Question: Consider a five-year term insurance issued to a select life aged 40 by a single premium, with sum insured $ 1 million payable immediately on

Consider a five-year term insurance issued to a select life aged 40 by a single premium, with sum insured $ 1 million payable immediately on death.

(a) Write down an expression for the net future loss random variable.

(b) Calculate the net single premium, assuming UDD.

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