STRATEGIES UNDERTAKEN BY HEALTH INSURANCE SCHEME TO ENHANCE CUSTOMER LOYALTY A CASE STUDY OF NATIONAL HOSPITAL INSURANCE FUND, UKUNDA BRANCH OFFICE

Seby Abdul Aziz () and Dr. Fridah Theuri ()

European Journal of Business and Strategic Management, 2018, vol. 3, issue 2, 59 - 80

Abstract: Purpose: The purpose of the study was to establish strategies undertaken by health insurance scheme to enhance customer loyalty. Methodology: The study adopted a descriptive research design. The target population of the study was a total of 175 external customers who belong to the civil service and disciplined forces scheme and are covered under the comprehensive outpatient scheme. The research sample size from the four stratums was approximately 120 respondents.Since the population confined to the four strata, the researcher used stratified random sampling. The study used questionnaires for data collection. Data was analyzed using descriptive and inferential statistical methods. Raw quantitative data was analyzed using regression analysis. The use of a computer package by the name of Statistical Package for Social Sciences (SSPS) was put to the test in tabulating and analyzing data. The data was analyzed using frequency tables, percentages, degrees and measures of central tendency. Results: The results of correlation revealed that pricing strategy, customer communication strategy, product innovation strategy and market research strategy were positively and significantly related. Pricing strategy, customer communication strategy, product innovation strategy and market research strategy were found to be satisfactory variables in explaining customer loyalty in NHIF. This was supported by coefficient of determination also known as the R square of 64.9%. Unique contribution to theory, practice and policy: The study recommended that while it was necessary to continuously improve on the current strategies, discovering new strategies so as to boost on customer loyalty should be encouraged at NHIF. Keywords: Strategies, health, insurance, scheme, customer, loyalty

Date: 2018
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