Abstract
Purpose- The purpose of this paper is to investigate the factors affecting customer intention to purchase life insurance.
Design/Methodology/Approach- Based on a sample of 200 individuals, this study is basically descriptive in nature and used both primary and secondary sources of data. To investigate the relationship between dependent and independent variables one way ANOVA tests, Correlation and Multiple Regression Analysis were conducted throughout the research.
Findings- The paper demonstrates that socio-demographic variables except occupation have no significant influence on purchase intentions for life insurance. The study also demonstrated that bequest motive and financial literacy had the most significant impact on customer purchase intention for life insurance. However, precautionary motive was found to be insignificant in influencing customer interest or intention to purchase Life insurance.
Research Limitations- The major limitations of this paper is the small sample size. Additionally, future studies may incorporate some other variables such as religiosity and national culture which were not considered in this study.
Practical implications- The paper will be helpful for marketer to gain a better understanding of customer and the factors that make them interested or intended to purchase life insurance in Bangladesh.
Originality- It is apparent that there are very few studies that focused on several determinants of life insurance demand and indeed none of them incorporated collectively the factors considered in this study for predicting customer purchase intention for life insurance. In this regard this paper makes significant contribution in satisfying the gap in the scope. Therefore, the authors expects that this paper will provide marketers with a clear understanding of general peoples’ interest in life insurance and the cumulative impact of socio-demographic, financial literacy, saving motives and risk aversion motives on purchase intention for life insurance.