The table shows claims and their probabilities for an insurance company a. Calculate the expected value. $ Amount of cla

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The table shows claims and their probabilities for an insurance company a. Calculate the expected value. $ Amount of cla

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The Table Shows Claims And Their Probabilities For An Insurance Company A Calculate The Expected Value Amount Of Cla 1
The Table Shows Claims And Their Probabilities For An Insurance Company A Calculate The Expected Value Amount Of Cla 1 (195.7 KiB) Viewed 9 times
The table shows claims and their probabilities for an insurance company a. Calculate the expected value. $ Amount of claim (to the nearest SIMONID $20,000) $0 $20,000 $40,000 $60,000 $80.000 $100,000 Probability 0.70 0.21 0.05 0.02 0.01 0.01 b. How much should the company charge as an average premium so that it breaks even on its claim costs? c. How much should the company charge to make a profit of $50 per policy?
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