What is Insurance Actuary? Definition of Insurance Actuary, Insurance Actuary Meaning
An insurance actuary is a professional expert in the valuation of operations and entities subject to risks.
The actuary should be able to assess risks both in the field of insurance and in the field of finance. Its objective is to try to solve complex financial problems based on past events, taking into account current risk and creating predictive models. They usually practice their profession in insurance companies, consultants, audit firms, financial entities and public institutions.
His specialty is personal insurance, general insurance, social security, and capital and merchandise markets.
Training and qualification of an insurance actuary
To be able to carry out the profession of insurance actuary in many countries it is mandatory to be registered. Actuaries have their own professional association. It will be necessary to have the required legal qualification and a qualification that allows them to make judgments when assessing future economic risks.
Therefore, the most suitable university qualification for an actuary is the Bachelor of Actuarial and Financial Sciences. However, there are also specialized master's degrees for those with degrees in Mathematics, Economics, Business Administration and Management, Statistics and Engineering.
That said, it is of the utmost importance that the insurance actuary has a good command of the computer programs related to the treatment of statistics and economic models. Of course, great knowledge in statistics. An important critical and analytical skills will also be essential in the performance of their work.
Career opportunities for an actuary
An actuary analyzes situations based on collected data to create mathematical models and offer financial proposals. Consequently, any event that may create a hazard is the actuary's job. Which has the ability to estimate the possible futures of a company, generally insurance.
Actuaries can develop their professional careers in the following entities:
- Private companies or financial services and risk management intermediaries.
- Public or governmental institutions.
- Trade unions.
- Financial entities.
- Insurance companies,
- Stock Exchange.
- Universities as a researcher or teacher.
- As a freelancer.