An insurance company divides its customers into 2 groups. Twenty percent of customers are in the high-risk group, and eighty percent are in the low-risk group. The high-risk customers make an average of 1 accident per year while the low-risk customers make an average of 0.1 accidents per year. Mr. X had no accidents last year.

What is the probability that he is a high-risk driver?

Question

An insurance company divides its customers into 2 groups. Twenty percent of customers are in the high-risk group, and eighty percent are in the low-risk group. The high-risk customers make an average of 1 accident per year while the low-risk customers make an average of 0.1 accidents per year. Mr. X had no accidents last year.

What is the probability that he is a high-risk driver?

anonymous · Answer

baye's problem i guess right?

anonymous · Answer

I think it's Poisson because we talk about averages, but I could be wrong.