The Role of Intermediaries’ Engagement on Insurance Sales Volume: The Case of Abay Insurance S.C.
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Date
2022-12
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Addis Ababa University
Abstract
The main purpose of this study is to explain the role of intermediaries’ engagement in increasing the sales volume of Abay Insurance S.C. (AISCO). Basic questions were raised, and the study was limited to the specified organization. The chains of activities discussed in Supply Chain Management theory and process, along with the various roles of intermediaries in the insurance business, were conceptualized and modified to answer the research questions. Leaders at the case organization were interviewed, focus group discussions, and questioning were used to collect primary data, while publications, books, and other archive documents were used to collect secondary data. Both qualitative and quantitative approaches were applied, with probability simple random and non-probability purposive sampling techniques used and the data analyzed and presented using SPSS software. The research findings indicated that there was a balanced representation of both genders in insurance brokerage and agent positions. The leadership position was found to be dominated by males, and the correlation and regression analysis results indicated various degrees of association between intermediaries’ engagement scales and AISCO’s sales volume. The finding seems to suggest that efforts to minimize the risks associated with the insurance business have a negative effect on the volume of insurance product sales. Based on the findings, conclusions are drawn, and the researcher suggests possible recommendations to the companies so that they devise effective communication, networking, and marketing strategies that will assist them in enhancing potential customers’ knowledge and awareness about existing products and services through effective capacity-building strategies to improve their agents’ level of knowledge and competence. Moreover, research and scholarly discourses in Ethiopian insurance business recommended emphasizing measuring the engagement of intermediaries and explicating the factors that either promote or impede their contribution in diversifying existing insurance products and services, market share, and sales volume.
Key words:Insurance Intermediary Engagement Sales Volume