• What is an actuary? Actuaries analyze and value
    future events, events with uncertain outcomes,
    like auto insurance claims, company value at
    year-end, or earthquake losses in 2004. We say
    "Actuaries value the future!" They're professional
    mathematicians using probability & statistics in a
    business setting.     See what     BeAnActuary.org
    and the     Occupational Outlook Handbook have to
    say.
  • Property & casualty actuaries--main group of actuaries specializing in homeowners and auto insurance (personal lines), commercial lines, liability, workers compensation, earthquake, disasters. The governing organization is the Casualty Actuarial Society (CAS); read their description of the profession here. Property & casualty insurance is explained here by the Insurance Services Office (ISO).
  • Life & health actuaries--largest group of actuaries; work with life and health coverages, pensions, investments, finance. Governed by the Society of Actuaries (SOA).
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  • Pricing actuary--responsible for setting the price of an existing product (e.g. an insurance policy) or developing a new product (e.g. an extended warranty coverage). It is competitive, challenging work.
  • Reserving actuary--sets aside funds to satisfy an insurer's obligations under insurance contracts, such as paying claims. Using their professional credentials, they certify financial statements and help guarantee company solvency. Reserving actuaries make sure the money is there!
  • Pension actuary--SOA specialist in pension and retirement benefit arrangements. They see that retirement plans are properly designed and funded. Check out the American Society of Pension Actuaries (ASPA).
  • Investment actuary--SOA specialist in the analysis of investments, asset-liability, and portfolio management. This specialty is new.
  • Finance actuary--SOA specialist in finance, business operation and evaluation; a new specialty.
  • Valuation actuary--reponsible for the analysis and valuation of entire companies or risk transfer transactions.
  • Consulting actuary--many actuaries work in consulting firms or as individual consultants.
  • Company executives--insurance company upper managers often start as actuaries. Check out Stewart Nagler's story here at BusinessFinanceMag.com; he is MetLife's Vice Chairman.