People in a Certain Group Have a 0

question 93

Multiple Choice

People in a certain group have a 0.3% chance of dying this year.If a person in this group buys a life insurance policy for $3,300 that pays $1,000,000 to her family if she dies this year and $0 otherwise,what is the expected value of a policy to the insurance company?

• A) $0
• B) $300
• C) $3,000
• D) $3,300

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Definitions:

Italian Immigrant

An individual who has moved to another country from Italy, for various reasons such as better employment opportunities or living conditions.

Cultural Differences

Cultural differences refer to the diverse ways of life, belief systems, traditions, and behaviors practiced by groups of people in different societies and communities.

Independent Cultures

Societies or groups valuing traits such as autonomy, individual achievement, and a distinct personal identity.

Medical Care

Professional health services aimed at maintaining, improving, or managing physical and mental well-being through prevention, diagnosis, and treatment.