SERVQUAL Dimensions and Policyholder Satisfaction in Supplementary Health Insurance Programs

SERVQUAL, Policyholder Satisfaction, Supplementary Health Insurance, Service Quality, Patient-Centric Insurance, Healthcare Policy, Customer Perception

Supplementary health insurance programs play an important role in filling gaps left by basic coverage, making service quality a critical determinant of policyholder satisfaction. The SERVQUAL framework, which captures dimensions such as tangibility, reliability, responsiveness, assurance, and empathy, provides a structured approach to assess how insured individuals perceive service delivery within these programs.

The paper aims to explore how SERVQUAL dimensions influence policyholder satisfaction within supplementary health insurance schemes, pinpointing key drivers and hurdles to foster superior service delivery. Researchers surveyed 850 policyholders across diverse urban and rural regions of India using a validated SERVQUAL-adapted questionnaire with Likert-scale items. Data analysis involved exploratory factor analysis, multiple regression, and structural equation modeling using SPSS and AMOS, ensuring robust validation via Cronbach's alpha (>0.8) and goodness-of-fit indices. A quantitative, cross-sectional research design was adopted. Primary data were collected from policyholders enrolled in supplementary health insurance programs using a structured questionnaire based on the SERVQUAL scale and satisfaction measures. Findings reveal that reliability (β=0.42, p<0.001) and empathy (β=0.35, p<0.001) are the strongest predictors of satisfaction, accounting for 68% of the variance. Responsiveness lagged notably in rural cohorts, while tangibles excelled in urban settings. SERVQUAL dimensions are positively associated with policyholder satisfaction. Reliability and responsiveness emerged as the strongest predictors, followed by assurance and empathy, while tangibility showed a comparatively weaker but still significant effect. SERVQUAL dimensions profoundly shape policyholder satisfaction, with reliability and empathy emerging as pivotal. Targeted interventions hold promise for elevating service standards and market competitiveness.