The need for buy-sell planning in small- to medium-sized businesses transcends industry, nationality, and economic barriers. In most businesses, a succession plan can be implemented with either ...cross-owned or entity-owned life insurance, but complex buy-sell planning sometimes requires a third-party buy-sell structure. A business continuation general partnership can manage the ownership of policies and provide tax advantages. The new 2019 transfer-for-value regulations require additional analysis, particularly for satisfying the "substantial financial relationship" test, but they appear to include language that will accommodate buy-sell planning scenarios.
Purpose
The purpose of this study is to examine the effect of satisfaction (SAT) and trust (TRS) on word of mouth (WOM) and buying decision (BD) for Sharia life insurance in the Muslim society of ...Indonesia.
Design/methodology/approach
The research design was taken from 386 Muslim customers who held Sharia life insurance policies using the approach of purposive sampling in four cities in Indonesia, namely, Jakarta, Surabaya, Makassar and Medan. The hypothesis testing used structural equation modeling.
Findings
The research results show SAT and TRS have effects on WOM. Moreover, WOM has a significant effect on the BD of the customers of the Sharia life insurance product.
Research limitations/implications
This study focused only BD of customers who bought Sharia life insurance products, so the results cannot be generalized to other types of Sharia insurance. Therefore, future research could consider other Sharia insurance products, such as Sharia general insurance.
Practical implications
In relation to the testing of SAT and TRS on WOM, this study examined the influence of the two variables on WOM and BD. This study can serve as reference for Sharia life insurance companies when formulating promotion strategy.
Originality/value
This study justified the strong association between SAT and TRS for WOM and BD in Sharia life insurance in an integrated way.
This paper examines the policy transfer process and outcomes outside the occidental context. It extends the voluntary transnational policy transfer framework with an evolutionary perspective and a ...scalar understanding of space and power at the subnational level. When the Sino-Singapore Suzhou Industrial Park (SIP), a government-to-government collaboration in promoting industrial development, was studied, it was revealed that two parallel policy transfer networks were developed in the early days of the SIP, which were embedded in different scales of governance and pursuing divergent targets. Their relationship affected the policy transfer outcomes for the SIP, and reveals the important governance and temporal dimensions in transnational policy transfers.
The employer‐sponsored life insurance (ESLI) market is susceptible to adverse selection due to community‐rated premiums, guaranteed issue coverage, and the existence of an individual market. Using ...payroll and healthcare claims data from a large university, we find that employees with worse health are more likely to elect coverage causing adverse selection in supplemental ESLI. Nonetheless, we find employees typically do not increase coverage following a severe illness even when they can without providing evidence of insurability. Furthermore, demand estimation shows employees are not price‐sensitive and estimated increases in premiums from adverse selection are unlikely to cause significant welfare loss.
The importance of customer satisfaction in business prosperity is undeniable, so many organizations consider customer satisfaction as the main driver of their business growth and try to keep their ...customers satisfied. The business market has never been so competitive in most areas. This is the reason why things like customer experience and customer loyalty are more and more important and are considered an indicator to measure the success of the business. Based on this, in this research, we will examine the level of satisfaction of insurance policyholders with supplementary health insurance services in Iran using the SERVQUAL model. This model is one of the most common models used in the field of quality assessment in the service sector. The method of conducting this research is a descriptive survey. The sampling method in the current research is simply random the statistical population is insurance policyholders and the sample number is 686 people from the society. The findings of the current research showed that there is a negative and significant gap in all dimensions of service quality.
This article examines the potential for the U.S. insurance industry to cause systemic risk events that spill over to other segments of the economy. We examine primary indicators of systemic risk as ...well as contributing factors that exacerbate vulnerability to systemic events. Evaluation of systemic risk is based on a detailed financial analysis of the insurance industry, its role in the economy, and the interconnectedness of insurers. The primary conclusion is that the core activities of U.S. insurers do not pose systemic risk. However, life insurers are vulnerable to intrasector crises, and both life and property–casualty insurers are vulnerable to reinsurance crises. Noncore activities such as financial guarantees and derivatives trading may cause systemic risk, and interconnectedness among financial institutions has grown significantly in recent years. To reduce systemic risk from noncore activities, regulators need to continue efforts to strengthen mechanisms for insurance group supervision.
In this study the authors examined the effects of an individual's similarity to the demographic composition of the workgroup on individual-level attitudes with 98 workgroups from a life insurance ...company. Results indicated that similarity in race-ethnicity affected individuals' attitudes toward their work group, as well as perceptions of advancement opportunities. Nonsignificant results were found for both similarity in gender and tenure. These findings suggest that demographic variables may have differing complexities in their effects on employee attitudes within work units.
This study constructs a model of the determinants of earnings announcement tone in order to examine the impact of CEO power on earnings announcement tone. An interaction term between CEO power and ...board monitoring is used to test whether effective board oversight moderates the strength of the association between CEO power and earnings announcement tone. Following prior research, we measure earnings announcement tone as the spread in the proportion of positive and negative words in the announcements. CEO power is assessed across two dimensions: (1) expert power (CEO tenure) and (2) structural power (CEO-chairman duality). We use board independence, meeting frequency, and board meeting attendance to measure the effectiveness of board oversight. We find that earnings announcement tone is significantly positively associated with CEO tenure and CEO duality. The effect of CEO tenure is weaker when board oversight is stronger, especially when board members have higher reputation costs, whereas the effect of CEO duality is unchanged by board oversight mechanisms. The empirical evidence is broadly consistent with the notion that powerful CEOs use a more optimistic and aggressive tone in their earnings’ announcements and that stronger board oversight is effective in constraining overt aggressiveness in the earnings announcements issued by CEOs with longer tenure but not those issued by dual-role CEOs. The results are robust to several sensitivity tests. Finally, this study identifies CEO power and board oversight as previously unrecognized determinants of tone in earnings announcements.
Insurance is based on specific assumptions, including a "perfect performance" model. The principle of indemnification, mentioned in almost all insurance textbooks for non--life insurance, is ...nevertheless far more complicated than economists' perception. This complexity is a consequence of actuarial fairness and legal rules often being violated in practice. Thanks to the development of the methodology, the assumption of perfect performance has never been closer to reality. If we add the consumer's perspective, the outlook of insurance performance becomes interesting. The paper examines assumptions related to the performance of insurance contracts made as part of economic insurance models, namely the legal indemnification principle and the theoretical concept of uncertain indemnity, both seen from a consumer's angle. The discussion further relates to the concept of probabilistic insurance. The main goal is to measure under--and overperformance of insurance coverage. This paper invokes many qualitative and quantitative studies performed since 2012 to find evidence of the subjective perspective of under--and overperformance and full performance, within non--life voluntary comprehensive car insurance. Detailed research on comprehensive car insurance in Poland revealed the simultaneous presence of full performance, under--and overperformance. This phenomenon is known to practitioners, but its scale is unknown. A statistically significant difference exists between the more likely underperformance and the less likely overperformance. Underperformance is an outcome of inadequate coverage. Furthermore, the research outcomes suggest that uncertain indemnity should not be considered "random" as there is an asymmetry toward underperformance, at least from the subjective perspective of policyholders.
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