SOA Exam P Sample Question 256
Study guide: Exam P-1
A loss under a liability policy is modeled by an exponential distribution. The insurance company covers the amount of loss in excess of a deductible of 2000. The probability that the reimbursement is less than 6000, given that the loss exceeds the deductible, is 0.50.
Calculate the probability that the reimbursement is greater than 3000 but less than 9000, given that the loss exceeds the deductible.
- A) 0.28
- B) 0.35
- C) 0.50
- D) 0.65
- E) 0.72
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