SOA Exam FAM Sample Question 57
Study guide: Exam FAM
Loss amounts have the distribution function
F(x) = \begin{cases} (x/100)^2, & 0 \le x \le 100 \\ 1, & x > 100 \end{cases}
An insurance policy pays 80% of the amount of the loss in excess of an ordinary deductible of 20, subject to a maximum payment of 60 per loss.
Calculate the conditional expected claim payment, given that a payment has been made.
- A) 37
- B) 39
- C) 43
- D) 47
- E) 49
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