93: Risk Classification Systems
The first presentation in this session sets out a classification system developed by the Risk Classification Working Party of the UK Actuarial Profession that can be used as a common reference point for discussing risk. The presentation covers demarcation and other issues encountered as part of this work. It is hoped that common terminology would reduce the possibility of confusion in discussing risks. The purpose of the second paper, developed by the Risk Classification Monograph Work Group of the American Academy of Actuaries, is to provide background and information to the public regarding the purpose of risk classification and the design and management of risk classification systems and to provide a systematic development of these concepts for actuaries and other professionals in a form applicable to all areas of actuarial practice.
