Revision as of 21:37, 31 May 2022 by Admin (Created page with "An actuary analyzed historical auto and home insurance data and has concluded the following: *The probability that a policyholder with only home coverage reports a claim is 3...")
ABy Admin
May 31'22
Exercise
An actuary analyzed historical auto and home insurance data and has concluded the following:
- The probability that a policyholder with only home coverage reports a claim is 3%
- The probability that a policyholder with only car coverage reports a claim is 5%
- The probability that a policyholder with both home and car coverage reports a claim is 6%
- 60% of policyholders holding car or home coverage have car coverage and 70% have home coverage
Determine the probability that a policyholder holds car insurance coverage, given that the policyholder reported a claim.
- 4/15
- 4/9
- 0.6471
- 2/3
- 11/15