Business, 29.04.2021 18:40 CoolRahim9090

An insurance company classifies customers as Healthy, Mostly healthy or Sick, but charges them all a premium of $180 per month. Healthy customers receive benefits worth $0, Mostly healthy customers receive benefits worth $80 and Sick customers receive benefits worth $980. If the company expects 65% of the customers to be Healthy and 30% to be Mostly Healthy, what is the expected amount the company will receive per customer per month (i. e. find the expected value to the insurance company)

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An insurance company classifies customers as Healthy, Mostly healthy or Sick, but charges them all a...

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