A Study on the Awareness of Importance in HavingLife Insurance
Policy Among UiTM Seremban 3 Students.Chapter 1Introduction
1.1 Background of the StudyMajority of personal finance and
planning book has advocated that insurance policy has significant
part in individual personal financing plan. This can be meant that
life insurance will assist the peoples to save their money and at
the same time, it can assure any of the risks and safety issues
that insures may face in their life. Nevertheless, there are many
people are inclined to unwillingly allocating their money in life
insurance and they unable to comprehend the benefits behind it as a
personal risk management tool which has been affirmed by the
financial planner and representatives of life insurance.(Shahnaz
Mahzan, Sarah Margaret, 2013). This statement can be proved by a
report of Life Insurance Association of Malaysia (LIAM) whereas
only forty-two per cent of the total Malaysian population is
insured. It can be implied that the remaining fifty-eight per cent
of the Malaysian population are not realize that lifes risk may
affecting their earning in the future. In the other word, the
comparatively high percentage of uninsured population in Malaysia
might be regarded by two different perceptions. From one
perception, the circumstance that may raise alarm on the
susceptibility of dependents of the unexpected death of breadwinner
that might occurs in the future. Meanwhile, the other perception is
low affluences of life insurance acclaimed that there is plenty
opportunity for development of the insurance policy in Malaysia.
The life insurance policy industry registered a praiseworthy
evolution testified in 2010 associated nine per cent of the amount
in 2009 which is RM 7.53 billion.(Shahnaz Mahdzan, Margaret,
2013).According to Kolhapur (2012) in this globalization era,
insurance has become turn into an inevitable part in our life. It
can be meant by it has the same level of necessity of life such
food, shelter and clothing. This is because it does not only
providing financial protection to the policyholders nonetheless
actions as better investment for them. Nonetheless, the
policyholder should not take it as instrument of tax exemption as
it can be far-off more vital rather than enjoying tension free life
(Banne, Bhola,2013). The professionals in financial matters
stresses that insurance is undoubtedly the greatest financial tool
to capitalize and for endowment of old age, emergencies and several
further likelihood that people might be going through in the
future. This showed that how important life insurance in our life
as we could not predict what may happen in one year, two years or
several years later so, we need to be prepared as much as
possibility that we might be faced in the future. Furthermore, most
of people purchasing the insurance in place of instrument to
long-term tax in favor saving and investment purposes. Life
insurance is rapidly evolving as an essential instrument to
managing money plan for the need of the people. People need the
insurance policy because of the system itself work as basic
principle pooling of the risk of unforeseen cost of the people of
falling sick and need to be hospitalized by changing quality from
the larger area of population which based on the same community.
(Shakti, 2012).The greater awareness and increasing demand for
better services of insurance can be happened due to the developed
rate of literacy of the citizen, raise in term of earning and fast
spread of the printed and electronic media such as internet,
newspapers, television, radio, magazines and the other medium in
the country. The insurance company should has wiser planning and
marketing methodology on how to provide and provide better service
in order to attract attention of the people to be insurers in their
insurance policy.Regardless a lot of researches that has been made
by the researchers, people have lacking understanding of the reason
behind the life insurance demand. This issue is explored in the
context of Malaysia; which is the primary purpose in their
provision into life insurance will be examined. Above of all, the
influence of saving purposes such as precautionary, life cycle
legacy and wealth accretion on life insurance will be investigated.
(Shahnaz Mahdzan, Sarah Margaret, 2013).Therefore, students should
aware and being exposed about the importance of, life insurance as
a sign of they value their life or something that may happen to
them in future. This is important for them to know how life
insurance may give benefit them in future. Students should aware
that life insurance is not only gives assurance for the monetary
losses but it provides the new market and avenues to the society
which has been stated on the previously. In addition, the
information about life insurance is easily accessed by utilizing
the advanced facilities such as internet, media social and any
other medium too. Nowadays, students can also get their life
insurance on their own without depending to their parents or family
members to register for them and the premium fees is affordable for
them so that it would not become a reason students did not insured
in order to protect personal risk in life.
1.2 Problem Statement
Life is something that has been given to us that we need to
appreciate it. As human being there is full of risks and
uncertainties since, we are social human beings, we have our own
responsibilities too to minimize these risks. We cannot prevent an
unpredicted event that will give some uncomfortable condition but
there is certain way to safe our treasured ones from the losses
occurs due to deficiency of lives. Life insurance is not only gives
assurance for the monetary losses but it provides the new market
and avenues to the society (Sharma, n.d.).Family is one of the
major factors that will lead to the family to have insurance life
policy. According to Garman and Forgue, when the head of family is
dead the family members are automatically will have financial
problem in surviving. This is because the whole time is only the
head of family that earn financial obligations, such as dependants
to support, children to educate, and a mortgage to repay. Life
insurance allows individuals and families to share the risk of
premature death of the primary wage earn. From this we can conclude
that, the main reason for the purchase of life insurance policy is
to provide financial security for the family (Shakti, 2012).Every
individual will have different reason to have life insurance policy
where people will buy life insurance as a medium to long-term tax
favored savings and investment of vehicle. Life insurance is fast
emerging as an important mechanism to finance the needs of the
people. The need of insurance policy we can see when there is
sudden ill from individual around us or our own self. When the
individual is hospitalization and need surgery to precede life
insurance policy will help in covering the cost of hospitalization
(Shakti, 2012). In this global now where world with technology, we
could see a lot of gadget like smart phone and etc. Now with
improved literacy, modest rise in incomes, and fast spread of print
and electronic media, there is greater awareness and increasing
demand for better services of insurance. There is growing evidence
that the level of insurance spending in India currently at over 7
per cent of its total GDP and this is considerably higher than that
in many other developing countries. This evidence also suggests
that more than three-quarters of this spending includes private
out-of-pocket expenses (Shakti, 2012). According to Roy and Vishal,
there is a vast untapped insurance market in India. According to
World Insurance Report, India accounts for 16% of the world
population, but accounts for only 1.68% of the world life insurance
market in 2006. India is also far behind world averages in terms of
insurance penetration, and insurance density (Shakti,
2012).Malaysia is one of the countries that developing in insurance
policy market, many organizations have established life insurance
policy. Example of organization that provides insurance is
Prudential Assurance Malaysia Bhd, Takaful, and Allianz Life
Insurance Malaysia Bhd. The establishment of first takaful operator
took place is in year 1985. As in usual life insurance, growing
rate of market penetration is an essential part as the significance
of takaful which defined as the ratio of the number of certificates
in force to total population. In the Malaysian takaful industry,
the penetration rate increases from 5.62 per cent in 2005 to 6.45
per cent in 2006 (Redzuan et al. , 2009). ASNB have done a program
Seminar 360 which this seminar are encourage every level of society
invest in variety of their product including life insurance
protection. One of the levels of their participants is students.
Leading to the above matter, this research is carried out to
investigate awareness of student of UiTM Seremban 3 in the life
insurance policy and identify the factor that influence student for
having life insurance policy.1.3 Question of the Study 1) What is
the level on the awareness of importance in having life insurance
policy among FSPPP student of Seremban 3?2) Is there any
relationship between family background and student awareness
towards importance of having life insurance policy?3) Is there any
relationship between knowledge and student awareness towards
importance of having life insurance policy?
1.4 Objective of the Study1) To examine the level on the
awareness of importance in having life insurance policy among FSPPP
student of Seremban 3 2) To identify the relationship between
family background and student awareness towards importance of
having life insurance policy3) To investigate the relationship
between knowledge and student awareness towards importance of
having life insurance policy
1.5 The Scope of StudyThe scope is study is something that show
the limitation of the research done by a researcher. From this
scope of study will tell (Leake, n.d). This research will focus on
awareness towards importance of life insurance policy among student
from one faculty oly which is FSPPP. The totl of repondents that
will involve in this tuy is 200 respondents. The territory is
located at UiTM Seremban 3, Negeri Sembilan. The research will be
conducted within 2 semester from September 2014 to June 2015.1.6
Significant of the StudyThe study examines the level of awareness
of the importance of having life insurance policy among UiTM
Seremban 3 students. This topic is very crucial matter as a lot of
people might be ignored or thought that life insurance is trivial
matters so, they tend to left it aside rather than think about its
benefit for the in the future.One of the significant of this study
is to educate the students and society to have adequate knowledge
regarding by what means important of having life insurance policy
in their life. Life insurance policy is able to cover personal risk
that might be faced by the individual itself. This is because life
is full of uncertainties which any possibilities could be happened.
Thus, life insurance will make sure that the person that you love
able to carry on a good quality of life against whichever
unanticipated event which is the liability of repayment does not
fall on the bereft family. (Life Insurance Council, n.d.). As
students themselves, they might be exposed to the unforeseen event
in term of health issues and safety such as road accident, renting
house far from campus and so much more to being considered which
are important to own life insurance for protecting their life and
family.The next significant is it can build the habit of thrift
among student. (Life Insurance Council, n.d.). This is because life
insurance is a long term contract which is demanded the
policyholder to pay a permanent amount of money at a defined
periodicity. Thus, it can educate the students to build the habit
of long-term savings for the future. Consistent savings over a long
period certifies that a decent amount is put up to encounter
economic requirements at numerous life phases. Therefore, the
students can learn the technique to manage their own money
efficiently instead of spending their money over unnecessary thing
in their life and the worst scenario is they become shopaholics due
to the failure of money planning.Furthermore, student can plan for
life stage needs in their life. Life insurance not only offers for
monetary support in the event of premature death but it also acts
as in a long term investment. Student can plan their financial
state effectively to meet their goal in future event according to
their life stage and risk that might face any other time in future.
On the other way, traditional life insurance policies providing
traditional endowment plans, offer in-built guarantees and defined
maturity benefits through variety of product selections such as
Money Back, Guaranteed Cash Values, Guaranteed Maturity Values.
Thus, it gives the opportunity for the student to be more prudent
in planning and achieve their goal in their life.Moreover, this
study is also considering the growing prevalence of lifestyle. It
can be related to the disease that they might suffer such as heart
attack, diabetes, kidney failure and the other chronic diseases.
This is because this chronic disease not only undergone by the
older generation but, it also can be undergone by the younger
generation due to the unhealthy lifestyle. Thus, the need to have
life insurance policy cannot be seen as selection but a necessity
for future events. The increasing cost of medical and health care
provide strong support to the need of having insurance policy as
protection and security against unexpected financial obligation if
anything happen to the policymakers. (Okunnu, Adeyemi 2008)
1.7 Definition of Term and ConceptInsurance is a contract by
which one party undertakes to indemnify another against loss,
damage or liability arising from an unknown or contingent event.
According to the Advanced Learners Dictionary Hornby (2005)
Insurance refers to agreement by contract to pay money especially
in case of a misfortune such as illness, death or accident such as
life or car insurance (Ajani, 2013). Insurance is considered as one
of the oldest and well known financial products but there are still
many who shy away from it and would not purchase it at free will.
Perhaps this is because insurance is quite a complex product and in
the Asian society, some find it a taboo to talk about unfortunate
circumstances such as death, disability or ill health. However,
given life uncertainties, insurance helps to cushion and minimize
the loss that consumers and households incur in the event of
unfortunate incidents (Yiing, Yi, 2012).Life Insurance is a
cooperative device which spreads risk of a person over a large
number of people against different types of contingencies such as
death of a person due to accident or sickness etc. It is an
arrangement where losses of a few are extended over several who are
exposed to similar risks (Banne, Bhola, 2014). There are three main
types of life insurance policies in actuarial literature (Back,
2000). The first one is whole life insurance which provides a death
benefit for lifetime. Second is term life insurance which provide a
death benefit for a limited number of years and environment life
insurance, which is a term life insurance with a saving component
(Okunnu, Adeyemi, 2008). The insurance sector in Malaysia has shown
rapid growth in recent years. However, on comparing with other
Asian countries, the penetration rate of life insurance remains low
and there is still a large untapped life insurance market in
Malaysia (Yiing, Yi, 2012).
Chapter 2Literature Review
2.0 IntroductionThis chapter provide a review of the literature
on awareness of student towards life insurance policy and the
factors influencing student about how important life insurance in
life. Section 2.1 explains awareness of about life insurance
policy. Section 2.2 explains factors influencing student about how
important life insurance in the life. Section 2.2.1 will determines
family background of the students influence their awareness toward
life insurance policy. Section 2.2.2 discusses about knowledge of
the life insurance policy contributing in students awareness toward
life insurance policy. Section 2.3 provides the conceptual
framework. Finally, Section 2.4 is identifies the hypothesis of the
study.
2.1 Awareness about life insurance policyBased on Oxford
Dictionaries, awareness can be defined as knowledge or perception
or a situation or fact. Meanwhile, Investopedia has identified that
life insurance policy act as security for countering to the loss of
earnings that would effect if the insured passed away. The named
beneficiary receives the proceeds and by this means secured from
the financial impact of the death of the insured. Thus, it can be
determined that awareness of student toward life insurance policy
is the knowledge or perception regarding life insurance policy
issues and its benefits from the policy implemented.According to
Kshitij Patukele (2009) has stated that, Individuals who ridicule
at insurance without even thinking about it as it should, must
remember that there is no other thoughtlessness match of that of
not pulling out insurance. There is no doubt life insurance is
exceptionally importance in a life of a human, yet people has
enough aware about its requirement. Insurance is not yet on
uppermost programme of illiterate and even illiterate or educated
people. Many people have debated that they are above the risk and
are not needed to be protected under insurance protection. Though,
they are aware that life that can be unpredictable and whatever
thing might be happen to them at no particular time but, they did
not considering that life insurance can be the exact solution in
order to resolve financial problem when they might have driven into
a corner when they cannot afford to pay debt.The life insurance
policy companies should have emerged with the clear and obvious
regarding the detail of the policy (Shakti, 2012). This is because
a lot people has ambiguous and confuse definition about the
countless benefits and risks involved in a policy especially life
insurance policy. Therefore, the insurance companies improve a
practical life insurance outline, they should understand how people
will perceive the scheme that will be made and ensure the scheme
has been made include the package that is reachable, obtainable,
reasonably priced and suitable to all sections of the
society.Therefore, creating about the awareness about life
insurance is crucial to bring them the benefits of life insurance
policy and ensure them to be covered by it. So that people has more
protection and security to ensure they will be prepared anything
that may happen in the future. Furthermore, people should buy
insurance of their own accord and not by force by any party that
has higher power upon certain person. For the current research of
the awareness has been deliberated from two angles. For the first
are about attitude and knowledge about necessities of life
insurance policy among the respondents in their life and secondly,
how the respondent get their sources about life insurance policy
and get into the policy after that.
2.2 Factors influence student about how important life insurance
in lifeThere are several factors that influence students about how
important life insurance in their life. However, we emphasize about
the two major factors influencing awareness of students towards
life insurance policy in their life which is knowledge and family
background of the students. The factors influencing awareness of
students towards life insurance policy will be discussed in the
following subtopic of this topic.
2.2.1 Family BackgroundFamily background is one of the important
aspects that we can relate it with awareness of student towards
having life insurance policy. Family background is related with
family size, family income, and also family education. According to
Namasivayam (2006), he has identified the socioeconomic factors
that are responsible for having of life insurance policies and the
preference of the policyholders towards various types of policies
of life insurances company. From the analysis, the study concluded
that factors such as age, educational level and sex of the
policyholders are insignificant, but income level, occupation and
family size are significant factors (Gautam, 2013). The degree and
diploma holders are of 30% and they form majority. Household income
came as an important variable to influence the attitude towards
banking services in the study held among Indian people. From this
high income group have shown higher in mean attitude score of high
income group than the low income and middle income group
(Gautam,2013).
From this it can be explained by the fact that high income group
require more facilities from banks to deal with multiple money
related issues, whereas, in India middle income group give more
attention on their daily expenses and other financial needs. The
low income households are also too much uncertain about their
future, but their financial problem and limitations generally do
not allow them to go for banking services such as in having life
insurance policy for their family (Gautam, 2013).Life insurance
allows individual person and also married have life insurance and
that life insurance is good couples and families can share the
uncertain type of risk of premature death value and a good form of
long-term savings and to ease the financial burden from the
premature death.The education level of household head is
conjectured to if the household is the primary source of income
affect decisions to purchase life insurance policies. Claim that
client need to display great level of the expectation is that the
more educated the head of risk aversion to justify insurance
against normal household, the greater likelihood or consider the
need for risk. Number of children in the family or family size is
need of life insurance protections. From this we can see that when
there is bigger size of family the risk on have unpredictable
problem is higher, so that the life insurance becomes needed. This
result is collaborated by significant variable in purchase of life
insurance policies (Annamalah, 2013).Family background could
influence students awareness towards having life insurance policy.
