Assume that Peter has coverage under medical insurance policy which specifies a $2,000,000 lifetime limit of protection, a $1,500 deductible, a coinsurance provision requiring him to pay 25% of all bills. He spent $2,500 this year for this medical insurance policy. Peter was hospitalized for 6 days to remove a small tumor. Below are the incurred medical costs: Hospitalization: 6 days at a room and board charges of $1,000a day Covered medical and surgical expense = $44,000 ##Daily room and board charges are limited to $1,200, up to 120 days per policy year. (a) Based on the above medical insurance policy, state its annual premium, internal limit, benefit limit and aggregate limit. (b) Calculate the amount of medical expenses paid by Peter and the insurance company respectively. (c) Based on part (b), a friend told Peter that he would have paid less for his medical expenses if he spent $2,700 on this medical insurance policy added with a stop-loss feature that capped his out-of-pocket expenses at $8,000. How much will he pay less? Show all your workings. Round your final answer to 2 decimal places. Assume that Peter has coverage under medical insurance policy which specifies a $2,000,000 lifetime limit of protection, a $1,500 deductible, a coinsurance provision requiring him to pay 25% of all bills. He spent $2,500 this year for this medical insurance policy. Peter was hospitalized for 6 days to remove a small tumor. Below are the incurred medical costs: Hospitalization: 6 days at a room and board charges of $1,000a day Covered medical and surgical expense = $44,000 ##Daily room and board charges are limited to $1,200, up to 120 days per policy year. (a) Based on the above medical insurance policy, state its annual premium, internal limit, benefit limit and aggregate limit. (b) Calculate the amount of medical expenses paid by Peter and the insurance company respectively. (c) Based on part (b), a friend told Peter that he would have paid less for his medical expenses if he spent $2,700 on this medical insurance policy added with a stop-loss feature that capped his out-of-pocket expenses at $8,000. How much will he pay less? Show all your workings. Round your final answer to 2 decimal places