A statistical measure of the number of years a person is expected to live. Life expectancy is utilized in many business decisions, including establishing premiums for life insurance and retirement annuities.
age to which an average person is expected to live, based on the person’s sex,
health factors, and other demographic data. Life expectancy rates are calculated
by actuaries and are used extensively by life insurance companies to determine
how much to charge for life insurance policies. Life expectancy varies
according to a person’s current age: A baby born today may be expected to live
until 85 years of age; a 50-year-old may be expected to live only until age 75.