Exam DISC-DA Practice Question 2
Study guide: Exam DISC-DA
Reviewing a homeowners extract for a pricing model, an actuary finds that 1,200 of 48,000 policies show a year built of 1900. The data owner confirms that 1900 is the value the policy system writes when the field is left blank. Following ASOP No. 23, what should the actuary do?
- A) Keep 1900 as recorded, since a review accepts the values the source system supplies
- B) Delete the 1,200 policies, since records with questionable values cannot be used
- C) Arrange an audit of every policy's year built against inspection records first
- D) Treat the 1900 values as missing, handle them explicitly, and disclose the step
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