Capital Alocation Insurance

Machine learning is a relatively new field, without a unanimous definition. In many ways, actuaries have been machine learners. In both pricing and reserving, but also more recently in capital modelling, actuaries have combined statistical methodology with a deep understanding of the problem at hand and how any solution may affect the company and its customers. One aspect that has, perhaps, not been so well developed among actuaries is validation.

This publication compiles a series of reports reflecting the OECD’s extensive work in this field over recent years to the improvement of the financial management of major catastrophes both through the activities.