SOA Exam P Sample Question 453
Study guide: Exam P-1
Losses under a policy are uniformly distributed on the interval [0, 480]. For each loss, the claim payment is a constant percentage of the amount in excess of a deductible of 240.
The insurer wants the variance of the claim payment for a single loss to equal 2000.
Calculate the percentage the insurer should choose.
- A)
11.1\% - B)
33.3\% - C)
57.7\% - D)
64.5\% - E)
91.3\%
Answer this question and see the worked solution