Influence of Inadequate Claims Resolution on Policyholders Trust in Insurance Services in Plateau State

Protection of policyholders’ trust is one of the core values of insurance industry
in Nigeria. One of the livewires of any insurance industry is the policyholders trust
and when this is tampered with through inadequate claims resolution, both the
policyholders and policymakers suffer major setbacks. The study examines the
influence of inadequate claims resolution on policyholders trust in insurance services
in Plateau State. The study made use of a descriptive survey design and out of the 384
copies of the questionnaire administered to the respondents, 200 of them were
returned. The study employed primary method of data collection where relevant
information was collected through the questionnaire administered on the policyholders
using simple random sampling technique. The result of the descriptive statistics was
presented in tables, frequencies and simple percentages. On the other hand, inferential
statistics was done through multiple regression method in order to estimate the
relationship between the variables. Findings from the study revealed that addressing
claims resolution inefficiencies contribute to maintaining policyholder’s trust and
fostering long-term relationships. The study recommends that insurance firms in
Plateau State should prioritize technology adoption, comprehensive training of claims
resolution personnel and regulatory compliance to mitigate policyholders’ challenges
in claims resolution so as to alleviate concerns and foster policyholders’ trust in
insurance services.