WHO IS AN ACTUARY ?

Actuaries are experts who perform

actuarial analysis of insurance rates,
rating procedures, rating plans, and
schedules of insurance companies. These
are professionals who are experienced in
reviewing
and
analysing
insurance
operations, reserves and underwriting
procedures
and
provide
technical
assistance regarding actuarial matters to
policy examiners and other technical
staff.

THEIR MAIN ACTIVITIES

Product pricing
Product Design
Financial management
Corporate planning

WHERE DO ACTUARIES
WORK?
Actuaries work for
Life insurance
Pension funds
General insurance
Health insurance
Investments
Government
Academics

ROLE OF ACTUARIES IN
INSURANCE
Evaluating the likelihood of future
events
Designing creative ways to reduce
the likelihood of undesirable events
Decreasing the impact of
undesirable events that do occur.
undesirable events can be both:
a.
emotional
b.
financial.

Gathering analytical skills, business

knowledge and understanding of
human behavior to design and
manage programs that control risk.

RISK

UNCERTINITY

Actuaries engage in risk management

programs.
WHAT
HAPPENS IF RISK MANAGEMENT PROGRAMS DEVELOPED BY
ACTUARIES DIDNT EXIST ?

ANSWERS THE FOLLOWING

QUESTIONS
Would as many people be willing to own
a home if fire insurance did not exist?
Would a company build a factory that
could be destroyed in an earthquake if it
were not protected by insurance?
Would people spend money today and
still be confident about their future if
there were no retirement programs or
social security?

 Would parents enjoy risky and

adventurous recreational activities
such as rock climbing or skiing if their
children faced financial disaster in the
event of an accident?
Would the banks (and the money
deposited in them) be safe if their
assets and liabilities were not carefully
managed to control financial risk?
SO WE NEED ACTUARIES IN ANY WAY

TECHNIQUES TO CONTROL
RISK
Offsetting one risk with another
Risk is a matter of perspective
Focus on catastrophic risks

INDIAN ACTUARIES ROAD

AHEAD
IRDA (The Insurance Regulatory and
Development Authority of India) has
stated
We have reached a situation where the role
of appointed actuaries has to be enhanced
significantly so that general insurers are in
a position to cope with public demand for
non-life products and at the same time
ensure the availability of solvency on a
continuous basis.

list of typical actuarial projects:

Analyzing insurance rates, such as for
cars, homes or life insurance.
Estimating the money to be set-aside
for claims that have not yet been paid.
Participating in corporate planning,
such as mergers and acquisitions.
Calculating a fair price for a new
insurance product.
Forecasting the potential impact of
catastrophes.
Analyzing investment programs.

CARRIER OPPURTUNITIES IN
INSURANCE SECTOR
In India, the profession of actuary is
managed and regulated by the
Actuarial Society of India in
located in Mumbai which conducts
these professional examinations and
currently, more than 1200 members
are pursuing this education.

JOB OPPORTUNITIES:
Within India
Actuaries and actuarial students are generally employed in;
1) Life Insurance Corporation of India (LIC).
2) General Insurance Corporation of India (GIC).
3) Public Sector General Insurance Companies.
4) Private Sector Life Insurance Companies.
5) Private Sector General Insurance Companies.
6) Firms of Consulting Actuaries.
7) Insurance Regulatory and Development Authority (IRDA).
8) Tariff Advisory Committee (TAC)
9) Software development companies
10) Back-end and virtual offices in India for employers overseas.
In addition to the above, employment opportunities are expected
to arise in future in offices of the;
11) Insurance Intermediaries
12) Pension providers other than Insurance companies
13) Education
14) Re-insurance
15) Social Securities Schemes
16) Financial Analysts
17) Construction Industry / Engineering Projects

THANK YOU