Fairness Testing: The Insurance Industry Needs to Align on Best Practices

"Social and regulatory attention has been using fairness and equity as a lens to evaluate the outcomes of existing processes like insurance underwriting. For example, a new law in Colorado, which will come into effect at the beginning of 2023, will require insurers to provide analytical evidence that their operational processes that use inputs of consumer data and predictive models do not result in unfair discrimination against certain consumer groups. Credit-based insurance scores (hereinafter referred to as insurance risk scores) are one example of the inputs used in these operational processes"

LIRE

Posts récents

Voir tout

Are Basel III Requirements Up to the Task? Evidence from Bankruptcy Prediction Models

“... we provide evidence that setting the risk-weighted ratio at 15\% and the simple leverage ratio at 10% would significantly decrease the probability of default without hampering banks' activities.”

How good are LLMs in risk profiling?

The study investigated how ChatGPT and Bard categorize investor risk profiles compared to financial advisors. While there were no significant differences in the risk scores assigned by the chatbots an

Affirmative Safety: An Approach to Risk Management for Advanced Ai

The paper suggests that companies developing high-risk AI systems should demonstrate their safety before deployment, arguing for proactive risk management. It proposes a risk management approach where