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Mathematics, 07.03.2021 23:40 ctyrector
Last year, 20% of all claims were for weather-related damage (excluding floods), with an average weather-related damage claim being $6,500. What is the expected value (loss or gain) per weather-related claim to Acasa for every customer who chooses plan B?
-$1,380
-$180
$100
$1,180
Acasa Insurance Company offers several plans for home insurance.
Plan A has a $700 yearly premium with a $3,000 deductible.
Plan B has a $1,200 yearly premium with a $1,000 deductible.
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Last year, 20% of all claims were for weather-related damage (excluding floods), with an average wea...
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