Business Performance and Management of Insurance Industry in Tanzania: A Case of Zanzibar Insurance Corporation

Abstract

The study was done at Zanzibar Insurance Corporation (ZIC). The general objective was to investigate the performance of ZIC in insurance industry. Specific objectives were: To identify techniques used by Tanzania insurance business organizations to win the available market, to determine issues that are encountered by business organizations to penetrate local market; and to assess the extent problems that encountered by business organizations to penetrate local market. Case study research design was used. Qualitative research approach was used although in few cases quantitative approach was used during table analysis and computation of percentages and a sample consisted 100 respondents and were purposively as well as randomly selected. Interview, observation and documentary analysis as well as interview questions, observation schedule and documentary review schedule were data collection methods and instruments used respectively. Analysis of data was done based on research objectives.

Findings indicated that the technique used included: Ensuring easy access to information, communicating change to customers, rein braising employees,  using technology, developing payment agreements with customers and advertisements. Having good performance in-terms of accruing profits and increase in number of customers. Challenges which influenced ZIC included lack of enough money to keep the lights on, technology challenge, investment and economic uncertainty.  Recommendations are: The ZIC should make deliberate efforts to design new techniques for ensuring effective business; the government should make improvement in the insurance policy to give much priority to local insurance companies: and other researchers to do similar researches in other organizations with the same characteristics but in different contextual environments.