Journal of Practical Research 2

THE PERCEPTION OF LUPAOEÑ OS IN LUPAO, NUEVA ECIJA TOWARDS

LIFE INSURANCE 1

Jomaline Dumag, 3Jona Balala, 4Angel Mae Castor, 5Novelle Quimbao,6Princess Mae
2

Dulay and 7Henalyn Duclayan

1
A study presented to Sir Joewen V. Anarcon as one of the requirements in Practical Research 2

Accountancy Business and Management, 3Senior High School Department, Doña Juana Chioco National High School, Pob. West
2

Lupao, Nueva Ecija

ABSTRACT

the policyholder during their lifetime, a

INTRODUCTION life insurance policy promises that the
insurer will pay a sum of money to
Background of the Study named beneficiaries when the insured
People's lives are indeed fraught with dies (Fontinelle, 2021). Life insurance
uncertainty. People are vulnerable to a can be used to provide financial security
variety of risks, including unexpected for your loved ones in the future.
death, property loss due to fire, theft, However, this is where life insurance
and accidents, among others, all of may be unappealing to some people:
which result in financial losses if a you pay premiums for several years
person is unprepared for them. Many before your loved ones, not you, receive
people are unsure about what to do or the benefits. But despite that, knowing
where to receive money in times of where to invest your money can save an
tragedy, including the death of a loved individual in the future.
one. That is why life insurance is so vital
for everyone, especially for Many Filipinos consider insurance as a
professionals who can afford it in order liability rather than a source of funds for
to plan for unexpected future expenses. life’s unforeseen events. However, this
It is important that as early as possible, notion has continually changed in the
every person who has the capability past years as newer insurance coverage
should acquire life insurance to prepare covering individual customers with pre-
the individual and their family for existing needs or with medical
financial breakdown in the future. conditions has been introduced in the
(Manulife, 2020) Philippines. This has resulted in
increasing insurance penetration in the
Life insurance refers to a contract Philippines and a change in consumers’
between an insurer and a policy owner. behavior towards purchasing an
In exchange for the premiums paid by insurance policy. This change has

