Abstract:
The main purpose of this study is to examine corporate governance practices in Ethiopian
insurance companies. The study applied descriptive research design. The data was collected
from employees of Ethiopian insurance companies via questionnaires. The study used
quantitative methods of data analysis. To address the research objective the study applied
convenience sampling technique. The result of the study showed that in terms of Board
characteristics (educational qualification, board size, and board composition and board
meetings) there is a greater internal corporate governance practice in Ethiopian insurance
companies. Similarly, significant numbers of respondents approved Ethiopian insurance
companies have highest internal corporate governance practice in nomination and audit
committee issues. Nevertheless, there need to be exert efforts to diminish the bold
disagreement issues on the follow upping of audit findings, independency of audit
committee, behavior and trustfulness of the nomination committee members. By and large,
the study concludes that there is a significant internal corporate governance practice in
Ethiopian insurance companies. Finally, among others the study recommended that the
Nomination Committee should adhere and works strictly in light of applicable laws,
regulations, the National Bank directives and the insurer’s own articles and memorandum
of association, policies and procedures.
