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CHAPTER – 3

RESEARCH METHODOLOGY

3.1 Chapter Overview

Systematically resolve the research problem by analyzing and assimilate data is what

Research Methodology is all about. This chapter, „Research Methodology‟ covers the

research design, sample data collection and its interpretation to arrive at the findings,

culminating into suggestions after in-depth consideration about the data, the

psychology of consumers, the working of insurance companies and forums and most

important, the limitations of the system which lead to ineffective implementation of

the Consumer Protection Act.

3.2 Research Problem

3.2.1 Research Gap

Based on the study of literature review the researcher tried to understand the

consumer satisfaction and dissatisfaction. According to Engel and Blackwell (1982),

consumer‟s satisfaction of any purchase of product or service is a binary type i.e.

either he is satisfied or dissatisfied. A satisfied purchaser would be followed by

subsequent repurchase and wide publicity of the pleasing products to other.

According to Landon (1977), consumer dissatisfaction is a result of combination of

the discrepancy between expectations and performance while according to Day et. al.

(1981), the response of dissatisfied consumer can range from doing nothing to suing

the party for millions in damages i.e. he may either complain or take no action. He

further states that dissatisfaction may take three forms i.e. the dissatisfied consumer

may either take redress or complain or boycott.

The research on consumer complaining behaviour done by various authors such as

Landon (1980), Richins (1983), Singh Jagdip (1988), suggest that complaining is an

attempt to remedy the dissatisfaction. It is an expression of dissatisfaction on a

consumer‟s behavior to a responsible party. According to Singh Jagdip (1988), the

three dimensions of consumer complaint behavior are distinct, have discriminate

validity and warrant additional research attention.

Consumer complaining behavior in Indian context is researched by Bhutani (1991)

and Grover (1996), which throws light on the fact that the consumers refrained from

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taking any action for dissatisfaction as they were skeptical of the outcome of their

effort.

The complaining consumers are given remedy under Consumer Protection Act. The

research is broadly related to awareness of rights and legislations and its

implementation. The studies on consumer awareness in India is done by many authors

such as Rani (1978), Midha (1985), Wasu (1988), Jain (1989), Kumar (1990), Bhutani

(1991), Singh (1992), Zend and Murli (1994), Singh and Balachandran (1994),

Dhyani and saklani (1994), Rastogi (1995), Mehta (1997), Sengupta (2008), Bhandari

(2008), Sita and Prabhu (2008), Kalpana and Natrajan (2008), P. Prabha Devi (2008),

Chandrasekhar (2008), and others suggest that the Acts have no value until people are

aware of them. There should be consumer awareness about their rights. Consumer

awareness is very low in India. Consumer is highly unaware of his rights. Acts have

no value until people are aware of them. Though the consumers are aware of their

rights, Consumer Protection Act and Consumer protection councils only few

approached and made complains to the councils. The usage of the available measures

in India is very poor. The Government needs to be proactive in educating the

consumers on their rights and redressal forums available and spread the awareness

regarding Consumer Protection Act and the role it plays in the daily life. Findings of

the survey done on the evaluation of the effectiveness of the implementation of the

CPA, by IIPA, New Delhi, showed that vast majority of the consumers were neither

aware of the existence of the Act nor the functioning of the District Forum in their

respective areas. Some of well educated consumer commented that it is a time

consuming procedure and is not worth the trouble. Another finding was that

awareness about the Act varied positively with increase in the income and literacy

level of the consumers. (Singh and Balachandra, 1994).

The implementation of Consumer Protection Act in India researched by various

authors like Mehta (1990), Rastogi (1992), Murlidharan (1993), Shourie (1994),

Prasanna and Abraham (1994), Girimaji (1994), A.K.Antony (1994), (Bhardwaj

(1995), Grant (1995), Talukdar (1996), Y. Suganya (2008), Rao and Prabhu (2008),

Geetha Kumari (2008), and others suggest that consumers are approaching the forum

for their grievances but in many states proper enforcement of the Act is not followed.

Consumer law and justice system is created but there is no infrastructure to support it.

From the time the consumer courts were set up, inadequate infrastructural facilities

has been the bane of the courts. (Girimaji,1994). Repeated adjournments and

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procedural delays are the basic reasons of prolonged judgment from one to three

years, beyond the 90 day time limit imposed by the act. (Talukdar,1996). The 90 days

period stipulated for consumer courts has long been forgotten, with cases pending for

up to three years. (Prasanna and Abraham, 94). Many senior members of the judiciary

have described the consumer courts as “adjournment courts”. (HT Correspondent,

March, 97). Besides increased pendency, frequent adjournments and even domination

of lawyers and consequent harassment of consumers have hampered the consumer

movement. (A.K.Antony, 94). The technical and rigid attitude on the part of consumer

courts has forced the consumers to engage lawyers even for cases which are based on

facts. (Grant, 1995). Majority of the consumers are ignorant about the functioning of

consumer courts, about their rights and duties and approaching the consumer courts

for justice is the last option they restore to. Some of them do not approach consumer

courts as it require huge expenses in the form of basic legal expenses, while some

have got a negative opinion towards the functioning of consumer courts as lakhs of

cases are still pending for more than ten years time to get judgment. (Y Suganya,

2008). The procedural wrangles afflicted with the ordinary course of land to be

scrupulously avoided and justice rendered to the customers in the quickest fashion

possible. (Taak Sangeeta, 2008).

