The Impact of Asymmetric Information on Auto Insurance Policy in Lagos State
This study investigates the impact of asymmetric information on auto insurance policies in Lagos State. The main objective is to determine the effect of asymmetric information on affect insurer’s acceptance of risk and claims payment in auto insurance. The scope of the study is the five big insuran...
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| Format: | Article |
| Language: | English |
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Danubius University
2023-10-01
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| Series: | Acta Universitatis Danubius: Oeconomica |
| Subjects: | |
| Online Access: | https://dj.univ-danubius.ro/index.php/AUDOE/article/view/2455 |
| _version_ | 1797632623314468864 |
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| author | Oluwaleke Ebenezer Akindipe Olalekan Yusuf Tajudeen |
| author_facet | Oluwaleke Ebenezer Akindipe Olalekan Yusuf Tajudeen |
| author_sort | Oluwaleke Ebenezer Akindipe |
| collection | DOAJ |
| description |
This study investigates the impact of asymmetric information on auto insurance policies in Lagos State. The main objective is to determine the effect of asymmetric information on affect insurer’s acceptance of risk and claims payment in auto insurance. The scope of the study is the five big insurance companies in Nigeria. The survey research design was used for this study. The study population consists of 15,341, and the sample size is 390. A structured questionnaire was used to gather responses from the respondents, simple percentages and descriptive statistics were used to analyze the study, and a chi-square test was used to test the hypothesis. Based on the findings and analysis of the data, it was clear that it is possible to reduce asymmetric information in the automobile insurance market by ensuring that systems are put in place to get accurate information from the insured and do extensive research about the subject matter. It was concluded that insurance companies in Nigeria recognize the negative impact of asymmetric information on a company’s profitability and investment. It was recommended that targeted stipulations be used frequently to reduce or narrow the chances of asymmetric information auto insurance policies to take the asymmetric information factors into account and alleviate the problem areas.
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| first_indexed | 2024-03-11T11:40:25Z |
| format | Article |
| id | doaj.art-534dcb036b224837939cee643ab01a10 |
| institution | Directory Open Access Journal |
| issn | 2065-0175 2067-340X |
| language | English |
| last_indexed | 2024-03-11T11:40:25Z |
| publishDate | 2023-10-01 |
| publisher | Danubius University |
| record_format | Article |
| series | Acta Universitatis Danubius: Oeconomica |
| spelling | doaj.art-534dcb036b224837939cee643ab01a102023-11-10T04:17:43ZengDanubius UniversityActa Universitatis Danubius: Oeconomica2065-01752067-340X2023-10-01195The Impact of Asymmetric Information on Auto Insurance Policy in Lagos StateOluwaleke Ebenezer Akindipe0Olalekan Yusuf Tajudeen1University of LagosDepartment of Actuarial science and Insurance, University of Lagos, Nigeria This study investigates the impact of asymmetric information on auto insurance policies in Lagos State. The main objective is to determine the effect of asymmetric information on affect insurer’s acceptance of risk and claims payment in auto insurance. The scope of the study is the five big insurance companies in Nigeria. The survey research design was used for this study. The study population consists of 15,341, and the sample size is 390. A structured questionnaire was used to gather responses from the respondents, simple percentages and descriptive statistics were used to analyze the study, and a chi-square test was used to test the hypothesis. Based on the findings and analysis of the data, it was clear that it is possible to reduce asymmetric information in the automobile insurance market by ensuring that systems are put in place to get accurate information from the insured and do extensive research about the subject matter. It was concluded that insurance companies in Nigeria recognize the negative impact of asymmetric information on a company’s profitability and investment. It was recommended that targeted stipulations be used frequently to reduce or narrow the chances of asymmetric information auto insurance policies to take the asymmetric information factors into account and alleviate the problem areas. https://dj.univ-danubius.ro/index.php/AUDOE/article/view/2455auto insuranceassymetric informationinsurance policy |
| spellingShingle | Oluwaleke Ebenezer Akindipe Olalekan Yusuf Tajudeen The Impact of Asymmetric Information on Auto Insurance Policy in Lagos State Acta Universitatis Danubius: Oeconomica auto insurance assymetric information insurance policy |
| title | The Impact of Asymmetric Information on Auto Insurance Policy in Lagos State |
| title_full | The Impact of Asymmetric Information on Auto Insurance Policy in Lagos State |
| title_fullStr | The Impact of Asymmetric Information on Auto Insurance Policy in Lagos State |
| title_full_unstemmed | The Impact of Asymmetric Information on Auto Insurance Policy in Lagos State |
| title_short | The Impact of Asymmetric Information on Auto Insurance Policy in Lagos State |
| title_sort | impact of asymmetric information on auto insurance policy in lagos state |
| topic | auto insurance assymetric information insurance policy |
| url | https://dj.univ-danubius.ro/index.php/AUDOE/article/view/2455 |
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