Providing a business professional advice & analyses in financial risk management.
What is an Actuary?
Life is uncertain. There are risks and dangers in everything we do. But businesses don't tend to think that way. For them, risk is a financial liability, and they will go to great lengths to limit these risks. In this article we are going to talk about a profession that focuses entirely on risk and how to evaluate it.
An actuary is a trained statistician and business professional whose job it is to examine the risks involved in any business action. Nearly two-thirds of all actuaries are employed by insurance companies and it is their job to define the terms and conditions of policies. They are also charged with determining the monthly premiums and the cost of future payouts.
The simplest and most concise definition or alternate job title for an actuary would be a risk manager. But the job is not nearly as tedious as it sounds. A talented actuary must be a skilled accountant, businessman and psychologist. Yes, he must understand human nature and how it relates to risky behaviour. Most Business English Courses for Insurance Companies will include actuarial classes.
In addition, an actuary is expected to have a strong background in the humanities, history and the social sciences. He must know and understand the missteps of the past in order to prevent future folly. For these reasons, most actuaries love their jobs. Their work is not only challenging, but intellectually stimulating. It also doesn't hurt that actuaries are generally well-compensated.
The average actuary earns about fifty thousand pounds a year. Most are important members of the management team and their advice and opinions carry a lot of weight.