Adoption of Fraud Detection Technologies by Medical Insurance Companies in Kenya

Abstract

The purpose of the study was to examine the adoption of fraud detection technologies by medical insurance companies in Kenya with a specific focus on the impact of technological, organizational, environmental, perceived usefulness, and perceived ease of use factors. The study was anchored by the Technology-Organization-Environment Framework (TOE), Technology Acceptance Model, and Dynamic Capability Theory. A descriptive research design was used for this study. The design enabled the research to adequately answer research questions and explain different characteristics of the variables. The respondents of interest were 12,030 insurance employees. The sample size, therefore, were\ 388 insurance employees of the medical insurance companies in Kenya. Convenience sampling was used to select insurance employees for the study. Data was be collected using a structured questionnaire. The validity of the research tools was determined through consultations with supervisors and experts. The reliability of the questionnaire was measured by subjecting it to a pilot study using 10% of the study sample, 39 insurance employees. The study was conducted as per the ethical standards. Data was checked for completeness after data collection. It was then be coded accordingly and analyzed using Statistical Package for Social Sciences (SPSS Version 29). Both descriptive and inferential was done. The study found that adoption of fraud detection technologies among medical insurance companies in Kenya is influenced by all the predictor variables; technological determinants, organizational determinants, environmental determinants, perceived usefulness and perceived ease of use. According to the regression analysis results, all these independent variables positively and significantly influenced the adoption of fraud detection technologies and had positive and significant correlation with it based on Beta values. The study concluded that consideration of technological determinants, organizational determinants, environmental determinants, perceived usefulness and perceived ease of use is important in the adoption of fraud detection technologies and that insurers should develop elaborate strategies that will ensure all these factors are considered.