Life Insurance Customer Loyalty: Perspectives of Agent Character, Relational Selling Behavior, and Relationship Quality

摘要

As global insurance rises in recent years, the opportunity of life insurance tends to be growing as well. However, life insurance in Indonesia shows the contrary situation with a phenomenon of declining customer loyalty. Hence, there were some pressures for the insurance companies to highly focus on the quality of insurance agents that still play a crucial role in retaining the customers of life insurance. Previous studies still lacked the focus of the insurance agent to influence customer loyalty in the life insurance sector. Thus, this research aims to analyze the influence of agent character and relational selling behavior, mediated by relationship quality, on customer loyalty of 100 customers of life insurance products in Jakarta. Using quantitative analysis, this research utilized Partial Least Square Structural Equation Modelling (PLS-SEM) with SmartPLS version 3.2.7 to analyze the data. The findings signify that there is a positive and significant relationship between variables. Similarly, the agent character and relational selling behavior have positive and significant influence on relationship quality. Furthermore, the relationship quality has positive and significant influence on customer loyalty. This study presented the implications towards life-insurance companies to educate the agent to be more customer focused.