Facts About Insurance Service and Assessment on Public Self-Initativeness Towards Insurance Cover: Study Site Jimma Town

Abstract

The study was conducted in February 2002 to assess initativeness of Jimma town residents and their participation towards insurance cover. Three hundered eleven clients who have property cover from insurance company were interviewed using interview type of questionnaire about their practices towards purchasing insurance policy .Besides client records of NISCOS Jimma branch's were used for the assessement of the study. Data was collected by four business students who are helped by two assistant, then complied and analyses. Among the interviewed clients more than half (59.5%) were business person. And more number of respondent are in the age group of~1-40 (38.9%). Male respondent constitutes (76.2%) and female were (23.8%). The response rate of clients who purchase insurance cover for protecting against risk or loss which contains only a low portion (8%) and installing protection device comprises of (47.3%). Most contract made with insurance companies is as a result of bank request (59.8%) and self imitativeness towards purchasing insurance policy amounts (27%). Almost the majority of respondent replied that religion has not an impact towards purchasing insurance cover(96.5%). In conclusion, the study, detected that public self initativeness towards purchasing insurance policy is minimal. It also detected that insurance companies not played a significant role in creating public awareness activities which contributes for the less knowledge of public towards this sector.