If the loading is 0.4, the coinsurance rate is 0.2, the number of units of medical care is 100, and the number of units of medical care is 1. What is the premium of this insurance?

72  is the premimum of the insurance.

Explanation:

Below is the given values:

The loading = 0.4

Coinsurance rate = 0.2

Number of units = 100

Total number of units = 100 * 0.4 = 40

Remaining units = 60 * 0.2 = 12

Add the 60 and 12 values = 60 + 12 = 72

Thus, 72  is the premimum of the insurance.

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