A Data Scientist Received a Set of Insurance Records, Each

question 124

Multiple Choice

A Data Scientist received a set of insurance records, each consisting of a record ID, the final outcome among 200 categories, and the date of the final outcome. Some partial information on claim contents is also provided, but only for a few of the 200 categories. For each outcome category, there are hundreds of records distributed over the past 3 years. The Data Scientist wants to predict how many claims to expect in each category from month to month, a few months in advance. What type of machine learning model should be used?

• A) Classification month-to-month using supervised learning of the 200 categories based on claim contents.
• B) Reinforcement learning using claim IDs and timestamps where the agent will identify how many claims in each category to expect from month to month.
• C) Forecasting using claim IDs and timestamps to identify how many claims in each category to expect from month to month.
• D) Classification with supervised learning of the categories for which partial information on claim contents is provided, and forecasting using claim IDs and timestamps for all other categories.

Appreciate the different needs for holding cash: transactional, precautionary, and speculative.

Understand the mechanisms to reduce collection float and the role of electronic payments in managing float.

Recognize the costs associated with holding too little or too much cash, and the role of money market instruments in liquidity management.

Learn the effects of environmental factors on float management.

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Definitions:

Hindsight Bias

The tendency to believe, after an event has occurred, that one would have predicted or expected the outcome, often leading to an oversimplification of cause and effect.

Ingroup Bias

The tendency to favor one's own group over other groups, often leading to preference and loyalty towards members of the ingroup.

Bystander Effect

A phenomenon in social psychology where people are less inclined to assist a victim if there are other bystanders.

Reciprocity Norm

A social norm that expects individuals to help those who have helped them, fostering cooperation and mutual aid.