one.
o
And also measure the best possible way to cater the insurance product services.
Data Sources
The design of the research project specifies both the data that are needed and how they are to be obtained. The first step in the data-collection process is to look for secondary data. Secondary data from internet, books and magazines. Primary data through questionnaire collect the data from consumer.
Beneficiaries
? This project report will help to those students for literature review who would like to work on the same topic in the future date. ? Project report would benefit to insurance companies of India to take right action against the consumer dissatisfaction.
BIBLIOGRAPHY
Reference:
•
Belk,
Russell
(2010),
“Sharing,”
Journal
of
Consumer
Research,
36
(February) ,http://www.icmrindia.org/courseware/Consumer%20Behavior/CBC15.htm
•
Bauzá, R.H. (1982). Manitoba nematodes. Journal of Consumer Behaviour, 10, 252-264, http:// www.icmrindia.org/ courseware/Consumer%20Behavior/CBC15.htm
doc_409598262.doc
PREPARED BY: PATEL NIKHIL 35 PATEL SUJIT 36 PATEL YATIN 38 SHYAM SALVI 41 SUBMITTED TO: Ms. PARINAZ TODIWALA
S.R. LUTHRA INSTITUTE OF MANAGEMENT, SURAT 2010-2012
EXECUTIVE SUMMARY
“POST PURCHASE BEHAVIOUR OF CONSUMER OF LIFE INSURANCE
PRODUCTS’’ The Insurance sector in India governed by Insurance Act, 1938, the Life Insurance Corporation Act, 1956 and General Insurance Business (Nationalisation) Act, 1972, Insurance Regulatory and Development Authority (IRDA) Act, 1999 and other related Acts. With such a large population and the untapped market area of this population Insurance happens to be a very big opportunity in India. Today it stands as a business growing at the rate of 15-20 per cent annually. Together with banking services, it adds about 7 per cent to the country’s GDP .In spite of all this growth the statistics of the penetration of the insurance in the country is very poor. Nearly 80% of Indian populations are without Life insurance cover and the Health insurance. THE INDIAN INSURANCE INDUSTRY IS FEATURED BY THE FOLLOWING ATTRIBUTES: ? Low market penetration; ? Ever-growing middle class component in population. ? Growth of consumer movement with an increasing demand for better insurance products; ? inadequate application of information technology for business. ? Adequate fill up from the Government in the form of tax incentives to the insured, etc.
STATEMENT OF THE PROBLEM
Some of the basic problems the consumers are facing after buying the insurance which is hindering the consumer to either discontinue or terminate the contracts are as follows 1. Insurance is wastage of money or yielding less returns 2. Due to inflation the consumer tries to avoid paying the periodic payment as considering insurance as unnecessary expenses. 3. Consumer sometimes feel cheated when the terms and condition of the contract differs from the which being explained by agent or banks etc.
4. Less education about the insurance and terms and conditions leads to misperceptions.
5. A person faces the problem in accessing the service like premium paying or claim fulfilments. 6. During the time of a death claims many a time the nominee do not know the actual policy contracts and feels get cheated.
7. Normally the people buy insurance from agents and access the service from them while
the rate of agents leaving or getting terminated is increasing and once the agent is not handling the consumer with the service they stop paying premium intentionally or unknowingly.
8. Due to the lack of education about the insurance consumer find difficulty to claim and
gets fed up resulting to dissonance.
RESEARCH OBJECTIVES
1. To examine the consumer behavior toward insurance policy purchase by them from different insurance companies. 2. To know the performance of the insurance companies toward customer satisfaction. 3. To analyze the insurance services of different companies. 4. To know the requirement of consumer from insurance companies. 5. To find the exact ratio of termination of the insurance policy, with the reason for it. 6. To find out the best possible way to cater the insurance product services.
LITERATURE REVIEW
Post-purchase behavior involves all the consumers' activities and the experiences that follow the purchase. Usually, after making a purchase, consumers experience post-purchase dissonance. A high level of post-purchase dissonance is negatively related to the level of satisfaction the consumer draws out of product usage. While experiencing post-purchase dissonance, consumers become acutely aware of the marketers' communication.
(Bauzá, R.H. (1982). Manitoba nematodes. Journal of Consumer Behavior, 10, 252-264,)
DEMERITS OF THE STUDY
1. We are not going take response from the every regions or part of the country for collecting the information to analyze data. 2. As students we are not masters or experts of research activity hence it becomes limitations for us.
3. We will have to rely on the information given by the respondents about there behavior.
RESEARCH DESIGN & HYPOTHESIS
Research Design: Exploratory Research Design
Exploratory research often relies on secondary research such as reviewing available literature and/or data, or qualitative approaches such as informal discussions with consumers, employees, management or competitors, and more formal approaches through in-depth interviews, focus groups, projective methods, case studies or pilot studies. The main objective is to help in defining research problem and generate a set of hypothesis or research question which could be worked upon at a later stage. Here, we prepare questionnaire and filled it up by consumer and on the basis of that we collect the data.
Hypothesis
o On the basis of the collected data we assume the behavior of consumer toward insurance policy. o After analysis of collect data of customer we can predict the future consumer demand. o We can also know the satisfaction of customer toward the insurance companies o On the basis of above analysis we can also know or measures the performance of different company, for selecting best one.
o
And also measure the best possible way to cater the insurance product services.
Data Sources
The design of the research project specifies both the data that are needed and how they are to be obtained. The first step in the data-collection process is to look for secondary data. Secondary data from internet, books and magazines. Primary data through questionnaire collect the data from consumer.
Beneficiaries
? This project report will help to those students for literature review who would like to work on the same topic in the future date. ? Project report would benefit to insurance companies of India to take right action against the consumer dissatisfaction.
BIBLIOGRAPHY
Reference:
•
Belk,
Russell
(2010),
“Sharing,”
Journal
of
Consumer
Research,
36
(February) ,http://www.icmrindia.org/courseware/Consumer%20Behavior/CBC15.htm
•
Bauzá, R.H. (1982). Manitoba nematodes. Journal of Consumer Behaviour, 10, 252-264, http:// www.icmrindia.org/ courseware/Consumer%20Behavior/CBC15.htm
doc_409598262.doc