What does an actuary do?

Answer 1

Job Description for: ACTUARY

Applies knowledge of mathematics, probability, statistics, principles of finance and business to problems in life, health, social, and casualty insurance, annuities, and pensions: Determines mortality, accident, sickness, disability, and retirement rates; constructs probability tables regarding fire, natural disasters, and unemployment, based on analysis of statistical data and other pertinent information. Designs or reviews insurance and pension plans and calculates premiums. Ascertains premium rates required and cash reserves and liabilities necessary to ensure payment of future benefits. Determines equitable basis for distributing surplus earnings under participating insurance and annuity contracts in mutual companies. May specialize in one type of insurance and be designated Actuary, Casualty (profess. & kin.); Actuary, Life (profess. & kin.).

Answer 2

The future is full of uncertainty. Some of the events that can happen are undesirable. "Risk" is the possibility that an undesirable event will occur. Actuaries are experts in:

1)evaluating the likelihood of future events,
2)designing creative ways to reduce the likelihood of undesirable events,
3)decreasing the impact of undesirable events that do occur.

Risk is an opportunity apparently. Actuary is a person who turn the risk to profitable business.

Actuaries calculate premium, based on past actual data. Actuaries estimate future lost and claims.

Actuaries ensure the company profitability. They prepare the provision(set aside a fund) in order to meet the future obligation as promised to insured. In other words they always ensure the company is solvent to meet the claims if any.

Actuaries are financial experties (no.1 in the world). They master in everything that related with money, investment, interest and dividend, forex, bond, and all investment vehicles.

Actuaries love what they do. Their work is intellectually challenging and they are very well-paid. Actuaries are key players in the management team of the companies that employ them. In a fast-changing world, with new risks and the need for ever-more creative ways to tackle them, there is the constant opportunity for personal and professional growth in an actuarial career, and the pleasure of life-long learning. Most actuaries work in a pleasant environment, alongside other professionals, and enjoy the respect of their peers.

Actuaries are the analytical backbone of our society's financial security programs. They are the brains behind the financial safeguards we have implemented in our personal lives, so we can go about our daily lives without worrying too much about what the future may hold for us. These are the safeguards that protect us from life's catastrophes. The insight into risk that actuaries have also helps to ensure that our savings are working hard for us, so that everything we love and cherish can grow and flourish. The work of actuaries benefits all of us.

However, for your information, despite gain a lot of income (some could earn more than $100K per month), they lost the actual life.

Actuaries don't have a time to enjoy. Every minute is working time. 1st house is their office, and 2nd is thier home. They never come home early. Sometime they stay at office with their beloved laptop, leaving family lonely at home.

Why I say this?Because I'm a future actuary. I work in industry, and I fed-up to be like this...

Answer 3

Actuarial science - the discipline practiced by actuaries - is in essence the discipline of quantifying risk. Actuaries create and utilize actuarial tables - statistical representations compiled from vast quantities of accumulated data - to determine exactly how likely a loss is to occur, and then find ways of minimizing the financial and emotional impact of those losses that are unavoidable.

Actuaries are employed by the insurance industry to calculate the optimum premium to charge, seeking to both minimize the risk-exposure of the company while maximizing potential profits. Charge too little premium and you won't be able to cover your losses. Charge too much, and customers will go elsewhere. It's a fine line.

Actuaries must pass a series of six examinations to be licensed in the US, with an additional two for the highest level of certification. Many actuaries have a 4-year degree in actuarial science, though a degree in statistics will also suffice in most cases. The discipline is highly statistics-intensive, and some background in economics, business, and a smattering of sociology will come in handy.

Answer 4

An actuary assembles and analyzes facts and estimates risks and returns to make financial planning decisions in a specific area of expertise.

Answer 5

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