Claims Management Efficiency and Customer Retention in Non-Life Insurance Companies in Abuja

This study investigates the relationship between claims management efficiency and customer retention in non-life insurance companies operating in Abuja, Federal Capital Territory. In competitive insurance markets, the claims experience is considered the principal determinant of policyholder loyalty and policy renewal decisions. Efficient claims management, characterized by prompt acknowledgment, transparent processing, fair settlement, and professional communication, is therefore a strategic priority for insurers seeking to build durable customer relationships. This research employs a professional management study design with data from 180 non-life insurance policyholders across motor, property, and liability insurance categories, alongside 25 claims managers from five insurance companies in Abuja. Policyholders' questionnaires assess claims experience quality and renewal intentions, while manager interviews document claims processing protocols and performance measurement frameworks. The Claims Performance Index (CPI) is developed as a composite measurement tool incorporating turnaround time, settlement accuracy, and communication quality. Regression analysis assesses the relationship between CPI scores and customer retention rates. Preliminary findings are expected to identify claims settlement speed as the strongest predictor of renewal intent. The study recommends investment in automated claims tracking systems and performance-linked incentive structures for claims adjustment teams. Keywords: Claims Management, Customer Retention, Non-Life Insurance, Abuja, Claims Processing.