This resource from the Department for Education is designed to use and apply the uncertain and difficult nature of probability calculations in the real world through the work of an actuarial trainee. Students are provided with data on sea piracy, and use this to calculate the annual cost of piracy to the shipping industry, the probability of piracy for a particular company, and recommend to an insurance company the annual premium they should charge the company as protection from losses incurred due to piracy. The activity is best conducted in groups or pairs as the data and ideas need considerable discussion to help students make decisions on the way of proceeding.
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|Published||2000 - 2009|
Department for Education
Centre for Science Education