An extablished life insurance company cukkently inaven a range of both conventional and unit-linked Product a. It now, intends to launch new regulan Premium unit-linked kavinga cont hact, de aigned to help people meet their need for retirement Planning Under the Policy, Premiume ake automatically Rinked to the national average cakring index, but otherwire cannot be varied by the policyholder except by making the policy ishevocably paid up. A wide range of inveatment fund links will be available the policyholder can switch between fonda at any time, but no more than one twitch in allowed each yeah without charge. The Policyholder can choone to take the policy benefita at any age between 55 and 75. On death during the Policy team the full bid value of white will be paid. Two versions of the contract art Planned under the standard version of the contract, at the Him of retirement the full bid value of the unite will be uned to purchase an annuity from the intonance company, according to the company's annuity hate harin content at that time. The other version additionally provider a guarantee that the annoit y comercion hate applied to the actisement fund will not be dean favou Gable than a rate apecified from out art in the Policy conditions. The guaranteed rate will vary according to the chosen Retirement age and the gender of the Policyholdet switching between reaxion will not be permitted once the policy ha et alted. The following it and and charge apply to noth versions, I sidoffer spread: 5% annual fund management change: 0.751 Pa an initial charge of 15% of the first gratis annual Premium, on 150 it talgeh, deducted by cancellation of unita at the start of the Policy an additional st pa fund management change will be sevied for the annuity rate guarantee All charger are guaranteed. (i) Dincore the factoar that would determine whether or not this product will be marketable. (137 The company in considesing whether the additional Il Pa fund management change in appropriate for the annuity rate grahantee, both in teame of the atructure and size of the charge. The standard reation of the product adequately meet the company's profit cliteta (in) Deresine how an ancerament of the product would be carried out for this purpone, accoming that all the company & reserant data are made available. your answer should include denoription of the model that might be ured. (177