Having gone through the studies done by researchers quoted above, it is very evident

that whatever research that was done in the past pertains to the consumer in general

and the Consumer Protection Act of India as a whole. None of them has covered the

topic of medical consumers, their grievance and the redressal against the same.

Medical insurance is one that is regularly claimed and rejected as well. Considering

all the above factors and it being is an integral part of consumer service needs to be

studied in depth and so the researcher has treaded on this new path and focused on the

effective implementation of Consumer Protection Act with special reference to

mediclaim customers/consumers.

The various studies as mentioned above and discussed in detail in literature review on

the state of Consumer Protection Act implementation reveal that the very purpose of

the Act (speedy and cheap redressal) is not achieved. Much is to be done to improve

the state of implementation to make it effective.

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3.2.2 Research Problem Statement

To evaluate effective implementation of Consumer Protection Act in case of

mediclaim consumers.

„Effective Implementation of Consumer Protection Act – A study with reference to

Mediclaim‟ the topic under taken by the researcher to gauge the effective

implementation of medical insurance claims as covered by the Consumer Protection

Act. The key issue in law is its implementation, and a weak execution means an

ineffective law. Authors like Renu Arora have addressed the issue but at a general

level of consumer redressal organizations. The Researcher has covered the topic from

the side of the aggrieved as well as the judiciary.

Due to the shortage of District Forums, delays have become the rule rather than

exception, says Mandanna, a consumer activist in Bangalore. The 90 days period

stipulated for Consumer Courts has long been forgotten, with cases pending for up to

three years. People are now filing suits at the drop of a hat, instead of promoting

awareness we seem to be marketing consumerism commented „Phiroze Amroliwalla‟,

member of the Maharashtra state consumer protection council. (Prasannan and

Abraham, 94)

To summate, the underlying point of study is, whether the Consumer Protection Act is

executed effectively to benefit the consumers at large. Its implementation should be

such that the redressal of mediclaim complaints is simple in procedure, speedy and

cheap, but at the same time not overlooking equitable justice.

3.3 Effective Implementation of Consumer Protection Act: A study with

reference to mediclaim

Delayed justice even if favourable to the complainant tantamount to denial of justice

and does not serve the very objective of the framing of the Act. In plain words,

effective implementation means cheap and speedy redressal to consumers‟

complaints.

Health insurance or mediclaim as it is widely known in India is an integral part of

insurance services. It is an angle of consumerism that affects the consumer directly as

it is personal and comes to the fore at a critical time. As from the law point of view, it

is the second largest claimed product apart from consumer items. Moreover, it covers

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that part of one‟s existence which is very significant – one‟s health. With more &

more people becoming aware of mediclaim, seconded by the increasing medical

expenses for illness, the rate of dissatisfied consumer is on arise. The researcher feels

this is the time to study the problems pertaining to claims and complaints with regards

to the aggrieved insured as a consumer and to suggest improvement to make the

Consumer Protection Act more effective as regards mediclaim.

3.4 Research Objectives

Primary

1.1 Measuring the awareness level of Consumer Protection Act amongst

mediclaim consumers.

1.2 To study the availability of cheap redressal to the complainants in case

mediclaim complaints filed in Surat District Forum.

1.3 To study availability of speedy redressal to the complainants in case of

mediclaim complaints filed in Surat District Forum.

1.4 To study appropriateness and adequacy of the infrastructural facilities at Surat

District Forum.

Secondary

1.5 To examine the response of the insurance company when the claim is made.

1.6 To examine the time period between claim submission and reimbursement by

insurance company.

3.5 Research Question

To ascertain the incessant research flow in the desired direction a well defined set of

questionnaire was implemented for the survey, which also became useful is the data

collection process. This specific questions leads to a more vibrant study of the

process of redressal. Considering all the above aspects, the following questions were

framed.

1. Are the mediclaim consumers aware of the consumer Protection Act and the

consumer organizations?

2. Is the available Redressal procedure cheap as per the laid down norms in the

act?

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3. Is the time period taken to dispose the complaints in compliance with that laid

down in the act?

4. What was the response of insurance companies when the claim was made by

the insured and the response time towards claim settlement?

3.6 List of information required

With a view to delve into these research questions a set of variables were devised.

