Hi tutors (and others) I have a question re Qn 8iii. The suggested answer says to "consider amount rather than lives basis". Just wanted to know why this is the case? My understanding is that we compare both by amount and by lives basis to determine if a lower/ higher Sum assured band contributes more heavily to the clams experience.
Hi I don't think the answer is being prescriptive, ie not saying will definitely consider amounts rather than lives. It's just raising an issue the company could consider in selecting a mortality table as the bass for its assumptions - may use amounts rather than lives based.
