Effects of perceived cost, service quality, and customer satisfaction on health insurance service continuance

Abstract

interests are in the area of financial services marketing and have included segmentation of financial services consumers, loyalty, relationships and retention, having written a number of articles on these subjects as well as a book Financial Services Marketing. Her current research projects include pension purchasing, employee benefits and pensions and the Internet. ABSTRACTThis paper aims to contribute to the universal discourse on financial services continuance behavior by examining the impact of service cost on customers' servicequality perception and service-continuance intention. It presents the results of an empirical study that has explored the impacts of service cost, service quality, and customer satisfaction on health insurance customers' behavioral intention toward continuing or discontinuing with their service providers. Very few studies had examined the impact of service cost on servicequality perception. Our study attempts to fill that gap. A sample of 820 customers was surveyed, and 624 usable responses were analyzed with ANOVA, Standard Multiple Regression, and Logistic Regression. Our findings indicate that, although highly satisfied health insurance customers will most likely retain their current service providers, customer dissatisfaction does not necessarily lead to discontinuance. Our results also provide some operational implications for health insurance managers, with strategies for reducing attrition and improving customer retention.

The Impact of Scarcity of Medical Protective Products on Chinese Consumers’ Impulsive Purchasing during the COVID-19 Epidemic in China

“…Perceived cost refers to a combination of the product price and costs associated with its acquisition and use [68]. It includes both monetary cost and non-monetary cost [69][70][71]. Perceived value is the consumer's overall assessment of a product/service's utility based on perceptions of what is received against what is given [72].…”

Effects of smart city service channel- and user-characteristics on user satisfaction and continuance intention

“…SCS users' intention to continue using SCS, being public services delivered via various technological channels such as mobile phone applications, Internet websites, interactive electronic kiosks, ATM machines, Drive-thru systems, and point-of-sale (POS) systems, is linked to their perception of the desired benefits in the services after initial trials of the systems. As a result, we differentiate between a user's “ trial ” of the delivery channels (the initial one or two times of usage-attempt to test the workability and acceptability of the technological service channel before deciding to continue or not) and his/her “ adoption ” of the channel, which is the user's actual intention (or action) to continue or not continue using the channel (Cronin, Brady and Hult, 2000; Zeithaml, 2002; Abu-Salim et al , 2017).…”

“…In this paper, we also delineate the term “adoption” to mean not the initial one or two times of service channel usage but the willingness of a customer to continue using that service channel in most (if not all) subsequent transactions after the initial attempts. This is because the initial one or two times of usage-attempt constitutes a “trial,” aimed at testing the workability and acceptability of the channel before deciding on its “usage continuance,” which is the real “adoption” (Cronin et al , 2000; Zeithaml, 2002; Zeithaml et al , 2013; Abu-Salim et al , 2017). We are confident that the findings in our study offer significant contribution to the literature on technology-mediated service delivery systems because the study provides the empirically investigated effects of the SCS channel and user personal factors that can enhance or mitigate users' readiness for (i.e.…”

Health insurance policy renewal: an exploration of reputation, performance, and affect to understand customer inertia

“…Notwithstanding the ubiquitous accessibility of a number of retail insurance avenues (i.e., life and non-life policies), customers are not fully aware of the varied options available (Barwitz 2020 ; Hu and Tracogna 2020 ). The fierce competition and continuously evolving customer expectations has compelled service companies to take steps to offer services that are focused toward enhancing service experiences, e.g., health insurance (Abu-Salim et al 2017 ; Yun and Hanson 2020 ). Harrison ( 2000 ) recognized that the globalization of financial services has increased pressure on firms to add value to their service offerings, i.e., service quality, customer satisfaction, productivity, and costs rationalization in ever changing regulatory and technological landscape (Heckl et al 2010 ; Marshall 1985 ).…”

“…The retention of existing customers is crucial for any health insurance policy renewal especially in Indian market (Meesala and Paul 2018 ; Panda et al 2016 ). Research claims that competitive services industries are less differentiated and have more intermediated levels of client satisfaction (Abu-Salim et al 2017 ; Fornell and Johnson 1993 ). The lack of product/service differentiation culminates into competitive challenges for the insurance firms.…”