(Table: Total Utility of Income After University Expenses and Scenario

(Table: Total Utility of Income After University Expenses and Scenario: University Expenses) Use Table: Total Utility of Income After University Expenses and Scenario: University Expenses. The Perez family will choose to purchase insurance:
Scenario: University Expenses
The Perez family would like to send their eldest daughter, Luciana, to university in the fall semester. There is a 25% chance that Luciana will earn a full scholarship to the Miller School of Medicine at the University of Miami, leaving the Perez family with $50,000 in income after tuition; a 50% chance that Luciana will earn a partial scholarship to the Florida State University College of Medicine and that the Perez family will have $40,000 in income after tuition; and a 25% chance that she will attend the Florida Institute of Technology, a private college, and that the Perez family will consequently have $30,000 in income after tuition.
Table: Total Utility of Income after University Expenses
$\begin{array}{|l|l|}\hline \text { Income } & \text { Total Utility (in utils) } \\\hline \$ 30,000 & 1,000 \\\hline 32,500 & 1,800 \\\hline 35,000 & 2,500 \\\hline 37,500 & 3,100 \\\hline 38,200 & 3,267 \\\hline 40,000 & 3,620 \\\hline 40,500 & 3,700 \\\hline 42,500 & 4,000 \\\hline 43,750 & 4,175 \\\hline 45,000 & 4,300 \\\hline 47,500 & 4,500 \\\hline 50,000 & 4,600 \\\hline\end{array}$

A) at any premium.
B) at a premium for which the reduction in risk leaves the expected value of their income after tuition the same.
C) up to but not exceeding the point at which the premium is that of a fair insurance policy.
D) at a premium for which the reduction in risk is that of a fair insurance policy.