This preview has intentionally blurred sections. Sign up to view the full version.
View Full Document
Unformatted text preview: than 2100 claims. 3. The random variable X is distributed as a Pareto distribution with parameters α and θ. E(X) = 1 and Var(X) = 3. The random variable Y is equal to 2X. Calculate the Var(Y). 4. The number of hospitalization claims in a year follows a Poisson distribution with a mean of λ. The probability of exactly three claims during a year is 60% of the probability that there will be 2 claims. Determine the probability that there will be 5 claims....
View
Full Document
 Fall '11
 NA
 Probability theory, insurance company, 60%

Click to edit the document details