Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town

Zelalem Tadesse Wondimu; Mandefro Gebre Hibstu

doi:doi:10.11648/j.ijebo.20251304.12

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Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town

Zelalem Tadesse Wondimu^*, Mandefro Gebre Hibstu

Published in International Journal of Economic Behavior and Organization (Volume 13, Issue 4)

Received: 11 October 2025 Accepted: 23 October 2025 Published: 28 November 2025

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Abstract

Insurance plays a crucial role in providing financial protection against risks for individuals and businesses. However, consumer attitudes toward insurance in Ethiopia are shaped by factors such as cultural beliefs, financial literacy, prior experiences, and affordability. This study, conducted at Mizan Tepi University in southwestern Ethiopia, aimed to assess the attitudes of the Mizan Aman community toward purchasing insurance. Using a descriptive research design, primary data were collected through questionnaires from 398 selected policyholders aged 18-65 years, representing high and middle social classes, out of a total population of 91,437 active individual life policyholders. Secondary data from relevant literature provided contextual background on Ethiopia’s insurance sector. Data analysis using SPSS included descriptive statistics, factor analysis, Pearson correlation, and regression to examine the influence of variables such as income, age, family status, education, and cultural factors on insurance uptake. The findings reveal significant gaps in awareness, trust, and understanding of insurance among respondents. Many participants showed limited knowledge of insurance benefits, legal requirements, and policy details, which hindered their willingness to purchase insurance. Additionally, distrust in insurance companies and doubts about insurance’s role in economic stability and health crisis management further constrained engagement. Overall, the study highlights challenges related to limited awareness, mixed perceptions, and economic barriers affecting insurance adoption in Mizan Aman. The results suggest the need for strategic interventions focusing on community education, trust-building, and improving accessibility to insurance products. While providing useful insights, the study’s limitation to a single location and researcher calls for broader research across multiple sites to support comprehensive recommendations.

Published in	International Journal of Economic Behavior and Organization (Volume 13, Issue 4)
DOI	10.11648/j.ijebo.20251304.12
Page(s)	138-156
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2025. Published by Science Publishing Group

Keywords

Insurance, Educational Level, Descriptive Statistics and Attitudes

References

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APA Style

Wondimu, Z. T., Hibstu, M. G. (2025). Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town. International Journal of Economic Behavior and Organization, 13(4), 138-156. https://doi.org/10.11648/j.ijebo.20251304.12

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ACS Style

Wondimu, Z. T.; Hibstu, M. G. Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town. Int. J. Econ. Behav. Organ. 2025, 13(4), 138-156. doi: 10.11648/j.ijebo.20251304.12

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AMA Style

Wondimu ZT, Hibstu MG. Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town. Int J Econ Behav Organ. 2025;13(4):138-156. doi: 10.11648/j.ijebo.20251304.12

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@article{10.11648/j.ijebo.20251304.12,
  author = {Zelalem Tadesse Wondimu and Mandefro Gebre Hibstu},
  title = {Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town},
  journal = {International Journal of Economic Behavior and Organization},
  volume = {13},
  number = {4},
  pages = {138-156},
  doi = {10.11648/j.ijebo.20251304.12},
  url = {https://doi.org/10.11648/j.ijebo.20251304.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijebo.20251304.12},
  abstract = {Insurance plays a crucial role in providing financial protection against risks for individuals and businesses. However, consumer attitudes toward insurance in Ethiopia are shaped by factors such as cultural beliefs, financial literacy, prior experiences, and affordability. This study, conducted at Mizan Tepi University in southwestern Ethiopia, aimed to assess the attitudes of the Mizan Aman community toward purchasing insurance. Using a descriptive research design, primary data were collected through questionnaires from 398 selected policyholders aged 18-65 years, representing high and middle social classes, out of a total population of 91,437 active individual life policyholders. Secondary data from relevant literature provided contextual background on Ethiopia’s insurance sector. Data analysis using SPSS included descriptive statistics, factor analysis, Pearson correlation, and regression to examine the influence of variables such as income, age, family status, education, and cultural factors on insurance uptake. The findings reveal significant gaps in awareness, trust, and understanding of insurance among respondents. Many participants showed limited knowledge of insurance benefits, legal requirements, and policy details, which hindered their willingness to purchase insurance. Additionally, distrust in insurance companies and doubts about insurance’s role in economic stability and health crisis management further constrained engagement. Overall, the study highlights challenges related to limited awareness, mixed perceptions, and economic barriers affecting insurance adoption in Mizan Aman. The results suggest the need for strategic interventions focusing on community education, trust-building, and improving accessibility to insurance products. While providing useful insights, the study’s limitation to a single location and researcher calls for broader research across multiple sites to support comprehensive recommendations.},
 year = {2025}
}

