FINANCIAL LITERACY AND CULTURAL BELIEFS AS CAUSATUM FOR SPURN OF HOME INSURANCE DEMAND IN NIGERIA

Kudirat Adeola  BANJO; Sunday Stephen AJEMUNIGBOHUN

BANJO, Kudirat Adeola aDepartment of Insurance and Actuarial Science, Lagos State University of Science and Technology, Ikorodu, Lagos
AJEMUNIGBOHUN, Sunday Stephen bDepartment of Insurance, Lagos State University, Ojo Lagos

Keywords: Demand, Home Insurance, Cultural Beliefs, Financial Literacy

Abstract

The need to educate the general public on the importance of home insurance has remain on the front burner in recent years. This paper hereby identified the challenges associated with the demand for home insurance. A well-constructed questionnaire was used to collect the study's data. The respondents included 500 legitimate tenants and landlords who were chosen at random from the various stratum divisions of Lagos. Hypotheses were tested using the regression method at 5% significance level. This study revealed that economic status of the insured, cultural beliefs, and financial literacy have significant effect on the demand for home insurance. This paper revealed that there is not enough knowledge on the public's need for home insurance. Hence, the study recommended that Insurance companies ought to engage with consumers frequently through radio, television, and newspaper advertisements and develop cutting-edge products that cater to the needs, wants, and circumstances of each individual customer, invariably fostering customer attraction, satisfaction, and retention.