SOA Exam P Sample Question 493
Study guide: Exam P-1
An insurer sells a group life and disability policy.
The joint probability distribution for death and disability is given in the table below.
| Disabilities \ Deaths | 0 | 1 | 2 | 3 | 4 |
|---|---|---|---|---|---|
| 0 | 0.51 | 0.09 | 0.04 | 0.01 | 0.01 |
| 1 | 0.08 | 0.06 | 0.02 | 0.01 | 0.01 |
| 2 | 0.04 | 0.03 | 0.01 | 0.01 | 0.00 |
| 3 | 0.03 | 0.02 | 0.01 | 0.01 | 0.00 |
Calculate the probability of at least two disabilities given no more than one death.
- A)
0.12 - B)
0.14 - C)
0.15 - D)
0.25 - E)
0.75
Answer this question and see the worked solution