SOCIALSCI JOURNAL

The Revised Guidelines on Bancassurance Operation in Nigeria: Marketing Implicationson Patronage of Insurance Products

Abstract

Nebo Gerald Nwora

This study seeks to assessthe marketing implication of the revised operational guidelines on bancassurance referral model in Nigeria particularly in terms of how the model can affect customers’patronage of Insurance companies.The objectives of the study include;(i) to determine the influence of bancassurancereferralon customers’ patronage of insurance products;(ii) to ascertainhow customer loyalty moderatethe influenceofbancassurancereferralon customers’ patronage of insurance products; and (iii) to assess how the perceived service quality of the deposit money banks moderate the influenceof bancassurancereferralon customers’ patronage of the insurance products.Quantitative survey research design was adopted for the study.Bygathering primary data from 170banks’ customers and68bancassurance desk officers of insurance companiesusing structured questionnaire; and using structural equation modellingfor testing and analyzing the gathered datasets, findings revealed thatbancassurancereferral modelhas significant influence on customers’ patronage of insurance products andboth customer loyalty and perceived service quality of the banks significantlymoderatethe influenceof bancassurance referral model on customers’ patronage of the insurance products. It was recommended that insurance companies that want to go into bancassurance relationship with any bank in Nigeria should choose banks characterized by large number of loyal customersandhigh perceivedservice quality.