1. A questionnaire was formulated to collect demographic data like age, gender,

marital status, education and occupation of the insured, factors that influenced

them to decide on the policy and the insurance company, insured‟s awareness

level as regards the policy terms and conditions and the rights and procedure

to complaint under the Consumer Protection Act.

2. Factual data from the Surat District Forum regarding number of cases filed,

disposed and pending over the period of research

3. Published data on number of commissions and forums working at the

National, State and District levels respectively.

4. Factual data of the filling up of vacancies to the post of President and

members.

5. Data from insurance companies on number of claims filed, number of claims

dishonoured and number of dishonoured claims contested.

6. Views and opinion from professional related people like lawyers, agents and

brokers, office bearers of the forum etc.

7. Available related text from the internet which can be an important input to the

study.

3.7 Research Design

Research Method

The below chart gives a brief idea of the research framework adopted by the

researcher for this study. It is established on Uma Sekaran‟s (2006) 'hypothetic-

deductive methodology'.

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The Research Framework

Phase Activity

1 Observation

2 Identification of problem area

3 Theoretical framework

4 Formulation of hypothesis

5 Scientific data collection and method

6 Analysis of data

7 Deduction and interpretation

Source: Adopted from Uma Sekaran – Research Methods for Business (2006:28)

Based on the literature review the research is carried on in two parts-

Part 1 – Exploratory study / Interview method

Part 2 – Survey method

The exploratory study /interview method was carried out by discussion and interviews

with the experts from the legal field and their opinion regarding the present scenario,

working of the forum and their views for effective implementation of the Consumer

Protection Act. Surat District Forum was taken as case study.

To know the extent of effective implementation of Consumer Protection Act the data

is collected by way of questionnaire from two types of respondents namely –

(1) Those having mediclaim policy but not approached the forum

(2) Those having mediclaim policy and approached the forum

Even personal and telephonic discussions were made with some of the respondents to

clarify their views.

3.8 Drawing the Variables

Appropriate variables need to be drawn out to gauge the effectiveness of a program

from which maximum required information can be extracted. Based on Jonathan

Cranes “dimensions of measuring effectiveness” and Michael Rothschild “dimensions

of communication effectiveness” the researcher has drawn out the variables for the

topic under study.

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Effective implementation of Consumer Protection Act may be considered as a

program in itself to increase the awareness among the consumers. For a

successful program, “the magnitude of the program has to be substantial”.

Measuring “substantial effect” is to an extent difficult and subjective. This

weakness has been tried to overcome by the researcher comparing

demographic variable to awareness level and find out impact of the subject.

As put by Cranes, “the longing affect of a program” is another angle of

effectiveness, “longer the effect, the more benefits the program will generate”.

The researcher has prepared questions based on communication and their

influences on the consumers.

Demographic, social, financial, attitudinal, dependent and awareness level variables

were drawn.

3.9 Hypothesis Development

Testing of Hypothesis

Four hypothesis for the primary data and one for the secondary data are formulated by

drawing at the variables, in-depth analysis of which is in the following chapter of data

analysis.

Hypothesis

1 The effective implementation of consumer Protection Act is not achieved.

1.1 The extent of awareness level of consumers as regards Consumer

Protection Act and consumer protection organisations is not sufficient.

1.2 The Redressal procedure is not cheap as per the laid down norms of

Consumer Protection Act.

1.3 The complaints in the Surat District Forum are not timely disposed off,

that is the disposal of complaints is not speedy as per the laid down norms

of Consumer Protection Act.

1.4 The infrastructural facilities available at the Surat District Forum are not

sufficient.

2. There is no significant difference in the response and response time for

claim settlement of different companies.

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3.10 Parameters to measure effectiveness

„Effective‟ as defined by the Oxford Dictionary means, “successful in producing

desired or intended results”.

Other web meanings of effective are:

“Having the power to produce an effect or effects; producing a decided or deci

sive effect; efficient;serviceable; operative; as, an effective force, remedy, spe

ech; the effective men in a regiment”.

Having an intended or expected effect.

Producing a strong impression or response; striking.

The Oxford Dictionary defines „implementation‟ as – “the process of putting a

decision or plan into effect; execution”.

Other web meanings of implementation are:

A means of achieving an end; an instrument or agent.

The act of accomplishing some aim or executing some order.

The carrying out or physical realization of something.

In context to any program, effective implementation means achieving the desired

results or objectives.

After a thorough literature review, the researcher has found that though a study on

Consumer Protection Act has been done, there is not enough study on the effective

implementation of the Act, and much remains to be done. Due to this, it has been

observed that as such there are no laid down parameters to measure its effectiveness.

Thus, the central parameter to decide on the effectiveness of a law is “the amount of

benefit occurs to the aggrieved” as against his efforts or inputs.

Hence during the course of her study to decide on the parameters to measure the

effectiveness of the implementation of Consumer Protection Act, review of literature

was done and discussions were done with 14 experts associated with the legal field.

Based on this review study and the opinions of the professionals four basic parameters

as enlisted hereunder have surfaced.

