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It's is actually pretty easy. You just you use a life table. The entire actuarial field is built on this understanding this stuff. https://en.wikipedia.org/wiki/Actuarial_present_value


Well, yes, and I'd guess the exposure on these is probably better than on traditional life insurance. The article does make reference to present values of the things several times and the prices these guys are paying are much less. Nonetheless, the question, as posed, doesn't give enough information to really answer it.




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