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CatTruxillo
SAS Employee

This is a discussion forum for the activities in the Robustness module of the Free SAS e-learning course, Responsible Innovation and Trustworthy AI.

 

Scenario: Credit Rating Agencies and the Subprime Crisis

Consider This: 

Can a risk reduction strategy, like insurance contracts, actually increase risk?

How does independent oversight improve robustness?

 

Please share your ideas in this discussion. 

2 REPLIES 2
DavidGould
SAS Employee

If I was the insurance company, I would have to blame my own lack of foresight in crafting policy exclusions. These exclusions would in turn have made the policy holder more cautious. 

CarlosBarrera
SAS Employee
Actually yes, because is delegating the risk to other actors. Without the proper oversight of the whole process, one by one case can be underestimated.

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