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1. Speedy redressal – when the complaints are filed at the District Forum, State

Commission or the National Commission, as the case may be, the complainant

hopes for proper justice in the form of an order passed in a reasonable time

frame, if not within the prescribed limit of 90 days.

2. Cheap redressal - legal proceedings in India are as such expensive by way of

duties, lawyer‟s fee and other expenses. A mediclaim complainant as such is a

sick and heartbroken individual and cannot afford another huge financial

burden. Cheap redressal is what he wants.

3. Filing of complaints - The best point will be when the situation of filing a

complaint does not arise, but this thought is too farfetched. Not all claims are

honoured, hence complaints are filed. The ratio of number of complaints filed

for a dishonoured claim to effective implementation of Consumer Protection

Act should be proportionate. More the complaints filed, the more effective is

the redressal system. Only if the complainant is satisfied with all the angels of

the procedure of disposal of complaints, will he think of approaching the

redressal agencies, else he will be apprehensive.

4. Awareness level of consumer: The job of the law makers is not just

formulation and execution of law but also to educate consumers regarding the

presence of that law and the benefits to be derived there from. An educated

and aware consumer only will take the recourse of Consumer Protection Act

and demand its effective implantation.

Past studies reflect a general view that basically Indian consumers are unaware

of their rights and also the procedure to enforce the same. It has been observed

that, consumers due to being unaware of their rights do not complaint and may

be considered responsible for the slow growth of the consumer movement and

ineffective implementation of Consumer Protection Act. It can be said, that in

India, consumer awareness is widely recognised as a social need of the day,

but the prevailing pictures clearly portraits that ignorance of consumers is the

root cause of all the problems.

The main objective of the study is to evaluate the effective implementation of

Consumer Protection Act in case of mediclaim complainants along with other

supporting objectives. To evaluate these objectives i.e. to check whether they

are being met or not a series of questions has been framed.

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Research Questions:

1. Are the mediclaim consumers aware of the consumer protection Act and the

consumer organizations?

To get an answer to this, the below mentioned questions were included in the

questionnaire.

Q.1 When your claim was dishonoured, what was your reaction?

(a) Quietly accepted the decision of the insurance company

(b) Reproached the insurance company to reconsider your matter.

(c) Approached any consumer org. forum.

Q.2 Are you aware of the consumer Protection Act?

Q.3 Do you have knowledge about consumer organizations working for

consumer welfare / consumer forums?

Q.4 From where did you come to know about the consumer Protection Act/

Consumer Organizations?

Q.5 When your mediclaim was dishonored partly/fully, did you file

complaint with the consumer forum?

Q.6 If you have filed a complaint with the consumer forum – (a) You were

aware of filing a complaint in the forum, (b) You were guided by

somebody.

Q.7 You filed a complaint in the forum on your own/through consumer

forum/appointed a lawyer on your behalf.

Q.8 What reasons made you not file the complaint in the forum?

2. Is the available Redressal procedure cheap as per the laid down norms in the

act?

To get an answer to this, the below mentioned questions were included in the

questionnaire.

Q.1 You filed a complaint in the forum on your own/through consumer

forum/appointed a lawyer on your behalf?

Q.2 On each hearing in the forum – you personally attended the proceeding

or your lawyer represented you?

3. Is the time period taken to dispose the complaints is in compliance with that

laid down in the act?

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To get an answer to this, the below mentioned questions were included in the

questionnaire.

Q.1 Is your complaint still pending in the forum?

Q.2 Since how long is the complaint pending?

Q.3 How long did it take to receive the order from the forum?

4. To what extend are the insured satisfied by the insurance companies response

and response time towards claim settlement.

To get an answer to this, the below mentioned questions were included in the

questionnaire.

Q.1 When you claimed the money for your policy how was the response of

the insurance company?

Q.2 What was the time duration of settlement of your claim money?

Q.3 Was your claim honoured / dishonoured?

Q.4 On what grounds was your claim partly/fully dishonoured?

3.11 Ethics of Research

For any survey to be reliable, a note of assurance and confidence needs to be given to

the respondents. This is a part of Ethics of research and not a compulsion. However,

the researcher has tried to maintain integrity by giving importance to ethical standards

in survey.

A proper introduction that clearly discloses the identity of the researcher and

the purpose of the survey was noted.

It was also essential to establish some rapport with the respondents and

motivate them to respond whole heartedly.

Assurance of confidentiality of the information provided by them was the

researcher‟s topmost priority.

The researcher showed her gratitude to the respondents for their cooperation.

The researcher has taken utmost care in maintaining the ethical standards and

secrecy of the information provided by the respondents.

Personal responses have been treated as utmost confidential, and are preserved

with care.

