Rate intervals

Hi,

I am comfortable with the principle of consistency when applied to exposure to risk (e.g. manipulating age last, next and nearest birthday) but I note a few papers pre 2009 reference rate intervals (e.g. Sep 2008 Q6).

Are these examinable?

Unsure on how to calculate these!

 

As per best of my knowledge,

Let y be the age last birthday at the most recent policy anniversary prior to the portfolio transfer
As premiums are payable annually in advance t+1 be the number of premiums received by insurer B
So
Rate interval be [y+t+1, y+t+1]
And required range is ages [y, y+1)

 

Thanks for the reply.

My question is more along the lines of whether calculating rate intervals (as in that questions example) is examinable anymore - the syllabus states that only manipulating ages last/nearest/next birthdays are examinable.

 

Thanks John!