The Impact of Psychological Bonds on Trust and Commitment in Insurance

Human relations are vital for life. Psychological bonds have an important role as a result. These bonds explain individual’s behavior and their organizational activities. Development of psychological bonds may lead to disputes and disagreements between parties and therefore, they have the potential of impacting negative relations. This is due to the potential for direct and indirect effects on some individuals through trust and commitment. We therefore find it necessary to study the above-mentioned bonds. As commitments are inevitable necessities of all organizations, organizational commitments have serious effects on organizational function and can be considered as an important predictor of organizational efficiency. Organizational commitment is therefore related to employee’s occupational behavior. Henceforth, it is necessary to study the effect of psychological bonds on these factors.