JKUAT UNIVERSITY PROJECT PROPOSAL

BSC.INFORMATION TECHNOLOGY

NAME:

REG.NO:

PROJECT TITLE: INSURANCE POLICY APPLICATION

SUPERVISOR:

YEAR 2022
DECLARATION

I hereby declare that this project report entitled INSURANCE POLICY APPLICATION,

submitted by (Name), under the guidance of my supervisor, (Name of Supervisor) of

JOMO KENYATTA UNIVERSITY of AGRICULTURE and TECHNOLOGY is my

original work and has never been submitted to any other University or institution or

published earlier by any student.

Name of Student: Signature:……………………

Date: …………………………….

This proposal has been submitted for examination with my approval as University

Supervisor:

Name of Supervisor: Signature:………………………

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Date:……………………………………………

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Table of Contents
DECLARATION...........................................................................................................................2

CHAPTER ONE............................................................................................................................4

1.1 BACKGROUND......................................................................................................................4

1.2 PROBLEM DEFINITION......................................................................................................4

1.3 OBJECTIVES..........................................................................................................................5

1.4 RESEARCH QUESTION.......................................................................................................5

1.5 JUSTIFICATION....................................................................................................................5

1.6 SCOPE......................................................................................................................................5

CHAPTER THREE.......................................................................................................................6

METHODOLOGY........................................................................................................................6

3.2.1.1 Inception..............................................................................................................................6

3.2.1.2 Elaborations.........................................................................................................................7

3.2.1.3 Constructions.......................................................................................................................7

3.2.1.4 Transition.............................................................................................................................7

Figure 1: Incremental Methodology Diagram.................................................................................7

3.3 Feasibility Study.......................................................................................................................8

3.4 Data Collection Methodology.................................................................................................9

3.4.1 Questionnaire..........................................................................................................................9

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3.4.2 Observation.............................................................................................................................9

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CHAPTER ONE

1.1 BACKGROUND

Insurance is a means of protection from financial loss. It is a form of risk management, primarily

used to hedge against the risk of a contingent or uncertain loss. In the contemporary society,

there has been the need by people to ensure that they are protected from any future financial

uncertainties that could lead into a loss of financial muscles.

An entity which provides insurance is known as an insurer, an insurance company, an insurance

carrier or an underwriter. A person or entity who buys insurance is known as a policyholder,

while a person or entity covered under the policy is called an insured. Policyholder and insured

are often used as but are not necessarily synonyms, as coverage can sometimes extend

to additional insureds who did not buy the insurance. The insurance transaction involves the

policyholder assuming a guaranteed, known, and relatively small loss in the form of a payment

to the insurer (a premium) in exchange for the insurer's promise to compensate the insured in the

event of a covered loss. The loss may or may not be financial, but it must be reducible to

financial terms. Furthermore, it usually involves something in which the insured has an insurable

interest established by ownership, possession, or pre-existing relationship.

The insured receives a contract, called the insurance company which details the conditions and

circumstances under which the insurer will compensate the insured, or their designated

beneficiary or assignee. The amount of money charged by the insurer to the policyholder for the

coverage set forth in the insurance policy is called the premium. If the insured experiences a loss

which is potentially covered by the insurance policy, the insured submits a claim to the insurer

for processing by a claims adjuster. A mandatory  required by an insurance policy before an

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insurer will pay a claim is called a deductible (or if required by a health insurance policy,

a copayment). The insurer may hedge its own risk by taking out reinsurance, whereby another

insurance company agrees to carry some of the risks, especially if the primary insurer deems the

risk too large for it to carry

1.2 PROBLEM DEFINITION

Lack of proper financial security mechanism has led to a lot of people and/or entities losing

much of their financial muscles out of un-anticipated financial risks. Across the globe, any of the

risks such as health, property risks, could lead to one loosing much of their properties if they are

not entitled into an insurance cover that could have protected them from such catastrophes. In

many of the countries across the globe, there has been an integration of insurance policies where

individuals can now enroll themselves to ensure that they have secured any future uncertainties.

Although this is so, there has been a lack of a proper insurance policy computerized application

that could be used in the entire process of registering for an insurance cover, up to the last step

being compensated. There also lack a proper computerized application that could be used to

track all individuals’ financial details that could facilitate the entire process of insurance.

Consequently, there has been the need to do away with financial paper work and replacing this

with digitalized storage locations that are massive and which cannot be misplaced by any

physical accidents such as fire

1.3 OBJECTIVES

a) To develop a system that maintains all the records of an individual policyholder

b) To develop a system that securely stores agents’ details

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 c) To develop a system that stores details and payments of clients and/or any of their

partners, including their family members

d) To develop a system that manages all insurance records of individual client and their

relatives

1.4 RESEARCH QUESTION

(a) How and which methods will be used to send information between agents and insurance

holders?

