Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please help me. Thank you An insurer issues a deferred annuity with a single premium to (x). The annuity is payable continuously at a level
Please help me. Thank you An insurer issues a deferred annuity with a single premium to (x). The annuity is payable continuously at a level rate of dollar 50000 per year after the 20-year deferred period, if the policyholder survives. On death during the deferred period, the single premium is returned at the time of death with interest at rate i per year effective Write down an equation for the prospective net premium policy value (i) during the deferred period and (ii) after the deferred period, using standard actuarial functions. Assume an interest rate of i per year effective, the same as the accumulation rate for the return of premium benefit. Repeat (a) for the retrospective net premium policy value. equal Show that the retrospective and prospective policy values are equal
Please help me.
Thank you
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started