| A simple example of reasoning about combined insurance policies Version20041210 the base product some-product1 is included in another product some-product2 the base product that-product1 can be bought by a person aged at least some-number years -------------------------------------------------------------------------------------------------------------- a component of the product that-product2 requires the buyer to be aged at least some that-number years we provide the product some-product max some-number : a component of the product that-product requires the buyer to be aged at least some some-number years = some-reqd-years ---------------------------------------------------------------------------------------------------------------------------------------- a buyer of the product that-product must be aged at least those-reqd-years the base product some-product1 is included in another product some-product2 the base product that-product1 has a component some-part with conditions some-conditions the base product that-product2 is included in another product some-product3 ----------------------------------------------------------------------------------------- the product that-product1 has a component with conditions those-conditions the base product some-product1 is included in another product some-product2 the base product that-product1 has a component some-part with conditions some-conditions ----------------------------------------------------------------------------------------- the product that-product1 has a component with conditions those-conditions the base product this-product has a component this-part with conditions these-conditions ============================================================================================================ Pure Endowment Premium Monthly or one-time payment at start date Pure Endowment Benefit Face value, only if insured survives to end date Term Life Premium Monthly or one-time payment at start date Term Life Benefit Only if insured dies between start and end dates Immediate Life Annuity Premium Monthly Immediate Life Annuity Benefit Monthly, so long as insured person is alive the base product this-product1 is included in another product this-product2 =========================================================================== Pure Endowment Endowment Term Life Endowment Term Life Deferred Annuity Liability Home Liability Auto Material Damage Home Material Damage Auto the base product this-product can be bought by a person aged at least this-number years ======================================================================================= Pure Endowment 18 Term Life 21 the product this-product1 is included in another product this-product2 ====================================================================== Pure Deferred Annuity Deferred Annuity Pure Deferred Annuity Family Package Home Family Package Auto Family Package the base product this-product is of type this-type ================================================== Pure Endowment Life Term Life Life Immediate Life Annuity Life Immediate Annuity Term Certain Life Pure Investment Life Liability P&C Material Damage P&C the base product some-product is of type some-type -------------------------------------------------- we provide the product that-product the product some-product is included in another product some-product2 --------------------------------------------------------------------- we provide the product that-product the product some-product1 is included in another product some-product --------------------------------------------------------------------- we provide the product that-product the base product some-product1 is converted to the product some-product2 ------------------------------------------------------------------------ the base product that-product1 is included in another product the base product some-product1 is converted from the product this-product2 -------------------------------------------------------------------------- the base product that-product1 is included in another product the base product this-product1 is converted from the product this-product2 ========================================================================= Immediate Life Annuity Pure Deferred Annuity the base product this-product1 is converted to the product this-product2 ========================================================================= Pure Endowment Pure Deferred Annuity