Q. What factor influences the impact of persistency on insurance premiums?

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Q. Why does the cost of insurance rise as people age?

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Q. What is the primary purpose of investing insurance premiums?

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Q. What is the primary focus of the assumption setting process described?

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Q. What is a key aspect considered during the assumption setting process besides future experience expectations?

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Q. Which of the following is NOT a step in the general process for setting assumptions?

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Q. What determines the extent to which margins against adverse future experience are required?

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Q. What is the first step in the general process for setting assumptions?

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Q. When making assumptions for future experience, why is it important to consider the commercial and economic environment?

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Q. Which step involves determining the best estimates of assumptions given the expected future conditions?

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Q. What determines the extent to which reliance is placed on historical data and other factors in setting assumptions?

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Q. Why might the best estimates of assumptions need to be adjusted?

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Q. Why are interest rates important in the calculation of premiums?

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Q. What role do shareholders of insurance companies play in relation to interest rates?

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Q. Why are interest rates particularly important for saving contracts?

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Q. Which equation represents a single premium contract, considering investment income?

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Q. How has the method of pricing insurance products evolved in recent times?

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Q. What is the concept of interest rates primarily used for in insurance?

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Q. Why might the rate of return on equities be higher than the risk-free rate of interest?

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Q. How are interest rates typically estimated for long-term insurance contracts?

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