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3.12 Data Plan

Data Collection Tools

Data can be collected from either primary or collective sources

3.12.1 Primary Data

Primary data is the data directly related to research for specific purpose of the study

and collected as a first hand information by the researcher. The survey covers a

sample size in varied group of consumers which represents the general population

concerned with redressal of mediclaim insurance claims at the Surat District Forum.

3.12.1.1 Questionnaire

“The most used tool to collect the data and attitudinal behavior of the citizens is the

self reporting survey technique, most commonly in the form of questionnaire” (de

Vaus, 2002; Malhotra, 2004). This helps substantially in ascertaining the behavior

their personal interaction and is a cheaper mode of covering a bigger section of the

consumers.

3.12.2 Secondary Data

Secondary data refers to information gathered from sources already existing”

(Sekaran U., 2006). It is gathered from works of previous researchers, governmental

agencies and private organisations. Many a times, the secondary data is more accurate

as it is retrieved from the concerned institute‟s data bank and records.

Internal Sources: getting access to the forum‟s records and book keeping

External Sources: previous research papers, books and publications, journals and

recently through internet.

The researcher has to capture the essence of the whole procedure, use both the sources

and applied them jointly and tried to fill up the gaps found therein to render a

finishing touch to the study of “effective implementation of Consumer Protection Act

: concerning mediclaim consumers.

3.13 Sampling Plan

Introduction

It is self evident that instead of involving the whole population in a research survey, a

sample is used. Considering the huge number of elements involved, it is not feasible

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and cannot be practically implemented. “Sampling is used when it is not feasible to

measure every item in the population” (Levin & Rubin, 2004). “Even if it is possible

it would be prohibitive in terms of time, cost and other human resources”, (Sekaran

U., 2006). With this in mind, the researcher initiated the sampling plan for the study

in context of the research objectives and research questions.

Sample Population

The primary concern relating to sampling is determining the target population related

to the study. William G. Zikmund, (2007), in “Business Research Methods” has stated

“The first question related to sampling concerns identifying the target population that

is the complete group of specific population elements relevant to the researcher‟s

project”. A random sample from those having a mediclaim policy, and specifically

those who have claimed and filed a complaint for redressal have been taken up as a

sample population here by the researcher.

Sample Framing

Tangible materials from which a sample is picked up, is called a frame. A directory,

card file, census records or records of any government or non-government

organisation are examples of a frame.

Sample Method

The type of study is descriptive. “A descriptive study tries to discover answers to the

questions who, what, when, where and, sometimes how. The researcher attempts to

describe or define a subject, often by creating a profile of group of problems, people

or events. Such studies may involve the collection of data and the creation of a

distribution of the number of times the researcher observes a single event or

characteristic (known as a research variable), or they may involve relating the

interaction of two or more variables, (Cooper; Schindler, 2003).

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Figure No: 3.1 Data Sampling for the Research

Defining Target Population

(People having mediclaim insurance)

Select Sample Frame

Individuals

and

Records of Surat District Forum

Sample Unit

Respondents Age band: 22 years to 82 years

Sampling Method

Random and Convenience

Sample Size

310

Sampling Unit

The unit of sample survey was the individuals who were covered by mediclaim, who

had claimed under the policy at some point of time and those who sought redressal.

Before the questionnaire was distributed the researcher ascertained the readiness of

each respondent to be part of a key-information, representing the larger population.

After this, the respondents were grouped into major factions – ones who had filed a

complaint, ones who had not filed a complaint on dishonour of claim and ones who

had not claimed. Secondly, the permission was sought from the Surat District Forum

to grant access to and observe the working of the Forum and to recover past data

pertaining to mediclaim complaints, and also to interact with the staff.

To fill up the questionnaires, various insurance companies and insurance broking

agencies were approached and 50 questionnaires each were handed over to the

concerned person. In all 350 questionnaires were handed over out of which 140

responses were received. Out of these 140, 130 questionnaires were taken into

consideration and 10 were rejected as the information provided was incomplete.

Data of 400 complainants was collected from the Surat District Forum out of which

320 could be approached, of which only 180 responded and others refused to part

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with the information on the ground that it was a court matter and hence they will not

divulge the details. Even the legal practitioners in the Consumer Forum were

approached for filing up the questionnaire but refused to do so, on ground of

professional ethics.

The questionnaire designed for the insured members as well as the complainants has

been randomly collected from the age group between 22 years to 82 years of age. The

information has been collected from 310 insured members across the Surat city. Out

of 310 respondents 180 have filed the complaint with the consumer Forum whereas

42 respondents, has not filed, due to some or other reason. While there was no

question of filing of the complaint for the remaining 88 respondents‟ .The

questionnaire was designed to review the awareness of the redressal system, amongst

the insured, its utilization by them and its implementation. The first part of

questionnaire seeks the information of insured/complainant such as age, occupation,

qualification etc. The second part of questionnaire, inquires about various

information relating to claims made and its reimbursement. The third part seeks

information regarding the filing of complaint in the Forum and the fourth part seeks

information regarding the disposal of complaints by the forum

Figure No: 3.2

Total number of questionnaires

310

130 180 Through Insurance Company & Through the data from Surat

insurance broking agencies. District Forum

Filed the complaint with Forum

88 42 Further proceeding Claim dishonoured

not required hence no but complaint not

question of filed.

