LASU Journal of Employment Relations and Human Resource Management
(LJERHRM)
ISSN: 2705-3482
Volume 1, No. 1, December 2018
Pages 221-227
DOI: 10.36108/ljerhrm/8102.01.0132
RISK ATTITUDE AND THIRD PARTY MOTOR LIABILITY: AN EMPIRICAL STUDY OF COMMERCIAL BUS DRIVERS IN LAGOS STATE, NIGERIA.
ABASS, Olufemi Adebowale1,DANSU, Sewhenu Francis2, OYETAYO, Yeside Abiodun3
Department of Insurance, Lagos State University, Ojo.
College of Insurance and Financial Management, Asese, Ogun State
(lollyphem@gmail.com)1, (francisdansu@gmail.com)2, (yesideoyetayocifm@gmail.com)3
Abstract
This research focused on the effect of risk attitude on the purchase of third party motor liability insurance by commercial drivers in Lagos State. The purpose of the study is to investigate whether risk attitude of commercial drivers in Lagos State affect demand for third party liability insurance. Cross sectional survey research design was adopted while Multi-Stage sampling technique comprising of stratified, purposive and quota sampling was used to select the sample size from the population of study. Data collected from the respondents were analysed with simple regression analysis using statistical package for social science (SPSS) version 21. Two hypotheses were formulated and tested. Results revealed that there is a significant relationship between commercial drivers’ attitude in Lagos and purchase of third party liability insurance. Therefore, sensitization on importance of third party liability insurance cover will improve the moral and morale hazards of commercial drivers in Lagos State. Therefore, the study recommended among other things that commercial drivers in Lagos State should be sensitized in order to improve moral hazards. This will lead to increase in the purchase of third party liability insurance claims and in the long improve their risk attitude towards motor risks.
Keywords: Commercial Drivers, Risk Attitude, Third Party Motor Liability.