Study On Chinese Life Insurance Agent Incentives In Perspective Of The Theory Of Hierarchy Of Needs

Domestic insurance companies followed the management pattern ofAIA, after the introduce of insurance agent system by AIA in1992inShanghai. Personal insurance agent has played an important role in ourcountry life insurance marketing and in the rapid development of China’slife insurance. However, at present because our country insurance marketis not perfect, laws and regulations are not sound, coupled with a lifeinsurance agent system running time is shorter, there are many problems inthe life insurance agent incentive mechanism in our country. Soestablishing a scientific incentive scheme of life insurance agents is animportant issue of China’s life insurance needed to be solved, and the scheme is the key to the further development of life insurance in ourcountry.This paper carries out along the logical order, reads the relevantliterature at home and abroad and analyzes the hierarchy of needs theoryand relevant theories of life insurance agent incentive deeply. The presentsituation of our country life insurance agent incentives had carried on thethorough investigation in perspective of the theory of hierarchy of needs.We know the existing problems are: physiological needs not being metlead to high turnover rate in life insurance agent; security requirements notbeing met lead to life insurance agent behavior to be short-termed; socialdemand is not met due to lack of effective communication; respecting theneeds are not being met, the training system needs to be perfect;self-actualization needs are not being met, behavior guide mechanism to beperfect. We design the agent demand hierarchy and the questionnaire of life insurance incentives, fit the structural equation model, analyzedimensions of empirical of the needs hierarchy theory’s impact onincentives. According to the result of structural equation model analysis toput forward the strategy of incentive way to perfect our country lifeinsurance agent. The ways are establishing incentives introduced fixedincomes meet agent physiological needs, improving the life insuranceagent satisfaction to increase welfare security system security requirements,establishing an effective communication mechanism to meet the demand ofsocial life insurance agent, establishing a scientific training system to meetthe respect demand of life insurance agent and building a company agentdevelopment and personal development combining the incentivemechanism. Hopes of life insurance agents in China play a positive role inthe reform of incentive system, enhance the market competitiveness of lifeinsurance companies and ensure smooth healthy development of China’s life insurance.