filing complaint

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Sample Size

In planning any survey, a point comes to decide on the size of the sample. Too large a

sample means a lot of time and energy being utilized and too small a sample reduces

the effectiveness and implications of the research. In a sample survey the sample size

required usually is correlated to the allowable margin of error and the co-efficient of

the inert confidence of the researcher that the estimate is well within the margin of

error permissible

Hence the researcher was constrained to a sample size of 310 respondents, which

seems reasonable.

3.14 Instrument Design

3.14.1 Questionnaire

“A survey is a basic method of obtaining qualitative primary data in the descriptive

research” (Cooper & Schindler, 2004).This calls for the need to standardize the data

collection process to make sure that the data so obtained are internally consistent and

can be analysed in the desired manner. A standardized questionnaire ensures

comparability and data processing with speed and accuracy.

“A questionnaire, whether we call it a schedule, an interview form, or a measuring

instrument, is a formalized set of questions for obtaining information from the

respondents” (Malhotra, 2004). Malhotra further suggest that the following measures

for compiling a relevant questionnaire

- It must translate the information into a set of specific questions that the

respondents can and will answer

- Should aim at minimizing the response error

Keeping these guidelines in mind and referring to other previous projects, the

questionnaire for data collection for this research was developed. A copy of

the same is included as an annexure to this thesis.

3.14.2 Pre-questionnaire work

Before the questionnaire was framed, the researcher did personal surveys and

interviews to determine the variable that would make the questions meaningful.

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One-to-one talk with the then Honorable Presidents of the Surat District Forum (Main

and Additional), Secretary, State Commission (Gujarat), Secretary, Surat District

Forum (Additional) was undertaken to get an insight into the working of the Forum.

Discussions with the advocates practicing within the purview of Consumer Protection

Act were done and it did generate a lot of knowledge about the mediclaim redressal at

the Forum. Over and above this, Director (Legal) of CERC Ahmedabad, insurance

broking firms and individual agents of mediclaim were contacted to get an overview

of the present scenario.

After thorough review of literature on Consumer Protection Act and its desired

outcome, the effectiveness parameters were evolved, based on that the questionnaire

was drafted. This draft was reviewed by insurance professionals and legal experts and

pilot tested for incorporating necessary modification and thus the final questionnaire

was prepared.

Thus, it was clear that the subject matter of the research is not plain social but

attitudinal, financial and knowledge based as far as Consumer Protection Act is

concerned.

3.14.3 Questionnaire Type

The research questionnaire constitutes both–close ended and open ended questions.

Close ended questions were predominantly used to collect the required data.

Though close-ended questions have inherent disadvantages (De-Vaus, 2002; Dillman,

2000; Sekaran, 2006) they have a superior age over open ended questions as far as the

research study is concerned. Close ended questions restricts the respondent‟s ability to

express information and thus perfection and precision from the respondents cannot be

expected if the response does not fall in the preview of the alternative demonstrated.

Yet close ended questions offer several practical advantages that are well suited to the

research problem and methodology. They are ideal for self administered

questionnaires, because they are quick, require less effort for the respondent to

complete and response categories can clarify the meaning of the questions being

answered and thus the less articulate respondents are not disadvantaged. Close ended

questions yield responses that are more easily coded and analysed (De-Vaus, 2002,

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Sekaran, 2006) because the responses are limited to the alternatives stated (Malhotra,

2004).

The lure of inserting many open ended questions was limited to two to three questions

for the respondent‟s suggestions were included in the questionnaire. While close

ended probes have inherent disadvantages (De-Vaus, 2002; Dillman, 2000; Sekaran,

2006), open ended questions have been found to be more problematic when capturing

data on a larger scale. When using open questions responses need to be coded for

content analysis (Miles & Huberman, 1994).

Moreover, these coded data are not suited for powerful parametric statistical analysis

(Malhotra, 2004). Also, the open ended question require more efforts from the

respondents and more space on the questionnaire for responses and are therefore

unsuited as the key source of questioning in a self administered questionnaire base

survey. The open ended questions are also subject to articulate bias, where attitudes

and opinions are over or under emphasized based on their personal experiences or

perceptions. Moreover, the data yielded may be sometimes irrelevant or not up to the

information required.

Yet every typical questionnaire type incorporates both types of questions in varying

proportions as per the demand of the research and the subject. The questionnaire use

for this particular research has maximum three open ended at the end part of the

questionnaire.

