Actuarial Mathematics for Life Contingent Risks,
3rd Edition (2019) – Dickson – Solutions Manual
PDF
life insurance - answer-A life insurance (assurance) policy is a contract between the policyholder
(usually the life insured) and the life office.
can the premium paying term be longer than the policy term? - answer-No it can be the same or
shorter
Types of policy - answer-whole life
Term insurance
Endowment insurance
Pure endowment
Whole life - answer-Sum insured paid on the death of the policyholder at any future time.
Term insurance - answer-Fixed policy term; sum insured paid on the death of the policyholder if
that occurs within the policy term.
Endowment insurance - answer-Fixed policy term; sum insured paid on the death of the
policyholder if that occurs within the policy term or at the end of the policy term if the
policyholder is still alive.
Pure endowment - answer-Fixed policy term; sum insured paid at the end of the policy term if
1
, the policyholder is still alive.
Life Annuity - answer-Benefit is a series of regular payments starting at a specified time and
continuing for a specified time (which could be unlimited). Payments are made only if the
policyholder is still alive at the time the payment is due.
What is considered when buying an insurance policy - answer-Proposal form
Policyholder = life insured?
Policy term Premium paying term
Frequency of premiums
Sum insured
Age
Sex
Health questionnaire Medical examination?
Policy document issued
Cancellation of policy (by the policyholder)
life expectancy - answer-the expected length of future life of a newborn is called life expectancy
at birth
mortality - answer-the risk of dying
Morbidity - answer-the risk of failing ill
would the mortality of a person with a life insurance policy be greater or less than a person
without a policy - answer-less than because they have gone through all the relevant checks to
2
3rd Edition (2019) – Dickson – Solutions Manual
life insurance - answer-A life insurance (assurance) policy is a contract between the policyholder
(usually the life insured) and the life office.
can the premium paying term be longer than the policy term? - answer-No it can be the same or
shorter
Types of policy - answer-whole life
Term insurance
Endowment insurance
Pure endowment
Whole life - answer-Sum insured paid on the death of the policyholder at any future time.
Term insurance - answer-Fixed policy term; sum insured paid on the death of the policyholder if
that occurs within the policy term.
Endowment insurance - answer-Fixed policy term; sum insured paid on the death of the
policyholder if that occurs within the policy term or at the end of the policy term if the
policyholder is still alive.
Pure endowment - answer-Fixed policy term; sum insured paid at the end of the policy term if
1
, the policyholder is still alive.
Life Annuity - answer-Benefit is a series of regular payments starting at a specified time and
continuing for a specified time (which could be unlimited). Payments are made only if the
policyholder is still alive at the time the payment is due.
What is considered when buying an insurance policy - answer-Proposal form
Policyholder = life insured?
Policy term Premium paying term
Frequency of premiums
Sum insured
Age
Sex
Health questionnaire Medical examination?
Policy document issued
Cancellation of policy (by the policyholder)
life expectancy - answer-the expected length of future life of a newborn is called life expectancy
at birth
mortality - answer-the risk of dying
Morbidity - answer-the risk of failing ill
would the mortality of a person with a life insurance policy be greater or less than a person
without a policy - answer-less than because they have gone through all the relevant checks to
2
