Model scenario generator
Purpose
Model scenario generator helps analyze actuarial models, their structure, and embedded dynamics in order to design coherent stress scenarios aligned with what the model can represent. It supports the extraction of key inputs and assumptions from technical documentation and methodological notes, the calibration of shocks, and the production of governance-ready scenario narratives.
Primary users
The primary users are external client-facing insurance and reinsurance stakeholders who need structured stress-testing outputs for actuarial, risk, governance, ORSA, recovery planning, or related model review activities.
Where it fits (process/stage/trigger)
The agent fits into stress-testing, scenario design, actuarial model review, ORSA, recovery planning, and governance preparation processes. It is triggered when users need to analyze a model or model specification, understand assumptions and dependencies, define stress scenarios, and prepare committee-ready reporting.
Key capabilities / workflow
The agent analyzes model structure and embedded dynamics, extracts and summarizes key inputs and assumptions, designs model-aware stress scenarios, calibrates shocks consistently with linked drivers, dependencies, and timing, and identifies structural limitations, blind spots, and risk considerations tied to model design choices. It then generates scenario storytelling and a comprehensive stress-testing report.
Inputs
Typical inputs include models or model specifications, model inputs, assumptions, expert judgment, technical documentation, methodological notes, ORSA or recovery planning materials, details of risk transfer techniques, lists of management actions, historical data, simulated data, and related assumptions.
Outputs / Deliverables
Outputs include a comprehensive stress-testing report with defined scenarios, impact analysis on model outputs, sensitivity analysis, key risk drivers and insights, a model metadata and structure overview, a summary of key model inputs and assumptions, a table of stress and scenario definitions, narrative storytelling for each scenario, shock matrices and calibration details, and identified model limitations and risk considerations.
Value
Model scenario generator provides value by making stress scenario design more consistent with the actuarial model being assessed, improving transparency around assumptions, shocks, dependencies, and limitations, and supporting clearer governance discussions through structured analysis and scenario narratives.
