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Suppose a group of 2 0 0 people seeks out an insurance company to underwrite health insurance for its members. The expected medical spending for

Suppose a group of 200 people seeks out an insurance company to underwrite health insurance for its members. The expected medical spending for the group is $200,000. What will the average premium be if the health insurance company estimates the premium adding net loading costs of 15 percent?
A. $1,200
B. $2,250
C. $1,765
D. $1,150
E. $1,500

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