Senior High School Department 1|

Page
 Journal of Practical Research 2
impacted the overall insurance
premiums paid, which accounted for
almost 1.4 percent of the Philippines’
gross national income, according to
Statista Research Department. Life
insurance in the Philippines is not
popular. Many people ignore buying
insurance policies until an unforeseen
accident happens. According to Arup
Kumar Chatterjee, several reasons that
negatively influence Filipinos' getting life
insurance are that they find it too
expensive, claim insurance officers are
corrupt, or it brings bad luck.
Their lack of intention may stem from
their perceptions about life insurance.
Since perception development is a
complex process, even more so for the
intangible nature of financial products
such as life insurance, identifying
relevant factors that can be linked to
perception development toward life
insurance would benefit young
professional decision-makers. Lupao is
one of the towns where life insurance
isn’t popular and merely discussed. As a
result, the study looked into whether
there is a link between life insurance
perception and buying intent, as well as
the explanatory variables that influence
the life insurance perception of
lupaoeños in Lupao, Nueva Ecija. .
REFERENCES:
Statista. (2021, September 5). Insurance
industry in the Philippines – statistics &
facts. Retrieved November 15, 2021,
from
Senior High School Department
https://www.statista.com/topics/5581/
insurance-industry-in-philippines/
#dossierKeyfigures
Gomez, R. (2020, September 5). I’m
Adulting. Should I Get Life Insurance?
Insurance Site. Retrieved November 8,
2021. from
https://www.manulife.com.ph/en/
individual/what-s-new/im-adulting-
should-i-get-life-insurance.html
Statement of the Problem
The main focus for this study is to
determine the perceptions of lupaoeños
in Lupao towards life insurance.
Thus, this study specifically sought
to answer the following questions:
1. How may the selected respondent’s
socio-demographic characteristics be
described in terms of;
a. Age
b. Sex
c. Monthly Income
d. Type of work
e. Civil status
2. What is the perception of the
respondents towards life insurance?
a. In terms of its importance
b. In terms of protection
c. Affordability
3. Is there any significant relationship
between the socio-demographic
2|
Page
 Journal of Practical Research 2
characteristics and perceptions of
lupaoeños regarding life insurance?
Hypothesis
At 0.05 level of significance, the
researchers inferred that there is no
significant relationship between the
socio-demographic characteristics and
perceptions of lupaoeños regarding life
insurance.
Scope and Delimitation
The study sought to ascertain the
various attitudes of lupaoeños about life
insurance. The researchers of this study
focused on the citizens in Lupao, Nueva
Ecija who would serve as the
respondents. The area of the study is
limited only to the selected lupaoeños of
Lupao who will serve as the
respondents in our set of
questionnaires. This study was carried
out during the first semester of S.Y.
2021–2022.
Despite the limited number of
participants, the study's findings may
reflect the views of the entire group of
young professionals.
Significance of the Study
This study may serve as a basis of
information and benefit the following:
Citizen of Lupao
This study will highly benefit every
lupaoeños as it will help them to
understand how important life insurance
is to their lives. They will also have
enough knowledge about the benefits of
Senior High School Department
life insurance by purchasing it while they
are still at that young age. Furthermore,
they can have an idea about what are
the different perceptions of many
lupaoeños towards life insurance are
that influence their purchasing intent.
Future Researchers
This research will serve as a
foundation and set of criteria for future
researchers who want to do effective
research. Future researchers will be
able to undertake relevant studies using
the current researcher's proposed
research title as a reference.
METHODS
Research Design
The Descriptive-Corelative Design was
employed in the study. Gay (1992)
discusses how descriptive-correlative
research design combines both
descriptive and correlational designs.
Descriptive research involves collecting
data in order to test hypotheses or
answer questions concerning the current
work status of the participants in a
study. Descriptive research determines
and reports the way things are.
Correlational research, on the other
hand, attempts to determine whether
and to what degree a relationship exists
between two or more quantitative
variables. The purpose of correlational
research is to establish relationships or
use the relationships in making
predictions. Relationship investigation
typically studies a number of variables
3|
Page
 Journal of Practical Research 2
believed to be research design related
to major and complex variables.
Sampling
Purposive sampling was used in
selecting the respondents for this study.
It is a sampling technique in which
researchers select 345 respondents in
Lupao to participate in their surveys.
The lupaoeño respondents came from
approximately 45,917 citizens aged 18-
50 years old in Lupao, Nueva Ecija.
Instrument
Primary data was collected through a
structured questionnaire survey that was
administered both online and in person.
In order to achieve the objectives of this
study, the researchers used a survey
questionnaire that was divided into three
parts: the first is the letter for the
respondents; the second part of the
instrument was intended to gather the
socio-demographic characteristics of the
respondents, which are described as
age, sex, monthly income, professions,
and the status of the chosen lupaoeños
in Lupao. Lastly, the third part was a
survey questionnaire to determine the
perception of the respondents towards
life insurance in terms of its importance,
protection, and affordability.
There are fifteen statements that the
respondents should answer by putting a
check depending on their satisfaction in
the third part of the questionnaire. It was
answered by a scale of 1 to 5, wherein 1
strongly disagrees, 2 strongly disagrees,
3 neutral/undecided, 4 strongly agrees,
and 5 strongly agrees.
Senior High School Department
The instrument was digitalized and also
written on legal-sized bond paper in
Filipino. The researchers intended to
write the instrument in Filipino for the
target respondents to clearly understand
the context and idea of the
questionnaire. Furthermore, the
instrument used in the study was
validated and pre-tested among the
members of the research team and was
analyzed and validated the content with
the help of the research adviser.
Data Gathering Procedure
After the validation of the instrument and
securing approval from the proper
authorities, the researchers proceeded
to data collection. The researcher
administered the data collection survey
in person and via an online survey
questionnaire created with Google
forms, which included the socio-
demographic profile and perceptions of
the selected young professionals in
Lupao. Before conducting the survey,
the researchers first seek the permission
of the chosen respondents in Lupao and
explain that the information they will give
will be kept confidential. After obtaining
permission and approval from the
chosen participant in this research
study, the researchers began
conducting the survey. The researchers
disseminated the questionnaire by
sending and sharing the link with the
selected life-insured and uninsured
lupaoeños from Lupao, Nueva Ecija to
assess their perception towards life
insurance and collect data to be
reviewed and used in the study's
presentation and discussion. In addition,
the other researchers began distributing
4|
Page
 Journal of Practical Research 2

the survey questionnaire in person to

those respondents who were unable to
take it online. The researchers provided
an ample amount of time for
respondents to complete the survey
questions.

After the respondents took the survey

questionnaire that was administered
both online and in person, the papers
and answers were checked, tailed,
interpreted, and analyzed.

Method of Data Analysis

The researchers used the SPSS

(Statistical Package for Social Sciences)
in order to tail, interpret, and analyze the
gathered data on the process of data
gathering. The researchers also
engaged the descriptive statistics
features of SPSS, such as percentage,
frequency, mean, and standard
deviation.

Senior High School Department 5|

Page
 Journal of Practical Research 2

Senior High School Department 6|

Page