Difference between revisions of "McCarty.Credit"
(→BattleTable) |
(→BattleTable) |
||
Line 15: | Line 15: | ||
: {| class="wikitable" style="width: 1200px;" | : {| class="wikitable" style="width: 1200px;" | ||
|- | |- | ||
− | ! style="width: 175px;" | reference !! style="width: 175px;" | part (a) !! style="width: 175px;" | part (b) !! style="width: 175px;" | part (c) !! style="width: | + | ! style="width: 175px;" | reference !! style="width: 175px;" | part (a) !! style="width: 175px;" | part (b) !! style="width: 175px;" | part (c) !! style="width: 160px;" | part (d) !! part (e) !! style="width: 160px;" | (part f) |
|- | |- |
Revision as of 18:35, 26 November 2018
Representing the NAIC, McCarty presented his views on the impact of credit-based insurance scoring on the availability and affordability of insurance. This reading is closely related to Kucera.Credit.
Pop Quiz
BattleTable
Based on past exams, the main things you need to know (in rough order of importance) are:
- arguments against use of credit scores (see Kucera.Credit for arguments for use of credit scores)
- disproportionate impact of credit scoring on certain classes of insureds
reference part (a) part (b) part (c) part (d) part (e) (part f) E (2017.Fall #1) see Kucera.Credit arguments against
- credit scoressee Kucera.Credit E (2016.Spring #1) disparate impact:
- gendercredit score vs frequency
- explainE (2015.Fall #1) disparate impact:
- agedisparate impact:
- other than agemetrics / drivers:
- underlying credit scoresE (2014.Fall #2) definition:
- cost-based ratesequitable rates:
- 2 conditionstexting
- is it equitableBloom's Taxonomy:
- financial stabilitysee NAIC.IRIS Bloom's Taxonomy:
- proxy variablesE (2014.Spring #5) see Kucera.Credit arguments against
- credit scoressee Kucera.Credit
Full BattleQuiz You must be logged in or this will not work.
In Plain English!
This paper is easy to read. If you have time, glance it over as you are only responsible for the first 11 pages.
Basically, McCarthy is concerned that use of credit-based insurance scores disparately impacts certain classes of people thus has a discriminatory effect. He argues that even if a tool may show mathematical correlations with insurance claims, this does not necessarily make it fair and a valid criterion for insurance purposes.
- list 4 cons with memory trick
Full BattleQuiz You must be logged in or this will not work.
BattleCodes
Memorize:
Conceptual:
Calculational: