Insurance Company Customer Survey: Research Methods Assignment

This assignment presents a comprehensive analysis of a customer retention problem faced by an insurance company. The student addresses the scenario of a 9% customer decline by proposing a survey-based research design. Section A details the sampling strategy, defining the research population as all customers and employing a stratified sampling approach, dividing customers into continuing and dropping groups, and using simple random sampling. Section B calculates the minimum sample size required for a 95% confidence level and a 5% margin of error, emphasizing the importance of a large sample size and making assumptions about randomness and independence. Section C provides a concise questionnaire with eight questions designed to gather customer feedback on various aspects of the insurance company's services, including accessibility, communication, flexibility, fairness, and e-services, ultimately aiming to understand customer satisfaction and retention.

Assignment 2- Research methods
Please prepare an answer for the following scenario. You need to answer all three sections.
Your answer should fit in the boxes provided.
Q. You are working for an insurance company. In the last financial year, you had 110,000
customers but the number of your customers has dropped about 9% this year to 100,000. Given
the acute situation, you want to understand the reasons for this and want to investigate whether
you are losing more customers in a certain segment of the market and what might be the reasons
for that.
Please answer the following questions:
Section A. Assuming that you want to implement a survey design, describe the sampling
strategy that you will use and explain how you plan to conduct the study (describe research
population, sampling frame, sampling strategy and execution plan in detail) 40 points
Section B. To incentivise participation in the survey you are offering participants a 10% reduction
for their next annual subscription. What is the minimum number of people that you need to
contact, to give you the required sample size to be able to make a claim about your customer base
with 95% confidence level and accept a 5% margin of error? Explain the basis of your decision and
the assumptions you made (20 points)
Section C. Design a small questionnaire (8 questions) to capture questions that you could ask in
The survey has been conducted on the customers in an insurance company. The sampling strategy is
to collect and investigate about the reasons of dropping the company. The population of the survey is
all the customers of this company. Then divide the whole population in to two groups or strata. These
are continuing customer and dropping customer. Each of these group a sample of observations has
been selected with the help of simple random sampling lottery method. The sampling frame is all the
customers in the insurance company.
The sample size is the most important factor to calculate the confidence interval and margin of error.
When the size of the sample increases then the margin of error decreases. To provide small margin of
error the sample of size should be large. The minimum sample size is 30. To calculate confidence
interval and margin of error the mean and standard deviation on customer satisfaction has been
required. The assumptions are sample should be large, randomisation that is the sample should be
randomly selected, sample observations should be independent.

this survey (40 points)
Q1. Gender of the respondent
a. Male
b. Female
Q2. Age of the respondent
a. Less than 18 years
b. 18 to 24 years
c. 25 to 40 years
d. More than 40 years
Q3. What is opinion about the accessibility to the required services through the insurance
authority’s web and external offices?
a. Strongly agree
b. Agree
c. Neutral
d. Strongly disagree
e. Disagree
Q4. What is opinion about the communication with the insurance company’s employees?
a. Strongly agree
b. Agree
c. Neutral
d. Strongly disagree
e. Disagree
Q5. What is opinion about extent of flexibility dealing?
a. Strongly agree
b. Agree
c. Neutral
d. Strongly disagree
e. Disagree
Q6. What is opinion about fairness and enquiry in planning?
a. Strongly agree
b. Agree
c. Neutral
d. Strongly disagree
e. Disagree
Q7. What is opinion about easy of using e-services?
a. Strongly agree
b. Agree
c. Neutral
d. Strongly disagree
e. Disagree
Q8. What is opinion about to continue with this company?
a. Strongly agree
b. Agree
c. Neutral
d. Strongly disagree
e. Disagree