This research project tries to assess and analyze the impact of service quality on customerrnsatisfaction and customer loyalty in Ethiopian Insurance industry. Further, this study evaluatesrnthe relationship among service quality including its dimensions, customer satisfaction, andrncustomer loyalty. For the purpose of the study primary data were collected using five point likertrnscale based questionnaire that was constructed taking into account all the dimensions of servicernquality as per the SERVPERF scale such as Tangibles, Reliability, Responsiveness, Assurance,rnand Empathy. Further, customerâ€™s perceptions were used to assess Customer Satisfaction andrncustomer loyalty. A sample of 768 customers was selected using multi stage sampling technique,rnand 706 customers were responding. And the data was analyzed using descriptive statistics andrninferential statistics. The statistical methods of analysis included a descriptive statisticsrn(frequency, mean and standard deviation), factor of analysis, ANOVA, correlation andrnRegression analysis are presented through SPSS version 20.rnThe result of this study shows that, all service quality dimensions have positive and significantrnimpact on customer satisfaction and customer loyalty. At the same time, Customer satisfactionrnhas also a positive and significant impact on customer loyalty. The findings also reveal thatrnservice quality and all its dimensions have a significant and positive relationship with customerrnsatisfaction and loyalty. Customer satisfaction and customer loyalty have also a significant andrnpositive association. Moreover, overall service quality has a strong association with customerrnsatisfaction and customer loyalty in Ethiopian Insurance Industry.rnKey words: service quality, service quality dimensions, customer satisfaction, SERVPERF