Strategic Alliances and Microinsurance as Drivers of Sustainable Performance Among Emerging Insurance Marketplace in Nigeria: The Mediating Role of Claims Management
DOI:
https://doi.org/10.60782/tjk7py45Keywords:
claims management, microinsurance, strategic alliances, sustainable performanceAbstract
The study is driven by the poor sustainable performance of the emerging insurance marketplaces in developing economy. This study investigates the effects of strategic alliances and microinsurance on the sustainable performance of insurance firms in Nigeria using claims management as a mediator. The study obtained data by administering questionnaire to 153 management staff of the selected 23 insurance firms in Nigeria. Partial least squares structural equation model (PLS- SEM) was used to analyzed the data for the study. It is a cross-sectional study. The results of the analysis revealed that claims management has a positive and significant effect on the sustainable performance in an emerging insurance marketplace. Similarly, strategic alliances significantly influence both claims management and the sustainable performance in an emerging insurance marketplace. However, the findings also showed that micro-insurance does not have a significant effect on claims management and sustainable performance in an emerging insurance marketplace Nigeria. For the mediation effects, the indirect relationship between micro-insurance, claims management, and sustainable performance is not significant, indicating that claims management does not mediate the relationship between micro-insurance and sustainable performance of insurance firms in Nigeria. However, claims management significantly mediates the relationship between strategic alliances and sustainable performance. The results of the study imply that forming strategic alliances with other emerging insurance marketplaces or firms to achieve sustainable performance is the best pathways for ensuring sustainable development goals within the insurance sector in Nigeria. Furthermore, the emerging insurance firms should bring in better innovative thinking to improve its claims management process for organizational sustainability in the insurance firms.
