The first answer that comes along, as we ponder about the scope of Actuarial Science will be definitely, “Anywhere that involves risks” (What is a risk- an actuarial definition). The profession of an actuary is perfect for an individual who enjoys challenges and is a convergent thinker. Those who develop a track-record of success will have many opportunities for growth and advancement immensely.
As we all are aware of, that the insurance industry can’t function without actuaries as they compute the costs and determine the premiums of the policies. The work field of actuaries is spread in all sectors of the economy but they are chiefly consolidated in the insurance sector (Different types of actuaries). Be it investment and commercial banks, retirement funds or insurance companies . They are also employed by the government, corporations and consulting firms too. A lot of opportunities exist in the area of financial planning, where the actuary is responsible for limiting financial risks for both families and businesses.
Being a consultant is another major area where actuaries thrive. Consulting actuaries work with and advise high-level executives, especially in financial services, on matters related to risk management and healthcare. Moreover, actuaries can ascend to administrative and executive positions in their companies too with their encyclopedic knowledge of the insurance, pension or investment strategies. Actuaries with decision-making capabilities can progress to management positions in areas of marketing, underwriting and data processing also.
Whether they are part of a nationwide firm or an independent individual practice, actuaries:
- Help companies design pension and benefit plans
- Evaluate assets and liabilities
- And most importantly fixate the involved risks
Actuaries are known for their work in the insurance and pension domains, where they design financially reputable benefit programs to safeguard the customers. They are the financial masterminds of the insurance industry, specializing in either life, health insurance or general insurance respectively.
Another most important field where endless opportunity exists for young and mature actuarial minds is the well known field of Research.
“If we knew what we were doing, it wouldn’t be research” is a famous quote by Albert Einstein. It explains what we do without knowing. Research is widely encouraged in the field of Actuarial Science in areas such as academics, marketing, accounting, finance, insurance etc. The common ingredient in these different areas in the name of research, is that, it makes an attempt to understand what people and organizations were thinking about past in this fast changing world.
The gap in what we have thought of and what has emerged should move to the risk basket meant for the present and the future. Focusing on the financial sense of the future, actuarial profession always targets this risk basket, to be smaller and to carry minimum number of items. This particular profession aims to understand, identify and calibrate all risks in the market, for financial and non-financial prospects and foresee the future. Hence, the scope of research in this field is immense and limitless.
So, let us together make an attempt to understand the immeasurable scope of this terrain and in turn make the discipline of Actuarial Science, a subject of leading light for the enthusiastic and the heuristic minds.
To know more on what actuaries do, click here.