FACTORS THAT AFFECT PERFORMANCE OF BOND INSURANCE IN CONSTRUCTION PROJECTS : THE CASE OF TSEHAY INSURANCE S.C.

Abstract

Bond insurance one of the cover that has been given by the insurance company for their customers. This bond insurance was a profitable business and most of the time the insurance company want to issue these kind of insurance. However, Tsehay Insurance Share Company currently faces a significant Bond Insurance performance gap so the researcher want to assess the factors that affect performance of bond insurance in construction projects in Tsehay Insurance Company. To investigate the problem the study was conducted in twelve branches of Tsehay Insurance Share Company who serve the public for more than five years. The researcher use mixed type of research approach. Three participants of bond insurance, the insurance company employees, the contractors and the client were asked to get pertinent information and based on these information ranks were given. To get this information 194 /one hundred ninety four/ questioners were prepared for these three parties. Based on the information collected the clients were the first contributor of the problem, and the contractors were the second contributor of the problem. Finally, the insurance company became not the contributor of the case but the victim of the case. Based on the conclusion recommendation for the three parties were suggested and lastly the research gives information for the future study.