Actuarial Science is the discipline that applies mathematical and statistical methods to assess risks in insurance and finance industries. Actuaries are experts in analysing financial impacts of tomorrow’s uncertain events. Actuaries add value by enabling businesses and individuals to make informed decisions with a clearer view of the likely range of financial outcomes from different future events.
Actuaries decide as to what amount of money a policy holder should pay as premium or what sum should be given as pension amount or returns by the company. They calculate insurance risks and premiums. The job of an actuary is to assess the financial impact of an uncertain future event. They are financial astrologers.
An actuary has to combine the skills of a statistician, economist and financier and employ techniques of probability, compound interest, law, marketing and management to predict the outcome of future contingencies and design solutions to lessen the financial severity of such events.
Actuarial profession was formally established in 1848, with the formation of Institute of Actuaries, London. In India, The Actuarial Society of India (ASI), the only professional body of Actuaries in India was formed in 1944 and was admitted as a member of the International Actuarial Association (IAA), an umbrella organization to all actuarial bodies across the world, in 1979. To become a fellow, one has to first become a student member of the institute and then clear all the papers of the institute and fulfil other criteria from time to time.
The field of actuarial science is slowly gaining popularity and recognition in India. A career in this field involves application of math, statistical knowledge, skill in risk assessment, and evaluation of financial products such as insurance and investments. Actuaries provide professional services with an extensive range of business and social contexts that are: Investment and Financial Services, Life Insurance, Health Insurance, General Insurance and Employee Retirement and Benefit Plans.
Some Institutes/Colleges offering Course
- Institute of Actuaries of India
- Aligarh Muslim University
- Amity School of Insurance and Actuarial Science Noida
- Manipur University
- Birla Institute of Management Technology
- Bishop Herber College
- University of Madras and many more…
Jobs after Actuarial Science
- Life Insurance
- Health Insurance
- Pension Funds
- General Insurance
- Reinsurance Companies
- Risk Management