Development of New Product in Nigeria Insurance Industry

Development of New Product in Nigeria Insurance Industry

Abstract of Development of New Product in Nigeria Insurance Industry

The topic of this research work is the development of new products in Nigeria Insurance Industry, the work include the background of the study, statement of the problems, the objective of the study and research questions, other areas treated include significant of the study, scope and limitations, definition of terms. Chapter two cover review of related literature, historical development and son on. Chapter three deals with research methodology, sources of data, instrument use and so on. Chapter four covers major findings and chapter five cover conclusions and recommendations.

Chapter One of Development of New Product in Nigeria Insurance Industry

INTRODUCTION

BACKGROUND OF THE STUDY

Insurance business is comparatively new in Nigeria, even though it has been in existence for a long time in Europe. In this regard, not much has been written about new product development in insurance.

According to medium, new product development in the insurance industry are not subject to copy right they still represent an important method of stimulating growth of the industry. Insurance products determine the competitive behaviour of the insurance companies and the structure of insurance market. The main focus of marketing activities of most insurance of customer needs.

Insurance policies or products have been categorized into two broad groups.

1.    Those products/policies which provide protection;

2.    Policies which provide protections and investment.

These two types of major conventional product are fund in life assurance policy.

In products/policies which provide protection the policy holder is given protection for a limited period of 10 – 15 years. Convertible term is a variation where the policy holder is given the option to convert to another type of policy at any time during the policy terms even if his death deteriorates.

Policies which provide a mixture of protection and investment include profit participating endowment and whole life policies. To remain competitive, insurance companies have developed a large number of products. Product development means modifying the existing products or developing new ones to suit the need of the insuring public.

STATEMENT OF THE PROBLEM

The problems which are intended to be solved in this research work include the followings:

1.    Development of new products has taken sometimes in the insurance industry without much results;

2.    To determine the reason fro the slowness of the modification of existing products and innovation;

3.    To know the reason for the aggressive competitiveness the insurance industry.

OBJECTIVES OF THE STUDY

Based on the identical problems as eh insurance industry increase, new products insurance the study to designed to:

1.    To ascertain whether new products differ from old products;

2.    To ascertain the level of efficiency of new insurance products;

3.    To find out the major problems in the marketing of new products in the insurance industry;

4.    To find out the effects of new products on the insurance industry.

RESEARCH QUESTIONS

The research questions which are pertinent to this project research include:

·         Are there any need for the development of new product in insurance?

·         Do the existing products satisfy the buying needs of the people?

·         Are there products which need modification or outright rejection?

·         Who are responsible for the modification or development of new products in the insurance company?

·         Does the re-packing of new insurance products affect the existing ones?