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A new underwriting model improves hit ratio but disproportionately declines older urban properties. Compliance asks for support before deployment. Which value-chain response is best?
Deploy immediately because higher hit ratio proves the model is appropriate.
Ask claims to override all underwriting declines after a loss occurs.
Treat the model as reinsurance and exclude it from underwriting review.
Perform model governance review for fairness, explainability, data quality, and regulatory impact.
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