ISSN: 2222-6990
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Risks are faced daily leading to unexpected bad events and incurring high costs. Notwithstanding, the differences in the ability to handle the situation may depend on their risk protection and financial preparedness. Thus, this study focused on the effect of insurance payment and financial preparedness among others, on the individuals’ financial risk management satisfaction. A multistage random sampling resulted in 500 respondents selected among public sector employees. Logistic regression for 472 data from self-administered questionnaires identified financial preparedness for old age, self-worth, financial risk knowledge, net-worth and insurance payment as influential predictors predicting the likelihood of the financial risk management satisfaction. Higher self-worth and financial risk knowledge, positive net-worth and higher insurance premium payment to cover risks faced would more likely predict individuals to be more satisfied with their financial risk management. Insurance payment was found to be the most influential predictor. Despite public workers having a low probability of the risk of losing jobs, nevertheless there is a need to have insurance protection for other financial risks. Hence, by purchasing insurance for various purposes, they would most probably be having a peace of mind in view of their risks.
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In-Text Citation: (Husniyah et al., 2021)
To Cite this Article: Husniyah, A. R., Zahariah, S., Shazana, A. M., Mohd. Amim, O., & Mohd. Fazli, S. (2021). Insurance Payment Predicting Financial Risk Management Satisfaction of Malaysian Public Sector Employees. International Journal of Academic Research in Business and Social Sciences, 11(12), 450–466.
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