The elasticity of determinants life insurance demand in improving the efficiency of Jordanian life insurance companies

Abstract

The starting turbulent at any new century has brought numerous difficulties for firms and nations.  During this period, success and survival analysis more and more depends on the efficiency which can be described by many different researching ways.  The main target of this paper is to extend the earlier works on the elasticity of credit rate, the price of life insurance and product differentiation for improving efficiency in life insurer and increase the demand of life insurance policies.  The paper strength is that the efficiency of life insurance companies is estimated from point of view of the insured.  The result shows the inelastic life demand insurance, there are critical effects of credit rate, price, product differentiation on competition and efficiency in the targeted life insurance company.  Moreover, there is a difficulty in understanding life insurance in Jordanian firms because they don’t have the employees who are specialist in insurance.  The ANOVA test and OLS are basically used in this study.