ER Model: Construct an ER model for a company that sells homeowners insurance. Each customer of...

ER Model: Construct an ER model for a company that sells homeowners insurance. Each customer of the company owns at least one home. Each home has associated incidents that are recorded by the insurance company. An insurance policy can cover one or multiple homes. The policy defines the payments associated with the policy, and a policy that covers multiple homes will show the payments associated with each home. Associated with each payment is a payment due date, the time period of coverage, and a date when the payment was made.

Provide an ER diagram of your model, showing the entity sets, relationship sets, the attributes of the entity and relationship sets, mapping cardinalities, and participation constraints.

Solutions

Expert Solution

Below is the ER diagram of a HOMEOWNER insurance.

It consist of 4 entities connected via 3 mapping relationship and their associated attributes. Primary key are mentioned as inderlined attributes.

Entity customer and home connected via 1:m relationship.

Entity home and policy connected via m:1 relationship

Entity policy and payment connected via 1:m relationship.

venereology answered 1 year ago

Next > < Previous

Related Solutions

An insurance company sells homeowner's insurance to compensate homeowners in case of damage to their home....

An insurance company sells homeowner's insurance to compensate homeowners in case of damage to their home. Suppose we assume that the probability distribution of x = insurance company's payout on all policies is severely right-skewed with a mean of $4,750 and a standard deviation of $18,839.7850. 1. Consider a random sample of 9 homeowners who own this policy. Find the mean and standard deviation of the average insurance payout on these 9 policies. µ x̄ = $____ (no commas) σ...

Neighborhood Insurance sells fire insurance policies to local homeowners. The premium is $110, the probability of...

Neighborhood Insurance sells fire insurance policies to local homeowners. The premium is $110, the probability of a fire is 0.1%, and in the event of a fire, the insured damages (the payout on the policy) will be $100,000. a. Make a table of the two possible payouts on each policy with the probability of each. Outcome A: No Fire Outcome B: Fire! Payout c. Now suppose your company issues two policies. The risk of fire is independent across the two...

Neighborhood Insurance sells fire insurance policies to local homeowners. The premium is $150, the probability of...

Neighborhood Insurance sells fire insurance policies to local homeowners. The premium is $150, the probability of a fire is 0.1%, and in the event of a fire, the insured damages (the payout on the policy) will be $140,000. a. Make a table of the two possible payouts on each policy with the probability of each. b. Suppose you own the entire firm, and the company issues only one policy. What are the expected value, variance and standard deviation of your...

Neighborhood Insurance sells fire insurance policies to local homeowners. The premium is $240, the probability of...

Neighborhood Insurance sells fire insurance policies to local homeowners. The premium is $240, the probability of a fire is 0.1%, and in the event of a fire, the insured damages (the payout on the policy) will be $230,000. a. Make a table of the two possible payouts on each policy with the probability of each. b. Suppose you own the entire firm, and the company issues only one policy. What are the expected value, variance and standard deviation of your...

A broker submits an application for homeowners insurance to an insurance company on behalf of a...

A broker submits an application for homeowners insurance to an insurance company on behalf of a client. The broker is unaware that although his client is the registered owner of the property to be insured, the insured has neglected to report that the home is being used to house a catering business. This means that the client has failed to disclose information on the insurance application. (a) If you are the underwriter on this risk and it comes to your...

3. A broker submits an application for homeowners insurance to an insurance company on behalf of...

3. A broker submits an application for homeowners insurance to an insurance company on behalf of a client. The broker is unaware that although his client is the registered owner of the property to be insured, the insured has neglected to report that the home is being used to house a catering business. This means that the client has failed to disclose information on the insurance application. (a) If you are the underwriter on this risk and it comes to...

3. A broker submits an application for homeowners insurance to an insurance company on behalf of...

An insurance company offers a $180,000 catastrophic fire insurance policy to homeowners of a certain type...

An insurance company offers a $180,000 catastrophic fire insurance policy to homeowners of a certain type of house. The policy provides protection in the event that such a house is totally destroyed by fire in a one-year period. The company has determined that the probability of such an event is 0.002. If the annual policy premium is $379, find the expected gain per policy for the company.

An insurance company knows that in the entire population ofmillions of homeowners, the mean annual...

An insurance company knows that in the entire population of millions of homeowners, the mean annual loss from fire is μμ = $100 and the standard deviation of the loss is σσ = $300. The distribution of losses is strongly right skewed: most policies have $0 loss, but a few have large losses. If the company sells 10,000 policies, what is the probability that it can safely base its rates on the assumption that its average loss will be no...

An insurance company knows that in the entire population of millions of homeowners, the mean annual...

An insurance company knows that in the entire population of millions of homeowners, the mean annual loss from fire is μ = $100 and the standard deviation of the loss is σ = $400. The distribution of losses is strongly right skewed: most policies have $0 loss, but a few have large losses. If the company sells 10,000 policies, what is the probability that it can safely base its rates on the assumption that its average loss will be no...

Subjects