THE EFFECT OF PSYCHOLOGICAL AND TRUST FACTORS ON HEALTH INSURANCE PURCHASE INTENTION AMONG EMERGING CONSUMERS: THE MODERATING ROLE OF FINANCIAL LITERACY IN AN EXTENDED THEORY OF PLANNED BEHAVIOUR MODEL

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Prabawa, Ivan Fadillah (2026) THE EFFECT OF PSYCHOLOGICAL AND TRUST FACTORS ON HEALTH INSURANCE PURCHASE INTENTION AMONG EMERGING CONSUMERS: THE MODERATING ROLE OF FINANCIAL LITERACY IN AN EXTENDED THEORY OF PLANNED BEHAVIOUR MODEL. Diploma thesis, IPMI Institute.

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Abstract

This study examines the psychological and trust-related factors that influence health insurance purchase intention among Indonesian emerging consumers aged 26–35 in the Jabodetabek area, using an extended Theory of Planned Behavior model. The model incorporates Trust in Insurance Providers as an additional predictor alongside the classical constructs of Attitude Towards Purchase, Subjective Norm, and Perceived Behavioral Control, and introduces Financial Literacy as a hypothesized moderating variable. Despite ranking among the country’s most financially literate age groups, this cohort continues to exhibit disproportionately low voluntary health insurance ownership relative to their income levels, a paradox that motivates the study. Primary data were collected from 224 respondents through a structured online questionnaire and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) in SmartPLS 4. The results show that all five direct-effect hypotheses are supported: Attitude Towards Purchase, Subjective Norm, Perceived Behavioral Control, Trust in Insurance Providers, and Financial Literacy each exert a significant, positive effect on Purchase Intention, with Trust in Insurance Providers emerging as the strongest predictor. In contrast, none of the four hypothesized moderating effects of Financial Literacy are supported in the expected direction, indicating that Financial Literacy operates as an independent driver of Purchase Intention rather than as an amplifier of the other predictors. The model explains 51.0 percent of the variance in Purchase Intention (R² = 0.510). These findings suggest that Indonesia’s most financially literate emerging consumers remain under-insured not due to a lack of favorable attitudes, social encouragement, perceived capability, or financial knowledge, but because trust in insurance providers has not yet been sufficiently established. The study offers theoretical contributions to insurance research grounded in the Theory of Planned Behavior and practical recommendations for insurers, financial regulators, and policymakers seeking to improve voluntary health insurance uptake among this demographic.

Keywords: Health Insurance, Purchase Intention, Theory of Planned Behavior, Trust in Insurance Providers, Financial Literacy, Emerging Consumers, PLS-SEM

Item Type: Thesis (Diploma)
Subjects: H Social Sciences > H Social Sciences (General)
Divisions: Thesis > Bachelor of Business Administration
Depositing User: sandra margaretha
Date Deposited: 24 Oct 2026 03:48
Last Modified: 24 Oct 2026 03:48
URI: http://repository.ipmi.ac.id/id/eprint/3090

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