Institute of Actuaries Of India-Subject CT5- General Insurance, Life and Health Conti

Can you provide me previous year question paper of Institute of Actuaries Of India-Subject CT5- General Insurance, Life and Health Contingencies Exam?

[Saksham]

The previous year question paper of Institute of Actuaries Of India-Subject CT5- General Insurance, Life and Health Contingencies Exam is as follows:

Q. 1) In the context of a life assurance policy, define both overhead and direct expenses. Give an example of each.

Q. 2) Describe three types of reversionary bonus that may be added to a with-profits contract.

Q. 3) A life insurance company issues a 25-year endowment assurance policy to a life aged 40 exact. Level premiums are payable monthly in advance throughout the term of the policy provided the life survives. The sum assured of Rs. 100,000 is payable at maturity or at the end of year of death of the life insured, if earlier.
i) Prove that the monthly premium is approximately Rs. 240, given the following basis: Mortality: AM92 Select Interest: 6% per annum Initial fixed expenses: Rs. 1,000 Initial variable expenses: 50% of the annual premium Renewal fixed expenses: Rs. 500 per annum, inflating at 1.92308% per annum, at the start of the second and subsequent policy years Renewal variable expenses: 5% of the second and subsequent monthly premiums. Claims expense: Rs. 2,000 inflating at 1.92308% per annum The amounts mentioned above for renewal and claim expenses are at outset and the increases due to inflation start immediately. (7)
ii) The insurance company calculates a surrender value, equal to the gross retrospective policy value, assuming the same basis as in (i) above. Calculate the surrender value at the end of the 20th policy year immediately before the premium then due. (7)

Q. 4) i) Calculate (to the nearest integer) the median of the complete future lifetime of a person aged 50 exact who is subject to mortality according to AM92 Ultimate. (3) ii) A life insurance company is planning to issue a whole life policy to a life aged 0 whose curtate future lifetime, K has the following probability distribution: P (K=k) = 0.01; k = 0,1,2,3,…,99 The policy will pay one unit at the end of the year of death in exchange for the payment of level premiums payable at the beginning of each year provided the life survives. Find the least annual premium such that the insurer has a probability of positive financial loss of at most 0.05, assuming an annual effective interest rate of 8%. (5)

Q. 5) i) Prove that: 1:1)nxxxnxnnPPPA(4) ii) Interpret the above formula. (2)

Institute of Actuaries of India CT5_QP1114 Question Paper