Abstract:

The importance of innovation research has long been on physical products and   systems.  The importance of service innovation is recognized by most academics and there is an important body of literature that has laid emphasis on this. New service development is becoming increasingly important to the competitiveness, growth, and survival of organizations.  Life insurance is a professional service which is characterized by high involvement of the consumers, due to the importance of tailoring specific need, the variability of the products available, the complexity involved in the policies and processes and ultimately the need to involve the consumer in every aspect of the transaction. All these characteristic features cause customers to seek long term relationships with their insurance agents, their service providers, in order to reduce risk  and uncertainty.