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Factors Affecting Decision to Participate Bancassurance: Evidence from Individual Customers in the South of Vietnam

Author

Listed:
  • Khuu Thi Phuong Dong

    (School of Economics, Can Tho University, Vietnam)

  • Nguyen Thi Ngoc Hoa

    (School of Economics, Can Tho University, Vietnam)

  • Phan Dinh Khoi

    (School of Economics, Can Tho University, Vietnam)

  • Ho Thi Huynh Giao

    (School of Economics, Can Tho University, Vietnam)

  • Huynh Thi Tuyet Suong

    (School of Economics, Can Tho University, Vietnam)

  • Diep Tran Hoang Quyen

    (School of Economics, Can Tho University, Vietnam)

Abstract

This study aims to investigate factors effect on decision to participate the Bancassurance of individual customers in the South of Vietnam. Binary Logistic regression model was explored to investigate the factors affect on the decision to participate in life insurance through Bancassurance channel. The data was collected by interview survey of 62 individual customers who have participated and not participated the life insurance through Bancassurance. Found results indicated that the customer’s income and the professional of insurance companies’ advisors have positive significantly effects on the decision to participate in life insurance products via Bancassurance channel of personal customers in Can Tho city, Vietnam. Based on the results, the diversification of payment policies for customers with different groups of income level should be considered to enhance the enhance the decision to participate Bancassurance. The trust, creditability and transparency of information sharing by insurance companies’ advisors should be ensured to improve the confidences of customers on the advisor consultants.

Suggested Citation

  • Khuu Thi Phuong Dong & Nguyen Thi Ngoc Hoa & Phan Dinh Khoi & Ho Thi Huynh Giao & Huynh Thi Tuyet Suong & Diep Tran Hoang Quyen, 2024. "Factors Affecting Decision to Participate Bancassurance: Evidence from Individual Customers in the South of Vietnam," International Journal of Economics and Financial Issues, Econjournals, vol. 14(5), pages 62-70, September.
    • Handle: RePEc:eco:journ1:2024-05-7
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    References listed on IDEAS

    as
    1. Campbell, Ritchie A, 1980. "The Demand for Life Insurance: An Application of the Economics of Uncertainty," Journal of Finance, American Finance Association, vol. 35(5), pages 1155-1172, December.
    2. Fortune, Peter, 1973. "A Theory of Optimal Life Insurance: Development and Tests," Journal of Finance, American Finance Association, vol. 28(3), pages 587-600, June.
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    More about this item

    Keywords

    Bancassurance; Life Insurance; Decision to Participate; Binary Logistic Regression;
    All these keywords.

    JEL classification:

    • G1 - Financial Economics - - General Financial Markets
    • G2 - Financial Economics - - Financial Institutions and Services
    • M5 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics

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