Question

How is the Single Premium (SP) calculated for an Endowment assurance product considering office premiums?

a.

SP = Ax: nך + 0.02 SP + I + K Ax: + c ax: n-1ך

b.

SP = Ax: nך + 0.40 AP + I + K Ax: + c ax: n-1ך

c.

SP = Ax: nך + 0.01 r Px

d.

SP = Ax: nך + 0.01 r Px + (Dx+1 / Dx) x 0.01 r1 Px äx+1:n-1ך

Posted under IC 92 Actuarial Aspects of Product Development

Answer: (a).SP = Ax: nך + 0.02 SP + I + K Ax: + c ax: n-1ך Explanation:The Single Premium (SP) for an Endowment assurance product considering office premiums is calculated using the formula SP = Ax: nך + 0.02 SP + I + K Ax: + c ax: n-1ך.

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Q. How is the Single Premium (SP) calculated for an Endowment assurance product considering office premiums?
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