Life insurance purchases of the parents are important because
offspring face income uncertainty arising from the parent's
uncertain lifetime (Annamalah, 2013). When there is a married
couple it will lead to insecure feeling about their future
children. From this we will know that when a family have good
income then have live insurance family, so that it will shape the
awareness of the student towards the life insurance policy.
Educated people, especially third life insurance is about
providing the insurers family. Education level are more aware of
the need for insurance purchasing life insurance is an important
part of good policies compared to less educated people (Annamalah,
2013) . This is show that when there is educated background of
family, their family will have high level of awareness towards the
importance of life insurance policy.
2.2.2 Knowledge of life insurance policyAccording to Mustapa
A.O, and Oludare T.A (2008), they had found that a lot of the
Nigerian students nevertheless from any of the ethnic groups they
have associated with are very alarmed and aware of the importance
of having life insurance policy. It shows that university students
were in point of fact conscious about the danger of living without
security and perceived taking life insurance as one way to address
it. The main sources of receiving information are their parents,
family members and life insurance agents. (Okunnu, Adeyami,
2008)According to G.Raju and S. Mohan (2011) have observed that at
the present time the customers are receiving educated by media and
always finding the best product, brand name, quality and operation
support. ( Banne, Bhola, 2014). This indicated that the customers
have aware and knowledge about the necessities of what they really
need in their life. Thus, the researchers have found that awareness
has upgraded consumer awareness about the aspects of relating to
life insurance product.According to Panchnathan et. Al. (2008)
found that 43% policyholders are aware about the policies through
advisor or agents. 63% of the policyholders have selected the
billboard and hoardings as suitable media (Shakti, 2012). It can be
meant that there is deviation in the studies of G.Raju and S. Mohan
(2011) and Panchnanthan et. al. (2008), where, the former
researchers observed that the media is the most important source of
getting information about life insurance for the customers but,
customers would be preferred clear information about maturity and
medical benefits. In contrast, the far ahead found that insurance
advisors or agents and billboard are the suitable media for getting
information and there is no significant relationship between income
and customer expectation. According to K. Uma et.al. (2011), he
found that insurance agents are the most important source of
information followed by pamphlets and bulletins, newspapers,
hoardings. The other sources like radio, friends, and television
played very minor role in creating awareness about life insurance.
Meanwhile, Seranmadevi R. et. al. (2011) evaluated investors'
preference on ULIP and bring into being that the respondents came
to know about ULIP mostly through advertisements. The contrast of
these two studies shows that according to K. Uma et.al. (2011) the
main source of information is insurance agent followed by pamphlets
and bulletins, newspapers, hoardings, on the other hand, according
to Seranmadevi R. et. al. (2011) advertisements are the main source
for getting information about life insurance. (Banne, Bhola,
2014)
According to Patil S. J. (2012), he had observed that 97% of the
respondents are familiar with the products of LIC of India and same
proportion of the respondents feel insurance is essential for life'
Comparison of study Patil S. J. on one hand and studies of K. Uma
et. al. (2011) & Seranmadevi R. et. al. (2011) on the other
side shows that the views of these researchers are totally
different. Thus, there are dissimilarities about clarification of
the significance of awareness about life insurance. Therefore, for
the current study, awareness has been taken as both such as sources
of getting knowledge about life insurance and knowledge about need
of life insurance.
2.3 Conceptual FrameworkIn order to investigate and understand
better the independent variable of family background and knowledge
towards the awareness of student in having life insurance policy,
this conceptual framework provides an understanding ways on whether
independent variables have significant towards student awareness in
having life insurance policy. The independent variables are family
background and knowledge. Awareness of the student is known as the
dependent variables. The conceptual framework for the study is
shown as follows:
Figure 1 shows conceptual framework
2.4 HypothesisThe first independent variable is family
background towards the awareness of having life insurance policy.
Family background such as household income came as an important
variable to lead the attitude towards banking services in the study
conducted among Indian people (Gautam, 2013).Ha1:There is a
positive significant between family background and student
awareness in having life insurance policy.Ho1:There is a negative
significant between family background and student awareness in
having life insurance policy.The second independent variable is
knowledge towards the awareness of having life insurance. K. Uma
et.al. (2011) found that insurance agents are the primary source of
information followed by pamphlets and bulletins, newspapers,
hoardings. Therefore, for the current study, awareness has been
taken as both such as sources of getting knowledge about life
insurance and knowledge about need of life insurance.
