(i) Calculate the probability that a randomly chosen policy holder from this portfolio will make a claim during a 12 month period. One of the company's policyholders has just made a claim (ii) Calculate the probability that the policy holder is younger than 22 years.
(i) Calculate the probability that a randomly chosen policy holder from this portfolio will make a claim during a 12 month period. One of the company's policyholders has just made a claim (ii) Calculate the probability that the policy holder is younger than 22 years.
Holt Mcdougal Larson Pre-algebra: Student Edition 2012
1st Edition
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Chapter11: Data Analysis And Probability
Section11.8: Probabilities Of Disjoint And Overlapping Events
Problem 2C
Related questions
Question
![C. An insurance company calculates car insurance company calculates car
insurance premiums based on the age of the policyholder according to three age
groups: Group A consists of drivers younger than 22 years old; Group B consists
of drivers 22-33 years old, and Group C consists of drivers older than 33 years.
Its portfolio consists of 10% Group A policyholders, 38% Group B policyholders
and 52% Group C policyholders.
The probability of a claim in any 12 month period for a policy belonging to Group
A, B or C is 13%, 3% and 2%, respectively.
(i) Calculate the probability that a randomly chosen policy holder from this
portfolio will make a claim during a 12 month period.
One of the company's policyholders has just made a claim
(ii) Calculate the probability that the policy holder is younger than 22 years.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcfbf8456-ba88-4544-ada4-19268bb1d390%2Fed1229c6-26f8-405e-865d-bf83c56dd2d0%2Fdcjv10g_processed.jpeg&w=3840&q=75)
Transcribed Image Text:C. An insurance company calculates car insurance company calculates car
insurance premiums based on the age of the policyholder according to three age
groups: Group A consists of drivers younger than 22 years old; Group B consists
of drivers 22-33 years old, and Group C consists of drivers older than 33 years.
Its portfolio consists of 10% Group A policyholders, 38% Group B policyholders
and 52% Group C policyholders.
The probability of a claim in any 12 month period for a policy belonging to Group
A, B or C is 13%, 3% and 2%, respectively.
(i) Calculate the probability that a randomly chosen policy holder from this
portfolio will make a claim during a 12 month period.
One of the company's policyholders has just made a claim
(ii) Calculate the probability that the policy holder is younger than 22 years.
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![Holt Mcdougal Larson Pre-algebra: Student Edition…](https://www.bartleby.com/isbn_cover_images/9780547587776/9780547587776_smallCoverImage.jpg)
Holt Mcdougal Larson Pre-algebra: Student Edition…
Algebra
ISBN:
9780547587776
Author:
HOLT MCDOUGAL
Publisher:
HOLT MCDOUGAL
![College Algebra](https://www.bartleby.com/isbn_cover_images/9781337282291/9781337282291_smallCoverImage.gif)
![Calculus For The Life Sciences](https://www.bartleby.com/isbn_cover_images/9780321964038/9780321964038_smallCoverImage.gif)
Calculus For The Life Sciences
Calculus
ISBN:
9780321964038
Author:
GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:
Pearson Addison Wesley,
![Holt Mcdougal Larson Pre-algebra: Student Edition…](https://www.bartleby.com/isbn_cover_images/9780547587776/9780547587776_smallCoverImage.jpg)
Holt Mcdougal Larson Pre-algebra: Student Edition…
Algebra
ISBN:
9780547587776
Author:
HOLT MCDOUGAL
Publisher:
HOLT MCDOUGAL
![College Algebra](https://www.bartleby.com/isbn_cover_images/9781337282291/9781337282291_smallCoverImage.gif)
![Calculus For The Life Sciences](https://www.bartleby.com/isbn_cover_images/9780321964038/9780321964038_smallCoverImage.gif)
Calculus For The Life Sciences
Calculus
ISBN:
9780321964038
Author:
GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:
Pearson Addison Wesley,