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= 3) (25) Suppose an insurance firm has three groups of insured people who have claim distriburn of the form: 3000 of claims follow a
= 3) (25) Suppose an insurance firm has three groups of insured people who have claim distriburn of the form: 3000 of claims follow a N (u = 110, ,02 = 100) distribution , 2500 of claims folow a N (u = 120, ,02 200) distributions and 4500. of claims folow a N (u = 130, o2 = 300) How much should the company reserve in order to meet all claims with 9R% confidence level i) in a year ii) in 3 months iii) in a month iv) in 2 week time. Covariance matrices read as S = [100 20 30 20 200 -10 30 -10 300 = 3) (25) Suppose an insurance firm has three groups of insured people who have claim distriburn of the form: 3000 of claims follow a N (u = 110, ,02 = 100) distribution , 2500 of claims folow a N (u = 120, ,02 200) distributions and 4500. of claims folow a N (u = 130, o2 = 300) How much should the company reserve in order to meet all claims with 9R% confidence level i) in a year ii) in 3 months iii) in a month iv) in 2 week time. Covariance matrices read as S = [100 20 30 20 200 -10 30 -10 300
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