Assessment of the factors affecting the performance of insurance companies in Uganda

Abstract

The study topic was assessment of factors affecting the performance of the insurance sector in Uganda with a case study of National Insurance Corporation. The study objectives were; to investigate the impact operant competency on insurance performance in NIC, to assess the impact of staff commitment on insurance performance and to determine the impact of staff empowerment on the performance of the insurance sector. The primary data was collected using closed ended and open ended questionnaires and oral interviews administered to key staff of National Insurance Corporation Secondary data was obtained from annual financial performance statements available in National Insurance Corporation. Study population was 80 and sample size 55. Out of these 55, only 45 returned fully filled questionnaires. Correlation analysis showed a signified and a positive relationship between the factors that affect the performance of the insurance sector in Uganda. The strong relationship shown in the correlation table comes as a result of comparing the independent variable and the dependent variable which coordinated and brought about positivity in the findings. The researcher therefore recommends that, National Insurance Corporation should continue to engage itself in empowering employees with the aim of creating conducive environment with each employee being able to take correct decisions for the company. Secondly; the company should also derive appraisal tactics that can attract the attention of the employees to think of the company as their own, through job decentralization, reward systems, performance appraisals, and salary increments among others.