The Influence of Religion on Insurance Decisions Among Households in Katsina State

This study investigates the influence of religious beliefs on household insurance decision-making in Katsina State, North West Nigeria. Nigeria's northern states are characterized by predominant Islamic practice, and conventional insurance products have faced resistance in some communities due to theological concerns about permissible financial transactions under Islamic law. This study focuses specifically on Katsina State, where insurance penetration is among the nation's lowest, to examine whether religious orientation is a statistically significant determinant of insurance refusal or non-uptake. The research employs a survey design involving 400 household heads selected through cluster sampling across three local government areas. Questionnaires assess religious affiliation strength, knowledge of Takaful insurance alternatives, attitudes toward conventional and cooperative insurance models, and current insurance ownership status. Logistic regression is applied to model the effect of religious variables on insurance adoption decisions while controlling for income, education, and exposure. Preliminary analysis anticipates that religious conviction functions as an independent negative predictor of conventional insurance ownership, while awareness of Takaful products moderates this effect positively. The study contributes to the behavioral insurance literature on religious determinants of financial product adoption in Muslim-majority communities and recommends NAICOM-supported expansion of Takaful licensing in Katsina State. Keywords: Religion, Insurance Decisions, Katsina State, Takaful, Household Insurance.