Abstract

This paper focuses on the claims handling process of motor vehicle insurance where a number of factors are considered by insurers. Some of the claims handling factors may be more important than others when insurers are assessing the claims submitted by the policyholders. The responding insurers also identify important problem areas in the claims handling process, and solutions that alleviate the different problems should be welcomed by the insurers. The empirical study is based on the perceptions of the leading South African short-term insurers, who represent 82.6% of the total gross premiums written for motor vehicle insurance in 2006. The objective of this research embodies the improvement of financial decision-making by insurers when occupied in the claims handling process of motor vehicle insurance.

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