CASE STUDY
Please use the following answer the next question:
ABC Corp, is a leading insurance provider offering a range of coverage options to individuals. ABC has decided to utilize artificial intelligence to streamline and improve its customer acquisition and underwriting process, including the accuracy and efficiency of pricing policies.
ABC has engaged a cloud provider to utilize and fine-tune its pre-trained, general purpose large language model (''LLM''). In particular, ABC intends to use its historical customer data---including applications, policies, and claims---and proprietary pricing and risk strategies to provide an initial qualification assessment of potential customers, which would then be routed .. human underwriter for final review.
ABC and the cloud provider have completed training and testing the LLM, performed a readiness assessment, and made the decision to deploy the LLM into production. ABC has designated an internal compliance team to monitor the model during the first month, specifically to evaluate the accuracy, fairness, and reliability of its output. After the first month in production, ABC realizes that the LLM declines a higher percentage of women's loan applications due primarily to women historically receiving lower salaries than men.
During the first month when ABC monitors the model for bias, it is most important to?
During the first month of monitoring the model for bias, it is most important to continue disparity testing. Disparity testing involves regularly evaluating the model's decisions to identify and address any biases, ensuring that the model operates fairly across different demographic groups.
An Al system that maintains its level of performance within defined acceptable limits despite real world or adversarial conditions would be described as?
An AI system that maintains its level of performance within defined acceptable limits despite real-world or adversarial conditions is described as resilient. Resilience in AI refers to the system's ability to withstand and recover from unexpected challenges, such as cyber-attacks, hardware failures, or unusual input data. This characteristic ensures that the AI system can continue to function effectively and reliably in various conditions, maintaining performance and integrity. Robustness, on the other hand, focuses on the system's strength against errors, while reliability ensures consistent performance over time. Resilience combines these aspects with the capacity to adapt and recover.
Which of the following most encourages accountability over Al systems?
Defining the roles and responsibilities of AI stakeholders is crucial for encouraging accountability over AI systems. Clear delineation of who is responsible for different aspects of the AI lifecycle ensures that there is a person or team accountable for monitoring, maintaining, and addressing issues that arise. This accountability framework helps in ensuring that ethical standards and regulatory requirements are met, and it facilitates transparency and traceability in AI operations. By assigning specific roles, organizations can better manage and mitigate risks associated with AI deployment and use.
Machine learning is best described as a type of algorithm by which?
Machine learning (ML) is a subset of artificial intelligence (AI) where systems use data to learn and improve over time without being explicitly programmed. Option B accurately describes machine learning by stating that systems can automatically improve from experience through predictive patterns. This aligns with the fundamental concept of ML where algorithms analyze data, recognize patterns, and make decisions with minimal human intervention. Reference: AIGP BODY OF KNOWLEDGE, which covers the basics of AI and machine learning concepts.
Which of the following is an example of a high-risk application under the EU Al Act?
The EU AI Act categorizes certain applications of AI as high-risk due to their potential impact on fundamental rights and safety. High-risk applications include those used in critical areas such as employment, education, and essential public services. A government-run social scoring tool, which assesses individuals based on their social behavior or perceived trustworthiness, falls under this category because of its profound implications for privacy, fairness, and individual rights. This contrasts with other AI applications like resume scanning tools or customer service chatbots, which are generally not classified as high-risk under the EU AI Act.
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