Service Quality, Customers’ Satisfaction and Loyalty: A Study on Insurance Companies in Adama, Ethiopia

Shambachew Hussen


The aim of this research is to examine the level of customers’ satisfaction and loyalty with respect to the current service being delivered at the target insurance companies. The study examines the level of customer satisfaction through the application of two different customer satisfaction measurements namely; the servqual and overall customers’ satisfaction models. Moreover, the study investigates the significance relationship between the overall customer’s satisfaction and their loyalty. In order to address the aim of the research, both primary and secondary data were collected and employed. Related literatures were reviewed and descriptive research method was employed. The result from the servqual analysis revels that reliability is the most critical dimension followed by responsiveness, assurance, empathy while tangibility is found to be less critical dimension of service quality and customers satisfaction. Moreover, it is found that customers’ satisfaction is significantly and positively related with customers’ loyalty.

Keywords: Insurance, service quality, customer satisfaction, loyalty, Adama, Ethiopia.

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ISSN (Paper)2222-1905 ISSN (Online)2222-2839

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