Question: Insurance claims follow a Poisson process with a rate = 100 claims per year. (a) What is the mean and standard deviation of the

Insurance claims follow a Poisson process with a rate λ = 100 claims per year.

(a) What is the mean and standard deviation of the number of claims per year?

(b) What is the probability of receiving more than 100 claims per year?

(c) What is the probability of receiving exactly 100 claims in a year?

(d) Why is the probability of receiving exactly 100 claims in a year small?

(e) What is the probability of no claims in a year?

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