CAS Exam 6C Fall 2016, Question 20

Study guide: Exam 6C

Part a (0.5 points)

Define stress testing.

Part b (1 point)

Identify the four main purposes of stress testing.

Part c (0.5 points)

Identify two ways which scenario testing is different from sensitivity testing.

Part d (0.5 points)

Briefly describe two responsibilities of senior management in a property and casualty insurance company's stress testing program.

Answer this question and see the worked solution

Concepts tested

• Stress Testing
• Risk Appetite
• Corporate Governance

More questions from this set

• CAS Exam 6C Fall 2016, Question 19
• CAS Exam 6C Fall 2016, Question 21