Q475
Under risk classification, _________ consist of those whose anticipated mortality corresponds to the standard lives represented by the mortality table.
A.
Standard lives
AnswerB.
Preferred risks
C.
Sub-standard lives
D.
Declined lives
Answer: Option A
Solution
Answer: Option A
Solution:
Under risk classification, Standard lives consist of those whose anticipated mortality corresponds to the standard lives represented by the mortality table. Mortality tables are the most important basis for charging the premium.