FACTORS AFFECTING PURCHASE OF LIFE INSURANCE IN THE CASE OF ETHIOPIAN INSURANCE CORPORATION AT SHASHEMENE TOWN,ETHIOPIA

ABSTRACT
Financial institutions are plays a great role for the developments of developing country like Ethiopia. So, Ethiopia Insurance Corporation is one of public insurance financial institution & it also provide different services. Among them Life assurance the one it means a contract where by the insurer undertakes, against payment of premium, to pay to the insured or to any beneficiary a specified sum on certain conditions dependent up on the life or death.
The aim of this study was to identify and investigate Factors Affecting the Purchase of Life Insurance in Case Of Ethiopian Insurance Corporation in Shashemene Town. The study was employ descriptive and explanatory study design and mixed research approach was adopted to answer the research questions. To achieve the objective of the study 316 questionnaires were distributed and successful completed and used for analysis. To analysis the data combination of Descriptive (table, percentage, mean and standard deviation).Accordingly the result showed that among the demographic characteristics of gender male 218(69%) and female 98(31%) was adopted. among four factors awareness, income, product variety and premium. Therefore, awareness takes highest fraction in influencing purchasing life insurance corporations. It is recommended the Ethiopia life insurance corporation should further enhance awareness and financial literacy by using different approaches since the sector have a great importance for the purchaser.