Impact of Insurance Service on Business Survival
CHAPTER ONE
Objectives of Essay
Insurance exist in order to ensure the survival of the business, but in these modern days, the rate of unawareness about the insurance policies in Nigeria is very low, compared to the developed nation.
The Nigeria are underinsured because insurance companies do not fully appreciate the importance of insurance marketing in the security sector and these are due to adequate training of personnel within and outside the organization that will convince the general public. Another poor situation of the industry is the insufficient advertisement placement to ensure public enlightenment of insurance policies.
Some staff never exhibit their ability and technical know-how, because of lack of motivation especially in the marketing department. Also these above mention are also what Niger insurance plc faces.
CHAPTER TWO
LITERATURE REVIEW
Introduction
This chapter reviews related literatures on the subject matter in accordance with the objectives of the study. as such extract will be made from journals, past researches as well as selected text books that related to the subject matter. As such the literature will be segmented into the following sub themes:
Concept of Insurance
Insurance is the modern man’s means of protecting himself against losses. It is a device by which man is able to protect himself against risks. In other words, insurance is the system where an insurance company upon the receipt of a certain amount of money from a person agrees to pay compensation or render certain services to that person, if and whenever that person suffers the kind of loss that was specified in the insurance agreement. What this means is that insurance is the means by which people can pre-arrange resources to take care of unforeseen dangers and accidents (Lawal, 2006). When a person agrees to take insurance policy to protect him against certain accidents, he will pay a sum of money (which is called premium) to the insurance company. Once the insurance company (who is called the insurer) accepts the premium from the person who intends to take insurance cover (such a person is called the insured), the insurer has thus agreed to pay an amount of money (called claims or compensations to the insured whenever the insured loss occurs. This agreement is usually contained in a document called a policy (Obodoechi, 2008)
Although modern insurance started in Nigeria in the early part of the 20th century, historians and sociologists argue that what is today known as insurance was not totally alien to indigenous Nigerian culture. Before the advent of modern insurance, various communities in Nigeria were believed to have operated customs which looked similar to present-day insurance. For instance, the “Esusu” scheme in Western Nigeria was a traditional insurance custom. It was a social insurance system where some members of the community agreed to pool their resources together for the purpose of providing help and soccour to any one of them when help was direfully needed. Only those who belonged to the groups could reap from the benefits they provided. In other words, each member of the Esusu group was obliged to contribute either money, commodity or labor as the case might be, whenever the need arose to give aid to a member who needed it. All members of the group usually shared one another’s risks.
CHAPTER THREE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
Summary
The study examines the impact of insurance services on business survival in Niger Insurance Plc Kaduna. The population of study consists of the entire Staff of Niger Insurance Plc Kaduna with a population of 50 Staff out which Twenty five (25) persons were selected using the Simple random selection method. The research questions that guided the study were: How does Insurance Services affect business survival? What are the various Insurance Policies used to safe guide business and what are the problems militating against Insurance Companies. The survey method was used as the research design. Questionnaires design in five-likert Scale constitutes the instrument of data collection. The mean(x) was used to analyze data in line with the research questions.
BIBLIOGRAPHY
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