Ha2: There is a positive significant between knowledge and
student awareness in having life insurance policy.Ho2: There is a
positive significant between knowledge and student awareness in
having life insurance policy.
CHAPTER 3Research Methodology
3.0 IntroductionIn this chapter, the research methodology
explained about how well the study will be carried out. Section 3.1
discusses on research design, Section 3.2 explains on sample size
and Section 3.3 discuss a sampling technique. Section 3.4
discussing on unit of analysis, on the other hand, Section 3.5
discussing on measurement, Section 3.6 will discuss about data
collection and also Section 3.7 will explain about data analysis
which relates to this research.3.1 Research DesignAccording to
Burns and Grove, a research design as a guideline for conducting a
research with maximum control towards factors that may interfere
with the validity of the findings(Mohamed Hassan Abdullahi, 2013).
According to Sekaran, research design involves a series of rational
decision-making choices which related to the decisions regarding
the purpose for the study, location, the type it should conform to
type of investigation, the extent to which it is manipulated and
controlled by researcher, and its temporal aspects and the level of
which data will be analyzed (Hazman Shah, 2011). The basic purpose
of the research design according to Kerlinger (1992) is to ensure
internal and external validity (Hazman Shah, 2011).The type of
investigation that is used for this study is correlational study
which we want to highlight the variables associated with the
problem. We use this type of research design is to know the extent
of factors that related with the awareness of the student towards
life insurance policy. A correlational research design is the
measurement of two or more factors to determine or estimate how far
to the values for the factors are related or change in an
identifiable form (Privitera, 2013). A correlational study is a
quantitative method of research in which you have two or more
quantitative variables from the same group of subjects and to
determine if there is a relationship between the two variables
which a similarity between them, not a difference between their
means (Waters, n.d.). According to Sekaran, a study that suitable
to use to collect the data is cross sectional study. It means the
data bring together just once, perhaps over a period of days or
weeks or months, to answer a research question and it is also known
as one-shot studies (Hazman Shah, 2011). For this study we can use
cross sectional study where we can collect data about the level of
student awareness about life insurance policy. This cross sectional
sample will efficiently tell about some key element of the study
(Hazman Shah, 2011). 3.2 Unit of AnalysisUnit analysis is one of
the important things in every research. Unit analysis is the
subject that involved who or what the study about which the
researcher think it is suitable with the topic decided. For example
in the social sciences which is countries, international alliances,
schools, communities, group of interest, and voters are often the
units of analysis in studies of economic development, war, teaching
strategies, social capital, policy outcomes, and vote choice (Long,
n.d.)In this study, the unit of analysis is based on individual. So
that means that the data that we will gather is from individuals
student of Faculty of Administrative Science and Policy Studies.
From this student of FSPPP is our main data source for our
study.
3.3 Sample Size In this study, the researchers has to understand
that the importance of selection for the appropriate respondents in
order to manage the effective consequence when determining the
awareness of importance in having life insurance policy among UiTM
students. Final year students of Faculty of Administrative Science
and Policy Studies (FSPPP) were selected to be used as a sample of
population in this study. Since the final year students of FSPPP
has a total population of 759 students so, it is advice to use the
sample size as proposed by Uma Sekaran which is 200 students in
which she refers to the table by Krejcie and Morgan (1970) that
provides generalized scientific guideline for sample size decision.
(Hazman Syah Abdullah, 2011). Besides, these numbers of respondents
may simplicity the process of data analysis to be directed in this
study. Thus, these 200 respondents can represent the whole
population in this study.3.4 Sampling TechniqueAccording to Sekaran
(2003), sampling is the process of decide on a adequate number of
elements from the population which makes it easier to take a broad
view such as properties or characteristics to the population
elements. (Hazman Syah Abdullah, 2011). Sampling technique can be
regarded as as two which are probability sampling and
non-probability sampling. Probability sampling is a sampling
technique where the samples are collected in a process which all
the samples may have the equal chances to be selected in the
population. Meanwhile, non-probability sampling is a sampling
technique where the samples are collected in a process that not all
samples have the chances to be selected in the population.This
study is using convenience sampling as the sampling technique to
collect data from the respondents. This is because the procedure
involves the selection of units that are easily accessible.
