Neo Ligaraba, Andrew Cawood, R. J. Liebenberg, Pinkie Segodi
Abstract
Insurance plays a major role in the financial domain; it has a massive contribution to the economy and is essential for society. The study investigates the personal, social and marketing factors that influence purchase intention of cell phone insurance. Drawing upon the psychoanalytic theory and the theory of planned behaviour, the following constructs have been identified for the study: fear of missing out (FOMO), price, risk, parental influence, peer influence, product quality, information, advertising, reliability and purchase intention. Survey data gathered from 251 young adults was analysed using the Statistical Package for Social Sciences (SPSS) to test the research hypotheses in a structural equation model. The empirical findings revealed that FOMO, peer influence, and reliability have a positive influence on purchase intention of cell phone insurance. It can be concluded that the study provides insurance marketers with insightful information into how cell phone insurance products can be modified and marketed. Further research is recommended to evaluate the building steps in detail, leading up to the actual understanding of cell phone insurance products to the consumer.