A loss random variable X has a Poisson distribution with a mean of λ. An insurance policy on the loss has a policy limit of 1. The expected insurance payment when a loss occurs is 0.8892. Find the expected insurance payment when a loss occurs for a policy on the same loss variable if the policy limit is 2.
A loss random variable X has a Poisson distribution with a mean of λ. An insurance policy on the loss has a policy limit of 1. The expected insurance payment when a loss occurs is 0.8892. Find the expected insurance payment when a loss occurs for a policy on the same loss variable if the policy limit is 2.
Calculus For The Life Sciences
2nd Edition
ISBN:9780321964038
Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Chapter13: Probability And Calculus
Section13.3: Special Probability Density Functions
Problem 54E
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A loss random variable X has a Poisson distribution with a mean of λ.
An insurance policy on the loss has a policy limit of 1. The expected insurance
payment when a loss occurs is 0.8892. Find the expected insurance payment
when a loss occurs for a policy on the same loss variable if the policy limit is 2.
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