What Is Actuarial Science?

Actuarial science is a study that uses mathematical and statistical approaches to analyze financial risks in the insurance and finance industries. The mathematics of probability and statistics are used in actuarial science to describe, evaluate, and solve the financial consequences of uncertain future occurrences. The analysis of mortality and the development of life tables, as well as the application of compound interest, are central to traditional actuarial science.

Actuaries assess, manage, and advise on financial risks. They use their business and economic knowledge to provide strategic, commercial, and financial advice, as well as an understanding of probability theory, statistics, and investment theory. As an actuary, you’ll use financial and statistical theory to estimate the probability that a particular event will occur and its potential financial cost.

The actuary must be able to apply mathematical, economic, and statistical perceptions to the real world of the financial world and convey difficult topics to non-professionals. Therefore, it is important that you are a good communicator and have the ability to easily discuss complex issues.

Actuary Actuaries work in these areas:

  • Bank
  • Corporate finance
  • Investment management
  • Life insurance, non-life insurance, and health insurance
  • Pension.

Work in this area is open to all graduates with a deep knowledge of numbers, but the following areas of study can increase your chances:

  • Actuarial or insurance mathematics
  • Business or finance
  • Engineering
  • Math or statistics
  • Risk management
  • Science, eg physics and chemistry.

Skills Absolutely required:

  • High level of computing power
  • Excellent communication skills such as the ability to convey complex information to clients
  • Analytical, inquiry-based, creative problem-solving skills
  • IT skills
  • Ability to write clear reports
  • Ability to take responsibility
  • Excellent human resources, interpersonal skills, listening skills
  • Strong teamwork ethics Self-discipline, determination, and understanding of the requirements for studying at work