SOA Exam FAM Sample Question 6.22
Study guide: Exam FAM
For a whole life insurance of 100,000 on (45) with premiums payable monthly for a period of 20 years, you are given:
(i) The death benefit is paid immediately upon death
(ii) Mortality follows the Standard Ultimate Life Table
(iii) Deaths are uniformly distributed over each year of age
(iv) i = 0.05
Calculate the monthly net premium.
[A modified version of Question 10 on the Fall 2014 exam]
- A) 98
- B) 100
- C) 102
- D) 104
- E) 106
Answer this question and see the worked solution