By restricting quantifying reserve uncertainty to regulatory and risk assessment questions, many inherent and readily accessible benefits embedded in reserve and uncertainty analyses could be overlooked. For entities that regularly rely on stochastic modeling to estimate uncertainty, moving beyond mere quantification to an integrated model within an enhanced ERM framework is the next natural step in the evolution of an ERM program. Taking this step could allow entities to extract significant value and maximize the robustness of their existing reserving processes.
