Jean Paula Amora, Herbert T. Ticzon, and Erlene A. Delgado (Authors)
Abstract
The study aimed to examine the life insurance purchase behavior of industrial workforce in First Philippine Industrial Park. The purpose of this study was to address the limited research on insurance purchase within the country’s manufacturing sector. Given the higher risks, life insurance is a critical tool for financial protection and long-term planning. The study sought to fill both conceptual and geographical gaps by examining how financial literacy and saving motives influence insurance uptake. Using a quantitative, descriptive research design, data was gathered from 105 respondents of the industrial workforce through a researcher-made questionnaire. It focused on three key areas: financial literacy (knowledge, attitude, behavior), saving motives (precautionary, bequest, life-cycle, and wealth accumulation), and purchase behavior. Mean, standard deviation and pearson’s correlation coefficient were applied to examine the strength and significance of relationships. Findings revealed that most employees consider themselves financially literate, especially in managing day-to-day finances. The reasons of many for saving whether for emergencies, retirement, family legacy, or wealth building shape their intent to buy life insurance. While interests in insurance aligned with long-term financial goals was high, affordability remained a key barrier. Statistical analysis confirmed that both financial literacy and saving motives significantly impact insurance purchasing decisions. The study recommends that insurance providers focus on affordability, accessibility, and financial education to better serve the needs of industrial workers.
Keywords: Life insurance, Financial literacy, Saving motives, Industrial workers, Purchase behavior