Factors Influence on Customers’ Satisfaction in Government Owned Life Insurance Firm: A Case of Rastriya Beema Sansthan, Nepal

Abstract

Customer service is an integral part of any life insurance company. It is necessary to identify the key success factors in the life insurance industry, in terms of customer satisfaction, so as to survive the intense competition and increase insurance penetration (Nyaguthii, 2013). The important factor in creating customer satisfaction is the appropriate insurer with customers. Insurers believe the   factors   such   as   behavior   and   dealing effectively with the insured, ability of insurance agents to transmit accurate information, establish long term relationships with customers are the important factors in the success of the insurance industry (Vazifehdust & Farokhian, 2013). Thus, the study aims in analyzing the determinants of customer satisfaction in Rastriya Beema Sansthan, an insurance company of developing country Nepal. The study has adopted descriptive and analytical research design. The purposive sampling method is used to collect the primary response from the respondents. The descriptive analysis, correlation analysis and regression analysis have been conducted to analyze the relationship between customer satisfaction with premium, communication, claim settlement, service recovery and service quality in Rastriya Beema Sansthan. The study concludes that the service quality has no impact on customer satisfaction whereas other variables tested have been found significant. The results of the research are expected to hit the policy of Rastriya Beema Sansthan with broadening the scope of the study.