Determinants of Insurance Trust: The Relative Influence of Firm Characteristics, Salesperson Attributes, and Consumer Trust Orientation in Korea and China

Figures & Tables

	Component
	1	2
1. Has a strong and stable financial condition.	.311	.861
2. Has well-established systems and procedures to handle operations.	.330	.877
3. Has secured enough experts needed for insurance business.	.459	.709
4. Conducts extensive research to meet customer needs.	.365	.844
5. Provides polite and friendly services.	.657	.343
6. Considers and respects consumer interests.	.736	.434
7. Processes contract changes and other requests promptly.	.624	.377
8. Listens carefully to customers’ opinions.	.730	.463
9. Conducts business honestly.	.740	.373
10. Engages actively in social contribution activities.	.778	.262
11. Does not exaggerate services to appeal to customers.	.829	.259
12. Does not exaggerate services to appeal to customers.	.800	.283

Step	Predictors Added	R²	ΔR²	F
1	Salesperson Professionalism	.232	--	272.829
2	Salesperson Benevolence	.320	.088	211.933
3	Company Physical Infrastructure	.336	.016	151.658
4	Institutional Trust	.346	.010	119.219
5	Claim Experience	.355	.009	99.110
6	Kind of Insurance	.360	.005	84.150
7	Region	.363	.003	72.965

	Component
	1	2
1. I trust the judgment of family members or relatives.	.082	.884
2. I trust friendships with schoolmates or neighbours.	.044	.924
3. I trust loyalty among friends.	.155	.875
4. I trust social organizations.	.926	.088
5. I trust social rules and systems.	.874	.059
6. I trust written contracts more than verbal promises.	.902	.137

Classification		Total		Korea		China
Classification		N	%	N	%	N	%
Gender	Male	501	55.4	169	67.9	524	38.2
Gender	Female	404	44.6	80	32.1	324	61.8
Age	20~29	359	39.7	103	41.4	256	39.0
	30~39	382	42.2	97	39.0	285	43.4
	40~49	113	12.5	30	12.0	83	12.7
	50~	51	5.6	19	7.6	32	4.9
Education level	High school or lower	145	16.0	18	7.2	127	19.4
	College graduate	632	69.8	216	86.7	416	63.4
	Graduate school	128	14.1	15	6.0	113	17.2
Job	Teacher or lecturer	96	10.6	5	2.0	91	13.9
	Insurance practitioner	173	19.1	127	51.0	46	7.0
	Employee	425	47.0	84	33.7	341	52.0
	Entrepreneur	33	3.6	5	2.0	28	43
	Etc.	178	19.7	28	11.2	150	22.9
Insurance purchase	Life insurance	426	47.1	135	54.2	291	44.4
Insurance purchase	Automobile insurance	479	52.9	114	45.8	365	55.6
Purchase channel	Direct	461	50.9	110	44.2	351	53.5
Purchase channel	Indirect	444	49.1	139	55.8	305	46.5
Relationship traits	Family Relatives	57	12.8	26	18.7	31	10.2
	School Alumni	69	15.5	26	18.7	43	14.1
	Hometown	35	7.9	7	5.0	28	9.2
	Friends/Neighbor	121	27.3	22	15.8	99	32.5
	Etc.	162	36.5	58	41.7	104	34.1
Years of relation	Less than 1 year	154	34.7	23	16.5	131	43.0
	1 yr ~5 yrs	128	28.8	57	41.0	71	23.3
	5 yrs ~10 yrs	83	18.7	28	20.1	55	18.0
	10 yrs~20 yrs	37	8.3	17	12.2	20	6.6
	2more than 20 yrs	42	9.5	14	10.1	28	9.2
Claim experience	Yes	381	42.1	130	52.2	251	38.3
Claim experience	No	524	57.9	119	47.8	405	61.7

	Component
	1	2
1. Fully understands insurance products and is highly professional.	.148	.882
2. Provides sufficient explanations and information about the product.	.283	.819
3. Continues to provide services and information after contract signing.	.372	.752
4. Accurately identifies customers’ needs and preferences.	.362	.741
5. Prioritizes customer interests over their own benefit.	.600	.454
6. Resolves customer complaints or issues effectively	.789	.232
7. Is polite and friendly.	.738	.232
8. Handles contract changes and requests quickly and efficiently.	.767	.254
9. Is personally trustworthy.	.751	.349
10. Does not exaggerate product features to make sales.	.712	.244
11. Keeps promises well.	.781	.198
12. Does not seem to distort facts.	.748	.331

	Component
1. Overall, I find my insurance company trustworthy.	.869
2. I am willing to renew my contract when it expires.	.893
3. I am willing to recommend my current insurance company to others.	.874

Step	Predictors Added	R²	ΔR²	F
1	Salesperson Professionalism	.269	--	332.499
2	Salesperson Benevolence	.318	.049	210.076
3	Company Physical Infrastructure	.345	.027	158.416
4	Region	.366	.021	129.721
5	Company Attitude	.377	.011	108.900

Step	Predictors Added	R²	ΔR²	F
1	Salesperson Professionalism	.327	--	438.728
2	Salesperson Benevolence	.458	.131	381.388
3	Company Physical Infrastructure	.481	.023	278.013
4	Institutional Trust	.497	.016	222.462
5	Company Attitude	.508	.011	185.676
6	Region	.513	.005	157.713
7	Claim Experience	.518	.005	137.767

Step	Predictors Added	R²	ΔR²	F
1	Salesperson Professionalism	.257	--	313.057
2	Salesperson Benevolence	.450	.193	369.508
3	Institutional Trust	.476	.026	272.715
4	Company Physical Infrastructure	.485	.009	212.173
5	Company Attitude	.497	.003	177.887
6	Relational Trust	.499	.002	149.362
7	Region	.502	.002	128.986