The Effect of motor claim Service Quality on Customer Satisfaction: the case of Ethiopian Insurance Corporation

Abstract

Among the stake holders of a company, customers are the one and the backbone where their satisfaction is directly related to the success of the company. The reverse works for a company whose customers are under the sense of dissatisfaction where customers can easily switch to other alternatives if not timely responded and handled. The general objective of this thesis is to assess the effect of motor claim service quality on customer satisfaction of Ethiopian Insurance Corporation. The research design followed explanatory with the data collection approach of mixed. Qualitative data collection was prepared for selected managers with a face to face interview and quantitative for randomly selected customers using self-administered questionnaires. The geographical location of the study remained in district A and district B of the corporation in Addis Ababa. The data used descriptive statistics to illustrate the raw data and used Pearson correlation and linear multiple regression for inferential statistics. The questionnaire used for quantitative was based on adopting the service quality dimension (SERVQUAL model) taken in consideration of the objective of the research and the data was analyzed using SPSS version 23.0.As the findings of research showed, the gap models of service quality were negative. The relationship between the dependent and independent variables were positive and strong. Reliability, assurance, responsiveness, empathy showed a significant impact on customer satisfaction except tangibility which its impact was insignificant. The research recommended the company to automate its documentation, to respond fast to motor claimants, to serve its motor claimants with good communication and friendly manner, to have competent and knowledgeable employees in motor claim by capacity building through trainings.