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Predictive models are often used for real-time decision making. However, typical machine learning techniques ignore feature evaluation cost, and focus solely on the accuracy of the machine learning models obtained utilizing all the features…

Machine Learning · Computer Science 2014-08-19 Leilani Battle , Edward Benson , Aditya Parameswaran , Eugene Wu

As advancements in novel biomarker-based algorithms and models accelerate disease risk prediction and stratification in medicine, it is crucial to evaluate these models within the context of their intended clinical application. Prediction…

Methodology · Statistics 2025-09-11 Kehao Zhu , Yingye Zheng , Kwun Chuen Gary Chan

The paper introduces an approach to telematics devices data application in automotive insurance. We conduct a comparative analysis of different types of devices that collect information on vehicle utilization and driving style of its…

Applications · Statistics 2019-10-07 Konstantin Korishchenko , Ivan Stankevich , Nikolay Pilnik , Daria Petrova

Bayesian models are increasing fit to large administrative data sets and then used to make individualized recommendations. For instance, Medicare's Hospital Compare webpage provides information to patients about specific hospital mortality…

Applications · Statistics 2018-04-03 E. I. George , V. Rockova , P. R. Rosenbaum , V. A. Satopaa , J. H. Silber

We model the quantities appearing in Internal Revenue Service (IRS) tax guidance for calculating the health insurance premium tax credit created by the Patient Protection and Affordable Care Act, also called Obamacare. We ask the question…

General Finance · Quantitative Finance 2020-08-11 Samuel J. Ferguson

We provide sufficient conditions for semi-nonparametric point identification of a mixture model of decision making under risk, when agents make choices in multiple lines of insurance coverage (contexts) by purchasing a bundle. As a first…

Econometrics · Economics 2023-07-19 Levon Barseghyan , Francesca Molinari

When making treatment selection decisions, it is essential to include a causal effect estimation analysis to compare potential outcomes under different treatments or controls, assisting in optimal selection. However, merely estimating…

Machine Learning · Statistics 2024-10-08 Sherly Alfonso-Sánchez , Kristina P. Sendova , Cristián Bravo

As predictive models -- e.g., from machine learning -- give likely outcomes, they may be used to reason on the effect of an intervention, a causal-inference task. The increasing complexity of health data has opened the door to a plethora of…

Machine Learning · Statistics 2023-05-17 Matthieu Doutreligne , Gaël Varoquaux

Where machine-learned predictive risk scores inform high-stakes decisions, such as bail and sentencing in criminal justice, fairness has been a serious concern. Recent work has characterized the disparate impact that such risk scores can…

Machine Learning · Computer Science 2019-06-04 Nathan Kallus , Angela Zhou

Classification is a well-studied machine learning task which concerns the assignment of instances to a set of outcomes. Classification models support the optimization of managerial decision-making across a variety of operational business…

Machine Learning · Computer Science 2025-05-19 Wouter Verbeke , Diego Olaya , Jeroen Berrevoets , Sam Verboven , Sebastián Maldonado

In this paper, we consider an optimal reinsurance problem to minimize the probability of drawdown for the scaled Cram\'er-Lundberg risk model when the reinsurance premium is computed according to the mean-variance premium principle. We…

Optimization and Control · Mathematics 2022-01-04 Pablo Azcue , Xiaoqing Liang , Nora Muler , Virginia R. Young

Analytical, free of time consuming Monte Carlo simulations, framework for credit portfolio systematic risk metrics calculations is presented. Techniques are described that allow calculation of portfolio-level systematic risk measures…

Risk Management · Quantitative Finance 2011-07-14 Mikhail Voropaev

Causal inference is crucial for understanding the true impact of interventions, policies, or actions, enabling informed decision-making and providing insights into the underlying mechanisms that shape our world. In this paper, we establish…

Methodology · Statistics 2024-03-26 Jingyue Huang , Changbao Wu , Leilei Zeng

The attributable risk, often called the population attributable risk, is in many epidemiological contexts a more relevant measure of exposure-disease association than the excess risk, relative risk, or odds ratio. When estimating…

Statistics Theory · Mathematics 2008-12-31 Daniel B. Rubin

Despite decades of research in risk management, most of the literature has focused on scalar risk measures (like e.g. Value-at-Risk and Expected Shortfall). While such scalar measures provide compact and tractable summaries, they provide a…

Risk Management · Quantitative Finance 2025-11-28 Michele Bonollo , Martino Grasselli , Gianmarco Mori , Havva Nilsu Oz

Over the last century, risk scores have been the most popular form of predictive model used in healthcare and criminal justice. Risk scores are sparse linear models with integer coefficients; often these models can be memorized or placed on…

Machine Learning · Computer Science 2022-10-13 Jiachang Liu , Chudi Zhong , Boxuan Li , Margo Seltzer , Cynthia Rudin

One possible way of risk management for an insurance company is to develop an early and appropriate alarm system before the possible ruin. The ruin is defined through the status of the aggregate risk process, which in turn is determined by…

Risk Management · Quantitative Finance 2010-06-30 Shubhabrata Das , Marie Kratz

A stratified sampling plan to audit health insurance claims is offered. The stratification is by dollar amount of the claim. The plan is representative in the sense that with high probability for each stratum, the difference in the average…

Applications · Statistics 2009-09-29 Arthur Cohen , Joseph Naus

We provide an axiomatic approach to general premium principles in a probability-free setting that allows for Knightian uncertainty. Every premium principle is the sum of a risk measure, as a generalization of the expected value, and a…

Risk Management · Quantitative Finance 2020-12-21 Max Nendel , Frank Riedel , Maren Diane Schmeck

Generalized linear models (GLMs) using a regression procedure to fit relationships between predictor and target variables are widely used in automobile insurance data. Here, in the process of ratemaking and in order to compute the premiums…

Applications · Statistics 2016-06-02 J. M. Pérez-Sánchez , E. Gómez-Déniz