(b) Which method will be used to collect members details?

(c) How will financial history sessions get tracked down?

1.5 JUSTIFICATION

This application will ensure that there is a proper maintenance of all financial records by policy

holders to ensure that every essential piece of information is available for scrutiny in the entire

process of insurance. This system will also ensure that there are proper storage of financial

records, providing some proper references to individual insurance policies. Consequently, all the

financial payments will be securely documented by the application, identifying each payment

uniquely according to individual members

1.6 SCOPE

This system could be used by financial institutions, county governments as well as local

insurance companies that could be aimed at improving their insurance services.

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CHAPTER THREE

METHODOLOGY

1.1 Introduction

In this stage, there will be the indication of the method that I used to develop the system. This

method includes the steps used to make sure that the system gets to the customer as required and

in the rightful manner. This method also include the various techniques to accomplish the system

goals.

3.2 Iterative and incremental development methodology

This is a combination of iterative design and incremental build model for software development.

During software development, more than one iterations of the software development cycle may

be in progress at the same time. The basic idea behind this method is to develop a system

through repeated cycles and in smaller portions at a time (incremental) thus allowing developers

to take advantage of what was learned during earlier developments. At each iteration, the design

modifications are made and new functional capabilities are added.

The procedure itself consists of the initialization and iteration steps and project control list. The

goal of the initialization step is to create a product which the user can interact. To guide the

iteration process, a project control list is created that contains a record of all tasks that need to be

performed. It includes new features to be implemented. Incremental development divides the

system functionality into portions, each portion is delivered through a process from requirements

to development. The process groups iterations into phases: inception, elaboration, construction

and transition.

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3.2.1.1 Inception

This identifies project requirements which include functional and non-functional requirements

and risks. The following techniques are applied in requirements collection

(i) Questionnaire- This involves having a set of questions to be given to the target

system users to acquire system requirements.

(ii) Interviews- this involves coming into contact with the system users and ask the

questions inclined on gathering information from the in order to get system

requirements.

(iii) Observation- this involves observing the intended system users and gaining

information from them without interaction with them.

3.2.1.2 Elaborations

This phase delivers a working architecture that removes the risks and fulfills the non-

functional requirements. The point in this phase is to ensure that the team developing a system

develop a system according to the requirements set.

3.2.1.3 Constructions

This phase incrementally fulfills the architecture of the system with the production of portions

of the system that fulfill the functional requirements of the system. The portion produced is

tested for existing errors or bugs and debugged making sure that the portions is fully

functional and ready for use by the target user.

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3.2.1.4 Transition

This is the final phase in a project. The phase is meant to deliver the new system to its end

user/client. This phase includes the migration of data from legacy system to the end user’s

trainings.

A representation of incremental methodology is as below;

Figure 1: Incremental Methodology Diagram

Advantages of using Iterative and incremental Methodology

 Generates a working software quickly and early during the life cycle.

 It is more flexible as it requires less cost to change the scope and requirements.

 Easier to test and debug during a smaller iteration.

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  Easier to manage risk as risky pieces are identified and handled during its iteration.

 Each iteration is an easily managed milestone.

3.3 Feasibility Study

This is the study of availability of the resources that ought to be used in the process of system

development. The study also involves the resources to be used in the system implementation.

This also includes the process of determining whether the resources and technologies to be used

fit the budget that has been set. Some of the details to be considered are;

Operational feasibility

Some of the operational feasibility factors include;

 System implementation issues.

 Advantage of the system that the other existing systems.

 Skills required to use the system.

Technical feasibility

 Efficient data and error handling.

 Security, data retrieval and maintenance.

 Ease of the system use.

 Real time processing of data to information.

 Allowing multiple users to use at the same time.

Schedule feasibility

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This study helps to determine whether the time that has been set can be enough to ensure the

development of the system without altering any operation.

Economic feasibility

This study helps to determine whether the resources that has been set can be able to ensure the

development of the system without causing any loses. This study helps to ensure that the

requirement for the system development fits the set expenditure. This includes the cost that will

be used in the whole process of development until deployment to the customer.

3.4 Data Collection Methodology

3.4.1 Questionnaire

I used questionnaires which I distributed to various insurance companies in my locality. The

questionnaire contained at least five questions that were simple to understand. The questions

were meant to be filed by company’s stuff who could be familiar with the operations that are

done within their working space, either manually or digitally. These stuffs were required to fill

the questionnaire with utmost confidence and faithfulness as the information would be treated as

confidential.

3.4.2 Observation

I also used observational method to observe how various companies and how they carried on

with their operations. I visited some of the companies for the purpose of collecting information

on how they carried out their operations. I found this method effective because I had the original

information from what was happening at the ground.

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