modelling service quality life insurance services that make customers happy and keep them loyal

Marketers in Life Insurance Services have always been concerned with the

Customer Perceived Service Quality and Behavioural Intentions of the customers. The

intensified competition has compelled the marketers to be more strategic in acquiring,

dealing and keeping customers. In view of significance of selected constructs, present

study reveals the level of service quality perceived, sense of satisfaction and loyalty

felt by the customers of life insurance providers in India. A relationship model of the

all the selected behavioural constructs is also purposed and tested with high

reliability.

A comprehensive analysis of available literature review laid the foundation of the

study, initially. Later, first hand data was accessed from the randomly selected

respondents from representative population of residents of Delhi and Haryana (NCR)

who has taken life risks coverages from any of the life insurance service providers.

The data analyzed, portrays agreeable/ good level of Service Quality perceived by the

customer. Core Services provided to customers comes out as the top rated dimension

of service quality, followed by Human Elements and Process of Service Delivery,

Social Responsibility and lastly, Physical Evidence. The customers of life insurance

services are also found satisfied and loyal with the service providers.

Further, the structural equation established for selected variables confirms significant

relationships among them. The model developed portrays a significant influence of

service quality on customer satisfaction. One unit change in Service Quality leads to

0.61 units change in Customer Satisfaction and 0.57 unit change in Customer Loyalty.

On the other hand, change of 0.23 unit in customer loyalty is derived from change in

unit of customer satisfaction.

The marketers were suggested according to the service delivery gaps and probable

aspects to improve satisfaction and loyalty among customers. Established relationship

model of service quality, customer satisfaction and loyalty may help in further

researches on gap areas identified.