Question

Why might a company adjust mortality rates from a standard table?

a.

To ensure consistency in mortality rates across different products

b.

To reflect the company's own experience and estimation of future conditions

c.

To simplify the underwriting process

d.

To reduce operational risks associated with claims processing

Answer: (b).To reflect the company's own experience and estimation of future conditions Explanation:A company might adjust mortality rates from a standard table to reflect its own experience and estimation of future conditions, ensuring pricing accuracy.

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Q. Why might a company adjust mortality rates from a standard table?

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