An injury insurance policy pays out $6000 if a person is seriously injured with permanent
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An injury insurance policy pays out $6000 if a person is seriously injured with permanent disability, $1000 if a person is seriously injured without permanent disability and $0 otherwise. The clients for the policy have 1 in 1000 (0.001) chance of being seriously injured with permanent disability, and 2 in 1000 (0.002) chance of being seriously injured without permanent disability.
What is the standard deviation of the amount of money paid by the insurance company?
37872
195
2848
37936
11 years ago
An injury insurance policy pays out $6000 if a person is seriously injured with permanent
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