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asked 2021-12-05

An insurance policy sells for $1000. Based on past data, an average of 1 in 100 policyholders will file a $15,000 claim, an average of 1 in 200 policyholders will file a $30,000 claim, and an average of 1 in 500 policyholders will file an $80,000 claim. Find the expected value (to the company) per policy sold. If the company sells 10,000 policies, what is the expected profit or loss?

asked 2021-12-04

An insurance policy sells for $700. Based on past data, an average of 1 in 50 policyholders will file a $5,500 claim, an average of 1 in 100 policyholders will file a $10,000 claim, and 1 in 200 policyholders will file a $25,000 claim. What is the expected value of each policy the insurance company sells?

asked 2021-12-01

An insurance policy sells for $1,000. Based on your past data, an average of 1 in 50 policyholders will file a $9,000 claim, an average of 1 in 100 policyholders will file a $24,000 claim, and an average of 1 in 250 policyholders will file a $55,000 claim. Find the expected value for the company per policy sold.

asked 2021-12-02

An insurance policy sells for $600. Based on past data, an average of 1 in 50 policyholders will file a $5,000 claim, an average of 1 in 100 policyholders will file a $10,000 claim, and 1 in 200 policyholders will file a $30,000 claim. Find the expected value (to the company) per policy sold. If the company sells 10,000 policies, what is the expected profit or loss? Explain

asked 2021-12-04

Based on historical data, an insurance company estimates that a particular customer has a 1.7% likelihood of having an accident in the next year, with the average insurance payout being $2700.

If the company charges this customer an annual premium of $190, what is the company's expected value of this insurance policy?

If the company charges this customer an annual premium of $190, what is the company's expected value of this insurance policy?

asked 2021-11-30

Based on historical data, an insurance company estimates that a particular customer has a 2.9% likelihood of having an accident in the next year, with the average insurance payout being $1800.

If the company charges this customer an annual premium of $190, what is the company's expected value of this insurance policy?

Is it correct answer $137.8?

If the company charges this customer an annual premium of $190, what is the company's expected value of this insurance policy?

Is it correct answer $137.8?

asked 2021-12-19

An insurance salesman sells policies to 5 men the prob. that a mean will be a live in 30 years is \(\displaystyle{\frac{{{2}}}{{{3}}}}\). Find the prob. that in 30 years: a) all 5 men , b) at least 3 men , c) only 2 men