3.14.4 Questionnaire Pattern

A potential source of the response bias is the tendency of the respondents to respond

to attitude statements for reason other than the content of the statement. One form of

response bias is acquiescence, where individual‟s response with agreement (or

disagreement) with a large number of the items in succession out of boredom, laziness

or a psychological predisposition (Sekaran 2006). To address this problem, the

questions were framed in a lucid manner so as to be easily understood and answered

by the respondents.

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Sound questionnaire design principles focus on three areas.

The first relates to the wording of the questions.

The second refers to planning of issues of how the variables will be categorized

after the receipt of the responses.

The third pertains to the general appearance of the instrument. All three are

important issues in questionnaire design as they can minimize biases in the

research (Sekaran 2006).

The principle of wording refers to factors as (1) The appropriateness of the

content of the question (2) Wording of question and sophistication of language

(3) Type and form of questions asked (4) Sequencing the questions and (5)

Personal data sought from the respondents. (Sekaran 2006). The instrument

was drafted by the researcher keeping in mind the purpose of the survey and

the target audience. Educational level of the respondents was not to be a

blockage and responses were recorded easily and quickly.

The researcher has been simple and polite in asking the questions to increase

the level of ease within the respondents. “As a rule of thumb, a question or a

statement in the questionnaire should not exceed 20 words, or one full line in

print. (Horst,1968; Oppenheim, 1986). The researcher has tried the level best

to follow this rule.

3.14.5 Question Sequence

1 Personal profile related questions

The first part of the questionnaire was designed to know the respondents‟

profile like

Age

Gender

Marital status

Educational qualification

Occupational status

2 Mediclaim related questions

The questions in the second part were designed to know about the

respondents‟ status and outlook as regards mediclaim insurance and

covered the below points

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Holding a mediclaim policy

Sum insured and the coverage period of insurance

How they were influenced to buy mediclaim policy

Company from whom the mediclaim policy was purchased

Studying the terms and conditions of the policy document

Number of times claim made

Response of the insurance company when the claim was made

3 Awareness related questions

The next part was to measure the awareness level of the insured regarding

the consumer protection redressal

Awareness regarding consumer protection redressal agencies

Awareness regarding Consumer Protection Act

Awareness of filing complaint and its procedure

4 Redressal related questions

Fourth and the main part was related to the redressal obtained in the forum

When the complaint was filed

How long the complaint was pending

Time period of disposal of the complaint

Satisfaction with the proceedings of the forum

Suggestions for change in the present system

Satisfaction with the forum‟s order

The style of the questionnaire was of ticking the options given below the

individual questions so that the respondents do not get confused.

3.14.6 Questionnaire length

The major concern faced by the researcher in formatting the questionnaire was its

length. If the questionnaire is too lengthy, respondents tend to lose interest. The

researcher tried to cover all variables and aspects of the study in least number of

questions. The length has been maintained as far as possible. If the questionnaire is

too short, there is a chance of missing out on some vital point of investigation.

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Keeping in view all these, the researcher has kept the length of the questionnaire to

44, relatively short and simple questions over all the variables.

3.15 Plan for data analysis

Moving a step further, the data thus collected through the questionnaire from the

survey of the representative sample needed to be analysed and research hypothesis

tested. However, before doing that, some preliminary steps needed to be completed to

ensure that the data set is justifiable good and assured quality for further processing.

The four stages of data analysis suggested by Uma Sankaran are:

Getting data ready for analysis

Getting a feel of the data

Testing the goodness of data

Testing the hypothesis

In this chapter the flow of the plan is shown, and the proposed as per predetermined

stages above, is listed. The actual analysis of the data is explained at length in the

ensuing chapter.

3.15.1 Getting data ready for analysis

On acquiring the data by means of questionnaire, it needs to be edited, coded and raw

data to be punched in a spread sheet.

Editing: Minor noticeable slips are inevitable in any questionnaire, and wherever this

has happened, the concerned respondent was re-approached to confirm the matter.

Normally, if only very few questions are unanswered in a set, it is to be

included in the analysis. In such cases it was left to the software to calculate

the results after taking into consideration the blank answer.

Subsequently, the data was further analysed by using frequency distribution,

cross tabulation, pie-chart, and other advanced statistical tests like chi-square,

Kruskal Wallis, Mann Whitney with the help of SPSS.

3.15.2 Testing goodness of Data

To derive at the correct results and conclusions, it is very important that the

instrument used to collect the data is accurate, and actually measure the concept

initially set to be measured. Certain errors may crop up and so it is wise to ascertain

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the goodness of the data. Determining the goodness of the data is important as it lays

down a sound foundation for the further analysis, inferences, findings and

suggestions.

3.15.3 Testing the Hypothesis

In all 5 hypothesis, four for primary objectives and one for secondary objectives are

formulated by drawing at the variables, in depth testing of which is in the following

chapter of data analysis on statistical basis to measure the level of significance.

