Abstract:
This article formulates premium of contingent term life insurance based on Makeham's
law for two persons at the age x and y years old. Contingent life insurance is
an insurance whose payment are based on the sequence of the deceased insured. In
determining the order in which death is delayed, the compound contingent function
is used. In this article, term life annuity m times of payment, net single premium
of contingent term life insurance, and premium of contingent term life insurance are
obtained based on Makeham's law of mortality. Thus it is obtained that annual
premium of contingent term life insurance with m times of payment in a year is
greater than annual premium of contingent term life insurance without m times of
payment.
