SOA Exam FAM Sample Question 6.26
Study guide: Exam FAM
For a special fully discrete whole life insurance policy of 1000 on (90), you are given:
(i) The first year premium is 0
(ii) P is the renewal premium
(iii) Mortality follows the Standard Ultimate Life Table
(iv) i = 0.05
(v) Premiums are calculated using the equivalence principle
Calculate P.
[A modified version of Question 10 on the Spring 2015 exam]
- A) 150
- B) 160
- C) 170
- D) 180
- E) 190
Answer this question and see the worked solution