Internal modernization initiatives and external changes of the financial reporting regulations (e.g., LDTI, IFRS 17) increase the amount of validation activities for actuarial models. In addition, the use of predictive analytics in actuarial modeling requires a different set of validation skillsets/techniques in model validation. These internal and external forces call for a structured, streamlined and robust model validation practice.
In this session, panelists with first-hand experience in model risk management/model validation will discuss:
• Validation approaches and frameworks that have helped them navigate the increasing validation needs and evolutions in modeling techniques
• Difficulties and lessons-learned when balancing standardization and flexibility in testing-centric model validation
• Emerging trends and techniques that could be leveraged in model validation