IDEAS home Printed from https://ideas.repec.org/a/pal/jofsma/v24y2019i1d10.1057_s41264-019-00061-w.html
   My bibliography  Save this article

The effects of cultural tightness and perceived unfairness on Japanese consumers’ attitude towards insurance fraud: the mediating effect of rationalization

Author

Listed:
  • Haithem Zourrig

    (Kent State University at Stark)

  • Jeongsoo Park

    (Komazawa University)

Abstract

The paper examines the effects of cultural tightness, rationalization, and perceived unfairness on Japanese consumers’ attitude towards insurance fraud. The results show a positive effect of perceived inequity/unfairness on acceptance of fraud and a partial mediation of rationalization on insurance fraud acceptance, whereas cultural tightness was found to weigh against the acceptance of fraud. This would suggest that, while the perception of being unfairly treated by an insurance company and reframing a fraudulent behaviour as non-condemnable conduct contribute to fraud acceptance, the strength of social norms and the degree of sanctioning would reduce fraud tolerance. From a managerial perspective, global insurance companies would take advantage from understanding the role of cultural tightness in fighting against fraud. Furthermore, the use of counter-neutralization techniques would be helpful to reduce the effect of rationalization on public tolerance for insurance fraud.

Suggested Citation

  • Haithem Zourrig & Jeongsoo Park, 2019. "The effects of cultural tightness and perceived unfairness on Japanese consumers’ attitude towards insurance fraud: the mediating effect of rationalization," Journal of Financial Services Marketing, Palgrave Macmillan, vol. 24(1), pages 21-30, June.
    • Handle: RePEc:pal:jofsma:v:24:y:2019:i:1:d:10.1057_s41264-019-00061-w
    DOI: 10.1057/s41264-019-00061-w
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1057/s41264-019-00061-w
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1057/s41264-019-00061-w?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Zhang, Jingyun & Beatty, Sharon E. & Walsh, Gianfranco, 2008. "Review and future directions of cross-cultural consumer services research," Journal of Business Research, Elsevier, vol. 61(3), pages 211-224, March.
    2. Zourrig, Haithem & Chebat, Jean-Charles & Toffoli, Roy, 2009. "Consumer revenge behavior: A cross-cultural perspective," Journal of Business Research, Elsevier, vol. 62(10), pages 995-1001, October.
    3. Pamela Murphy & M. Dacin, 2011. "Psychological Pathways to Fraud: Understanding and Preventing Fraud in Organizations," Journal of Business Ethics, Springer, vol. 101(4), pages 601-618, July.
    4. Tennyson, Sharon, 1997. "Economic institutions and individual ethics: A study of consumer attitudes toward insurance fraud," Journal of Economic Behavior & Organization, Elsevier, vol. 32(2), pages 247-265, February.
    5. Johannes Brinkmann & Patrick Lentz, 2006. "Understanding Insurance Customer Dishonesty: Outline of a Moral-Sociological Approach," Journal of Business Ethics, Springer, vol. 66(2), pages 177-195, June.
    6. William Lesch & Brent R. Baker, 2013. "Balancing the Insurance Equation: Understanding the Climate for Managing Consumer Insurance Fraud and Abuse," Journal of Insurance Issues, Western Risk and Insurance Association, vol. 36(1), pages 82-120.
    7. Anthony Miyazaki, 2009. "Perceived Ethicality of Insurance Claim Fraud: Do Higher Deductibles Lead to Lower Ethical Standards?," Journal of Business Ethics, Springer, vol. 87(4), pages 589-598, July.
    8. William Lesch & Johannes Brinkmann, 2011. "Consumer Insurance Fraud/Abuse as Co-creation and Co-responsibility: A New Paradigm," Journal of Business Ethics, Springer, vol. 103(1), pages 17-32, April.
    9. repec:ucp:bkecon:9780226316529 is not listed on IDEAS
    10. Stijn Viaene & Guido Dedene, 2004. "Insurance Fraud: Issues and Challenges," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 29(2), pages 313-333, April.
    11. Lu-Ming Tseng & Chia-Lin Kuo, 2014. "Customers’ attitudes toward insurance frauds: an application of Adams’ equity theory," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 41(11), pages 1038-1054, November.
    12. Mohammed Rawwas & Ziad Swaidan & Jamal Al-Khatib, 2006. "Does Religion Matter? A Comparison Study of the Ethical Beliefs of Marketing Students of Religious and Secular Universities in Japan," Journal of Business Ethics, Springer, vol. 65(1), pages 69-86, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Renee Flasher & Melvin A. Lamboy-Ruiz, 2019. "Impact of Enforcement on Healthcare Billing Fraud: Evidence from the USA," Journal of Business Ethics, Springer, vol. 157(1), pages 217-229, June.
    2. Lu-Ming Tseng & Yue-Min Kang, 2015. "Managerial Authority, Turnover Intention and Medical Insurance Claims Adjusters’ Recommendations for Claim Payments," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 40(2), pages 334-352, April.
    3. Lu-Ming Tseng & Wen-Pin Su, 2014. "Insurance Salespeople's Attitudes towards Collusion: The Case of Taiwan’s Car Insurance Industry," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 39(1), pages 25-41, January.
    4. Pierre Picard, 2012. "Economic Analysis of Insurance Fraud," Working Papers hal-00725561, HAL.
    5. Danielle E. Warren & Maurice E. Schweitzer, 2018. "When Lying Does Not Pay: How Experts Detect Insurance Fraud," Journal of Business Ethics, Springer, vol. 150(3), pages 711-726, July.
    6. Ina Garnefeld & Andreas Eggert & Markus Husemann-Kopetzky & Eva Böhm, 2019. "Exploring the link between payment schemes and customer fraud: a mental accounting perspective," Journal of the Academy of Marketing Science, Springer, vol. 47(4), pages 595-616, July.
    7. Pierre Picard & Kili Wang, 2015. "INSURANCE FRAUD THROUGH COLLUSION BETWEEN POLICYHOLDERS AND CAR DEALERS: THEORY AND EMPIRICAL EVIDENCE Pierre PICARD," Working Papers hal-01140590, HAL.
    8. Lammers, Frauke & Schiller, Jörg, 2010. "Contract design and insurance fraud: An experimental investigation," FZID Discussion Papers 19-2010, University of Hohenheim, Center for Research on Innovation and Services (FZID).
    9. Emmanuel Laffort & Nicolas Dufour, 2020. "External Fraud Risk Management seen from Luhmann’s Systemic Perspective and a Tentative Reading of Healthcare Insurance Companies’ Measures through this Perspective," Post-Print hal-03336033, HAL.
    10. Warren, Danielle E. & Schweitzer, Maurice E., 2021. "When weak sanctioning systems work: Evidence from auto insurance industry fraud investigations," Organizational Behavior and Human Decision Processes, Elsevier, vol. 166(C), pages 68-83.
    11. William Lesch & Johannes Brinkmann, 2011. "Consumer Insurance Fraud/Abuse as Co-creation and Co-responsibility: A New Paradigm," Journal of Business Ethics, Springer, vol. 103(1), pages 17-32, April.
    12. Johannes Brinkmann, 2013. "Combining Risk and Responsibility Perspectives: First Steps," Journal of Business Ethics, Springer, vol. 112(4), pages 567-583, February.
    13. Chiharu Ishida & Woojung Chang & Steve Taylor, 2016. "Moral intensity, moral awareness and ethical predispositions: The case of insurance fraud," Journal of Financial Services Marketing, Palgrave Macmillan, vol. 21(1), pages 4-18, March.
    14. M. Martin Boyer & Richard Peter, 2020. "Insurance Fraud in a Rothschild–Stiglitz World," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 87(1), pages 117-142, March.
    15. Pierre Picard & Jennifer Wang & Kili Wang, 2019. "Collusion between Retailers and Customers: The Case of Insurance Fraud in Taiwan," Working Papers hal-02045335, HAL.
    16. Anthony Miyazaki, 2009. "Perceived Ethicality of Insurance Claim Fraud: Do Higher Deductibles Lead to Lower Ethical Standards?," Journal of Business Ethics, Springer, vol. 87(4), pages 589-598, July.
    17. Frauke von Bieberstein & Jörg Schiller, 2018. "Contract design and insurance fraud: an experimental investigation," Review of Managerial Science, Springer, vol. 12(3), pages 711-736, July.
    18. Kerstin Fiederling & Jörg Schiller & Frauke von Bieberstein, 2018. "Can we Trust Consumers’ Survey Answers when Dealing with Insurance Fraud?," Schmalenbach Business Review, Springer;Schmalenbach-Gesellschaft, vol. 70(2), pages 111-147, May.
    19. Lamar Pierce & Jason Snyder, 2015. "Unethical Demand and Employee Turnover," Journal of Business Ethics, Springer, vol. 131(4), pages 853-869, November.
    20. Christian Hauser, 2019. "Fighting Against Corruption: Does Anti-corruption Training Make Any Difference?," Journal of Business Ethics, Springer, vol. 159(1), pages 281-299, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:jofsma:v:24:y:2019:i:1:d:10.1057_s41264-019-00061-w. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.