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TY  - JOUR
T1  - Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town
AU  - Zelalem Tadesse Wondimu
AU  - Mandefro Gebre Hibstu
Y1  - 2025/11/28
PY  - 2025
N1  - https://doi.org/10.11648/j.ijebo.20251304.12
DO  - 10.11648/j.ijebo.20251304.12
T2  - International Journal of Economic Behavior and Organization
JF  - International Journal of Economic Behavior and Organization
JO  - International Journal of Economic Behavior and Organization
SP  - 138
EP  - 156
PB  - Science Publishing Group
SN  - 2328-7616
UR  - https://doi.org/10.11648/j.ijebo.20251304.12
AB  - Insurance plays a crucial role in providing financial protection against risks for individuals and businesses. However, consumer attitudes toward insurance in Ethiopia are shaped by factors such as cultural beliefs, financial literacy, prior experiences, and affordability. This study, conducted at Mizan Tepi University in southwestern Ethiopia, aimed to assess the attitudes of the Mizan Aman community toward purchasing insurance. Using a descriptive research design, primary data were collected through questionnaires from 398 selected policyholders aged 18-65 years, representing high and middle social classes, out of a total population of 91,437 active individual life policyholders. Secondary data from relevant literature provided contextual background on Ethiopia’s insurance sector. Data analysis using SPSS included descriptive statistics, factor analysis, Pearson correlation, and regression to examine the influence of variables such as income, age, family status, education, and cultural factors on insurance uptake. The findings reveal significant gaps in awareness, trust, and understanding of insurance among respondents. Many participants showed limited knowledge of insurance benefits, legal requirements, and policy details, which hindered their willingness to purchase insurance. Additionally, distrust in insurance companies and doubts about insurance’s role in economic stability and health crisis management further constrained engagement. Overall, the study highlights challenges related to limited awareness, mixed perceptions, and economic barriers affecting insurance adoption in Mizan Aman. The results suggest the need for strategic interventions focusing on community education, trust-building, and improving accessibility to insurance products. While providing useful insights, the study’s limitation to a single location and researcher calls for broader research across multiple sites to support comprehensive recommendations.
VL  - 13
IS  - 4
ER  -

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Author Information

Zelalem Tadesse Wondimu

Department of Management, Mizan Tepi University, Mizan Aman, Ethiopia

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Mandefro Gebre Hibstu

Department of Horticulture, Bonga University, Bonga, Ethiopia

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APA Style

Wondimu, Z. T., Hibstu, M. G. (2025). Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town. International Journal of Economic Behavior and Organization, 13(4), 138-156. https://doi.org/10.11648/j.ijebo.20251304.12

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ACS Style

Wondimu, Z. T.; Hibstu, M. G. Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town. Int. J. Econ. Behav. Organ. 2025, 13(4), 138-156. doi: 10.11648/j.ijebo.20251304.12

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AMA Style

Wondimu ZT, Hibstu MG. Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town. Int J Econ Behav Organ. 2025;13(4):138-156. doi: 10.11648/j.ijebo.20251304.12