Convenience sampling can be improved by pre-planned the quantity of
the sample from various population of groups. Thus, the appropriate
sample size can be collected for data collection in this study is
convenience sampling.3.5 MeasurementIn this study we will use
written questionnaires. A questionnaire is an instrument or
measurement that use by researcher as a way to collect data for
their study. Every questionnaire will have different result that
answer by each individual. The questionnaire given usually will
draw out the idea, opinion and fact from researcher target. This is
mean, different type of group will draw out different opinion and
fact. In this study, questionnaires are in two languages which is
in Malay and English. The questionnaire divided into three (3)
sections:Section A:DemographySection B:Family backgroundSection
C:Knowledge
Table 3.1
MeasurementNoObjectivesConceptsMeasurementsSourcesQuestion No
1
To determine the significance relationship between family
background and awareness of student towards life insurance
policy.
The relationship between independent variable and dependent
variable will show whether there is relationship between the
particular variables.
A set of question can be developed to determine the significance
relationship between family background and awareness of student
towards life insurance policy. From this, a set of question will
require the respondents to rate using the Likert-Scale to rate
factors and public participation respectively
1- Strongly Disagree 2- Disagree 3- Moderate 4- Agree 5-
Strongly Agree
Household income came as a significant variable to influence the
attitude towards banking services in the study conducted among
Indian people (Gautam, 2013)
Section B
2To determine the significance relationship between knowledge
and awareness of student towards life insurance policy.The
relationship between independent variable and dependent variable
will show whether there is relationship between the particular
variables.A set of question can be developed to determine the
significance relationship between knowledge and awareness of
student towards life insurance policy. From this, a set of question
will require the respondents to rate using the Likert-Scale to rate
factors and public participation respectively
1- Strongly Disagree 2- Disagree 3- Moderate 4- Agree 5-
Strongly Agree
Nowadays customers are getting educated by media and are always
in search the best product, brand name, quality, operation and
service support (Raju and Mohan, 2011).Section C
3.6 Data CollectionThe study will be carried out to examine the
level of awareness of importance in having life insurance policy
among students. The questionnaire will be used for data collection
method is appropriate and convenience as it does not cost less
expensive and easier to establish rapport and motivate among
researchers and respondents. (Hazman Syah Abdullah, 2011). The
questionnaire will be distributed to the final year students of
Faculty of Administrative Science and Policy Studies (FSPPP) which
are students that are studying in semester 5 and 6. The
questionnaires are printed in white papers and Multilanguage which
is in Malay and English language. The purpose is to increase
understanding of the respondents regarding the topic that will be
provided in the questionnaire. The personal details and answers of
respondents in the questionnaire will be remained confidential
because this research is only meant for academic purposes.
3.7 Data AnalysisAfter respondents finish answer question it
will be a data for researcher. To elaborate more about the data the
researcher can use SPSS. This Software will be used in our study.
The researcher need to key in all the data receive in SPSS so that
it can be analyzed effectively. In our data analysis may have
descriptive statistics, correlation and reliability of the
data.Descriptive statistics are used to explore the data collected.
Descriptive statistics will be useful if we just want to make
general observations about the data have been collect, for example,
the number of males and females, the age range and average age or
the average length of residence in a community (Coakes,
2013).Correlation looks at the relationship between two variables
in a linear fashion. A pearson product-moment correlation
coefficient have explain about the relationship between two
continuous variables. A correlation between a continuous and a
categorical variable is called a point-biserial correlation
(Coakes, 2013).Based on the next table, is the analysis that will
be used in our research. From it we know how we will compare, we
will know if there is a relationship between measurement and
question we have use.
Table 3.2 Data Analysis TableNo
ObjectivesVariablesMeasurementScaleStatistics
1To identify the frequency for demographic data of
respondentsDemography:-Gender-Age
1) Significant relationship between family background and the
awareness of student towards life insurance policy.2) Significant
relationship between knowledge of student and the awareness of
student towards life insurance policy.Interval Descriptive
analysis
2To determine whether question used in the questionnaire are
reliable or not and the instrument used in this study is
suitable.To determine whether question used in the questionnaire
are reliable or not and the instrument used in this study is
suitable.Total number of respondentIntervalReliability Analysis
3To determine significant relationship between family
background, knowledge and awareness of students towards life
insurance policyDependents:
Awareness of student towards life insurance policy
Independent:
Family Background KnowledgeAwareness of student towards life
insurance policyIntervalCorrelation Analysis