To determine Jade's annual premium for her \[tex]$200,000 term life insurance policy with a 10-year term, we need to use the following details from the provided table:
1. Jade is 34 years old.
2. We are looking at the premium for a 10-year term policy for females.
3. The premium per \$[/tex]1000 of face value for females aged 34 on a 10-year term is \[tex]$6.01.
Now, let's calculate the annual premium step by step:
1. Face Value of the Policy:
Jade wants to buy a term life insurance policy with a face value of \$[/tex]200,000.
2. Premium per \[tex]$1000 of Face Value:
For a 34-year-old female on a 10-year term policy, the premium per \$[/tex]1000 is \[tex]$6.01.
3. Calculation:
We need to find out the total premium by multiplying the premium rate per \$[/tex]1000 by the number of \[tex]$1000 increments in the total face value.
- Total face value of the insurance = \$[/tex]200,000
- Number of \[tex]$1000 increments in \$[/tex]200,000 = \[tex]$200,000 / \$[/tex]1000 = 200
The total premium is calculated as:
[tex]\[
\text{Annual Premium} = \text{Number of \$1000 increments} \times \text{Premium per \$1000}
\][/tex]
[tex]\[
\text{Annual Premium} = 200 \times \$6.01
\][/tex]
[tex]\[
\text{Annual Premium} = \$1202.00
\][/tex]
Therefore, Jade's annual premium for a \[tex]$200,000 term life insurance policy with a 10-year term is \$[/tex]1202.00.
The best answer from the choices provided is:
b. \$1,202