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@article{10.11648/j.ijebo.20251304.12,
  author = {Zelalem Tadesse Wondimu and Mandefro Gebre Hibstu},
  title = {Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town},
  journal = {International Journal of Economic Behavior and Organization},
  volume = {13},
  number = {4},
  pages = {138-156},
  doi = {10.11648/j.ijebo.20251304.12},
  url = {https://doi.org/10.11648/j.ijebo.20251304.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijebo.20251304.12},
  abstract = {Insurance plays a crucial role in providing financial protection against risks for individuals and businesses. However, consumer attitudes toward insurance in Ethiopia are shaped by factors such as cultural beliefs, financial literacy, prior experiences, and affordability. This study, conducted at Mizan Tepi University in southwestern Ethiopia, aimed to assess the attitudes of the Mizan Aman community toward purchasing insurance. Using a descriptive research design, primary data were collected through questionnaires from 398 selected policyholders aged 18-65 years, representing high and middle social classes, out of a total population of 91,437 active individual life policyholders. Secondary data from relevant literature provided contextual background on Ethiopia’s insurance sector. Data analysis using SPSS included descriptive statistics, factor analysis, Pearson correlation, and regression to examine the influence of variables such as income, age, family status, education, and cultural factors on insurance uptake. The findings reveal significant gaps in awareness, trust, and understanding of insurance among respondents. Many participants showed limited knowledge of insurance benefits, legal requirements, and policy details, which hindered their willingness to purchase insurance. Additionally, distrust in insurance companies and doubts about insurance’s role in economic stability and health crisis management further constrained engagement. Overall, the study highlights challenges related to limited awareness, mixed perceptions, and economic barriers affecting insurance adoption in Mizan Aman. The results suggest the need for strategic interventions focusing on community education, trust-building, and improving accessibility to insurance products. While providing useful insights, the study’s limitation to a single location and researcher calls for broader research across multiple sites to support comprehensive recommendations.},
 year = {2025}
}

Copy | Download

TY  - JOUR
T1  - Assessment of Community Attitude Towards Insurance Service Purchase in the Case of Mizan Aman Town
AU  - Zelalem Tadesse Wondimu
AU  - Mandefro Gebre Hibstu
Y1  - 2025/11/28
PY  - 2025
N1  - https://doi.org/10.11648/j.ijebo.20251304.12
DO  - 10.11648/j.ijebo.20251304.12
T2  - International Journal of Economic Behavior and Organization
JF  - International Journal of Economic Behavior and Organization
JO  - International Journal of Economic Behavior and Organization
SP  - 138
EP  - 156
PB  - Science Publishing Group
SN  - 2328-7616
UR  - https://doi.org/10.11648/j.ijebo.20251304.12
AB  - Insurance plays a crucial role in providing financial protection against risks for individuals and businesses. However, consumer attitudes toward insurance in Ethiopia are shaped by factors such as cultural beliefs, financial literacy, prior experiences, and affordability. This study, conducted at Mizan Tepi University in southwestern Ethiopia, aimed to assess the attitudes of the Mizan Aman community toward purchasing insurance. Using a descriptive research design, primary data were collected through questionnaires from 398 selected policyholders aged 18-65 years, representing high and middle social classes, out of a total population of 91,437 active individual life policyholders. Secondary data from relevant literature provided contextual background on Ethiopia’s insurance sector. Data analysis using SPSS included descriptive statistics, factor analysis, Pearson correlation, and regression to examine the influence of variables such as income, age, family status, education, and cultural factors on insurance uptake. The findings reveal significant gaps in awareness, trust, and understanding of insurance among respondents. Many participants showed limited knowledge of insurance benefits, legal requirements, and policy details, which hindered their willingness to purchase insurance. Additionally, distrust in insurance companies and doubts about insurance’s role in economic stability and health crisis management further constrained engagement. Overall, the study highlights challenges related to limited awareness, mixed perceptions, and economic barriers affecting insurance adoption in Mizan Aman. The results suggest the need for strategic interventions focusing on community education, trust-building, and improving accessibility to insurance products. While providing useful insights, the study’s limitation to a single location and researcher calls for broader research across multiple sites to support comprehensive recommendations.
VL  - 13
IS  - 4
ER  -

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