{"id":1145,"date":"2022-08-29T19:41:20","date_gmt":"2022-08-29T19:41:20","guid":{"rendered":"https:\/\/theforage.wpengine.com\/?p=1145"},"modified":"2024-11-21T10:37:10","modified_gmt":"2024-11-21T15:37:10","slug":"actuary","status":"publish","type":"post","link":"https:\/\/theforage.wpengine.com\/careers\/actuary","title":{"rendered":"What Is an Actuary?"},"content":{"rendered":"\n

In your search for a major or career path, you may have come across the actuary field and wondered, what is an actuary and what do they do?<\/p>\n\n\n\n

Actuaries help companies identify and manage risks to their business. And while you can major in actuary science, there\u2019s more to becoming an actuary than graduating with a degree. <\/p>\n\n\n\n

What Is an Actuary?<\/h2>\n\n\n\n

An actuary analyzes data to determine the risk a company may face and help it make strategic business and financial decisions.<\/p>\n\n\n\n

Ken Williams, FCAS, MAAA, and staff actuary for the Casualty Actuarial Society, sums it up: \u201cActuaries are financial forecasters. [We] use our knowledge of statistics, finance<\/a>, data science<\/a>, and business operations to place a financial value on determining risks.\u201d<\/p>\n\n\n\n\t

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AIG Actuarial Analyst<\/h2>\n\t\t\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\t\t\t\t

Experience a day in the life working as an actuary at AIG. Develop advanced actuarial skills by completing real-world professional tasks.<\/p>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t

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\n\t\t\t\t\t\tSkills you’ll build:<\/span>\n\t\t\t\t\t\tResearch, data interpretation, problem-solving, analytical thinking, technical writing, data analysis, risk assessment\t\t\t\t\t<\/p>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t

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How Much Does an Actuary Make? <\/h2>\n\n\n\n

According to the Bureau of Labor Statistics (BLS), the median annual wage<\/a> for actuaries in May 2022 was $113,990, with the top 10% earning more than $199,300 The BLS predicts that between 2021 and 2031<\/a>, the employment of actuaries will grow 21%, with approximately 2,400 new openings posted each year.<\/p>\n\n\n\n

What Does an Actuary Do?<\/h2>\n\n\n\n

An actuary\u2019s job sits at the intersection of math, statistics, and business management. They analyze data to predict risk and help their employer choose a course of action.<\/p>\n\n\n\n

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\u201cActuaries primarily quantify risk,\u201d says Williams. \u201cBy putting a financial value on a risk, they help companies determine if they need to avoid, mitigate, or even take on more risk if they have the resources to do so. This can be as simple as determining what a company should charge to insure your car to developing large commercial policies to cover losses from major events like hurricanes and wildfires. For many financial products, the key risks are the interest rate of performance of financial markets and the impact on risk being assumed.\u201d<\/p>\n\n\n\n

>>MORE:<\/strong> Underwriter vs. Actuary: What’s the Difference?<\/a><\/p>\n\n\n\n

A Typical Actuary Work Day<\/h3>\n\n\n\n

Brian Fannin, ACAS, CSPA, MAAA, research actuary with the Casualty Actuarial Society, says that most days, an actuary conducts numerical or statistical analysis to analyze and predict risk. However, there are also times when an actuary will work collaboratively with others to map out a plan for conducting analysis, communicate their findings with key people, or help shape company strategy.<\/p>\n\n\n\n

What Industries Do Actuaries Work In?<\/h2>\n\n\n\n

Actuaries mainly work at insurance companies and at businesses that support the insurance industry. But they can find work in other sectors, such as banking, accounting<\/a>, and consulting<\/a>. Williams notes that actuaries have found employment in a variety of fields like start-ups, education, and government, as well as at companies like Google<\/a>, GM, Uber<\/a>, and Tesla.<\/p>\n\n\n\n

What Skills Do I Need to Become an Actuary?<\/h2>\n\n\n\n

To become an actuary, you\u2019ll need to be proficient in several hard skills<\/a>, including:<\/p>\n\n\n\n