New CAS-SOA Report Focuses on ERM and Deterministic Scenario Testing

The Casualty Actuarial Society (CAS) and Society of Actuaries (SOA) have released the report “Enterprise Risk Management through Deterministic Scenario Analysis,” developed through the Joint Risk Management Section.

Written by David Schraub, FSA, CERA, MAAA, AQ, and Max J. Rudolph, FSA, CERA, CFA, MAAA, the report explains how deterministic scenario analysis is essential to ensure operational continuity and financial resilience in the face of major disruptions.

Scenario analysis is a key tool in the enterprise risk management process.  It highlights vulnerabilities and also strengthens strategic decision-making and operational readiness, which can safeguard the insurer's reputation, financial health, and policyholder confidence.

The CAS, SOA and the Canadian Institute of Actuaries jointly sponsor the Joint Risk Management Section. The purpose of this Section is to further education and research in risk management and establish leading risk management techniques.