3.16 Scope of the Study

Initially, the researcher was inclined to cover the whole of State of Gujarat i.e. Gujarat

State Commission and all district forums in all districts of Gujarat. Subsequently,

looking the enormity of the study and restrictive resources viz. time and area coverage

it was decided to limit the scope of the study to the Surat District Forum (Main and

Additional). Data was collected from insured members, complainants in the forum

and the office of the Surat District Forum itself.

The time period considered for data collection was from 2005 to 2008.

Survey Period

The data was collected from the Surat District Forum during the period from 2008-

2009. The survey through questionnaire was carried out during the period November

2009 to February 2010.

3.17 Strength of the Study

1. The strength of the study was, the opportunity to observe the working of, and

collect the data from, the Surat District Forum.

2. The second strength of the study was, an opportunity to talk and discuss on the

said matter with different people from the legal field and also people

experienced in mediclaim business, like brokers and agents.

3. The third strength of the study was, an opportunity to interact with the

complainants settled across the Surat City.

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3.18 Benefits of the Study

1 The study was initiated by the researcher with a vision of benefiting a specific

section of the population. With medical expenses ever increasing and more

and more claims being dishonoured, the filing of complains are on the rise.

This current issue has been focused on, for improving the effective

implementation of the Consumer Protection Act redressal concerning

mediclaim consumers.

2 The findings from this study may not be totally conclusive but will surely

offer a way to improve the legislation and its effective implementation for the

overall benefit of those insured under mediclaim.

3 The thinking behind this work was to find loop holes in the present system of

effective implementation of Consumer Protection Act as regards mediclaim

consumers and make suggestions to plug those loop holes.

4 To inspire future researchers towards doing further study on the topic.

5 To work as a guideline to the law makers to consider necessary amendments,

to the judiciary for proper execution, to professionals to be more ethical and

above all, the consumers to be more demanding.

6 This exercise will surely improve the atmosphere at the Forums and better

discipline will be enforced.

7 The state of the records at the forum can be an eye opener for the

Commissions and Forums to install better infrastructure and high-tech support

system.

8 The study will enhance the knowledge base of the insured and they will think

twice before coolly accepting the dishonoured claim.

9 Considering all these, the study is a torch bearer for the medically insured

community.

3.19 Limitations of the Study

During the research, the following drawbacks were found

1. As the matter was „sub-judicial‟ and involved the financial factor of the

claimants, many were initially reluctant to divulge data and required

persuasion from the researcher. Out of the 320 complainants approached by

the researcher only 180 responded and the rest straight away said no.

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2. The study covers only a section of a larger preview and the researcher feel a

lot more can be done by an „at-length‟ study.

3. The awareness of the Consumer Protection Act and the redressal among the

respondents was less and the researcher had to brief them on the subject.

4. Just like in point 1 above, certain respondents were apprehensive to discuss as

they had a feeling of distrust towards the interviewer.

5. Cooperation on the part of Forum staff was not enough as the President‟s

Chair remains vacant for a long period of time.

6. Data and records at the Surat District Forum (Main and Additional) are not

computerized. Also the physical data storage is improper. The entries were

haphazardly done, so to retrieve data pertaining to mediclaim complaints was

a herculean task.

7. Some lawyers did not give out exact details under the pretext of „professional

ethics‟.

The researcher was prepared for this.

However, the researcher has endeavored to complete the study in the best possible

manner, by covering only the city of Surat and the Surat District Forum (Main and

Additional).

A few limitations suffered during the study as listed hereunder.

1. Measuring the satisfaction level and awareness level poised a difficulty as

most respondents were not clear about claims, Consumer Protection Act and

redressal.

2. The interviewer had to make respondents understand the basic objective of the

study.

3. “Getting into people‟s subjective feelings, attitudes and perceptions do not

lend accurate and objective measurement, (Sekaran, 2006). To overcome this

limitation, one-to-one interviews were conducted with the people who

mattered.

4. Redressal and satisfaction related variables were generalized by the

respondents without being knowledgeable about the actual system.

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3.20 Scope for further Study

As the study progressed, the researcher felt that there are certain facets of the subject

yet untouched, of which a few are listed below.

1 The study may in future cover the district forums in Gujarat or even the State

Commission Gujarat for a bigger and more intricate research.

2 “People file complains, at the drop of a pin”. (Phiroze Amroliwala, social

activist).With increasing redressal complaints, and the law being amended, the

study needs to be revised from time to time.

3 NGO‟s and social activist group have been untouched. This may be covered

within the purview of further study.

3.21 Chapter Summary

Research Methodology, the third chapter basically covers research problem statement,

research questions and the research objectives. To get a logically convincing end, the

plans for data and sampling are also discussed in detail. 5 hypotheses, 4 for the

primary objective and 1 for the secondary objective are developed by drawing the

variable based on the research questions and objectives. The data collection

instrument – questionnaire, has also been explained. The researcher feels the need to

also cover the scope, benefits, strengths and limitations of study to give a look of

completeness to the study, and scope for further study to lend a feeling of continuity.