Purchase of Unit Linked Life Insurance Policies: The Role of Agents’ Relationship-Selling Behavior

Authors

  •   Savitha Basri Professor (Corresponding Author), Department of Commerce, Coordinator, Centre for Advanced Research in Financial Inclusion, Manipal Academy of Higher Education, Manipal - 576 104, Karnataka
  •   Ankitha Shetty Assistant Professor, Department of Commerce, Manipal Academy of Higher Education, Manipal - 576 104, Karnataka

DOI:

https://doi.org/10.17010/ijom/2023/v53/i11/170842

Keywords:

Relationship

, Selling, Life Insurance, Information Sharing, Trust.

Paper Submission Date

, September 25, 2022, Paper sent back for Revision, May 19, 2023, Paper Acceptance Date, June 20, Paper Published Online, November 15, 2023

Abstract

Purpose : The objective of this study was to understand the influence of relationship-selling behavior on the selection of life insurance products.

Methodology : Quantitative data were collected from 542 life insurance policyholders in Karnataka by adopting a cross-sectional survey methodology.

Findings : Multinomial logistic regression model estimated the channel of distribution (individual agents), trust, interaction intensity, information sharing, and income to influence the selection of life insurance products.

Practical Implications : Insurance companies should revamp corporate culture that stresses the interests of the customers over that of agents and curtail adaptive sales practices of agents who sell complex products that do not cover customers’ insurance needs. The promotion of customer-oriented ethical sales behavior focusing on trust, information sharing, and higher interaction intensity is the need of the hour. Efforts should be made to counter systemic short-termism and educate customers on the necessity for long-term investments instead of surrendering the policy where they lose the entire investment. Given that the quality and frequency of insurance agent–customer interactions play a major role in investor decision-making, agents are expected to be responsive and offer personalized inputs to facilitate the purchasing process.

Originality : The current study added to the body of evidence supporting the relevance of relationship-selling behavior in the context of ULIPs. It also demonstrated the advantages of the corporate agent (bancassurance) model in not marketing complex products such as ULIPs.

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Author Biographies

Savitha Basri, Professor (Corresponding Author), Department of Commerce, Coordinator, Centre for Advanced Research in Financial Inclusion, Manipal Academy of Higher Education, Manipal - 576 104, Karnataka

Dr. Basri Savitha, MA (Economics), MBA, HGDip (UK), MPhil, PhD, PGDHE is Associate Professor at Manipal Institute of Management, Manipal Academy of Higher Education, Manipal, India.  She has evaluated the impact of micro health insurance schemes in Karnataka for her PhD study at National Institute of Technology Karnataka. She was awarded Kalam Travel Grant to present her research paper at Kalam Research Conference at University of Kentucky. She has published more than 22 research articles in national and international journals. Her main areas of research interests include banking and insurance,and higher education.

Ankitha Shetty, Assistant Professor, Department of Commerce, Manipal Academy of Higher Education, Manipal - 576 104, Karnataka

Dr. Ankitha Shetty MBA, PhD is Assistant Professor at Department of Commerce, Manipal Academy of Higher Education (an Institution of Eminence), Manipal, India.  She has studied the sales performance of individual insurance agents and bancassurance agents in life insurance industry for her doctoral study at MAHE, Manipal. She has published more than 12 research articles in national and international journals. Her main areas of research interests include insurance, banking and financial services.

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Published

2023-11-01

How to Cite

Basri, S., & Shetty, A. (2023). Purchase of Unit Linked Life Insurance Policies: The Role of Agents’ Relationship-Selling Behavior. Indian Journal of Marketing, 53(11), 8–22. https://doi.org/10.17010/ijom/2023/v53/i11/170842

Issue

Volume 53, Issue 11, November 2023

Section

Articles
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