Elementary Life Contingencies

Question 1

Curtate Future Lifetime

Answer 1

The number of completed years of life that a specified person survives from now. Denoted by K or Kx = Exact lifetime rounded down to the whole year

Question 2

At what time will a death benefit be paid (in terms of K)

Answer 2

K + 1

Question 3

Present value (at effective rate i) of all premiums

Answer 3

P ä _{<strong>k+1 |</strong> i}

Question 4

Present value of the death benefit

Answer 4

S v_i^k+1

Question 5

l_x

Answer 5

The number of lives expected to survive (at least) to age x,

out of the specified number

Question 6

d_x

Answer 6

The number expected to die between age x and x+ 1

(out of the starting number or, equivalently, out of l_x)

Question 7

The link between l_x and d_x