Exploring the Impact of Personal Selling on Life Insurance Promotion: Perspectives from a Leading Insurer in Ghana

Life Insurance Business is one of the thriving sectors of the insurance industry in Ghana if not Africa. Insurers have shifted their focus from motor and other forms of the insurance business to life insurance because of the huge untapped market in this part of the world. The target population for the study comprised customers of a leading insurance company in Ho, Volta Region of Ghana. Personal selling is a paid communication that seeks to inform customers and persuade them to purchase products in an exchange situation. It is a powerful two-way form of communication. It allows an interactive relationship between buyer and seller in which the latter can modify the information presented in response to the audience's needs. This study intends to establish the contribution of personal selling to the promotion of life insurance products in Ghana. Much literature abounds on the advantages of personal selling, but the outcome of this study will help establish the contribution of personal selling to the promotion of life insurance. Thus, the study focused on life insurance clients in Ho, Ghana. Data was collected with a questionnaire administered to 100 clients of a leading insurer in Ho. Simple frequency distribution tables were used to analyze the data. It was found that personal selling is an essential tool in prospecting, informing, educating, and persuading life insurance clients. Thus, insurers must recruit and train more salespersons to intensify these activities. Also, insurance companies should consider apportioning a good percentage of their promotion budget to developing salespersons. The study concluded that salespersons significantly influence the company's promotion decisions. The study also revealed that personal selling is a competitive strategy to promote the insurer and increase its market share and exposure against competitors.