Actuary

Actuary job description: Typical employers | Qualifications and training | Key skills | Useful links | Find jobs and courses

Actuaries evaluate complex risks and assess the probability and potential financial consequences of those risks. Although the majority of actuaries work in traditional fields, actuaries are increasingly stepping outside of these specialisms to work in other areas of risk evalaution, such as the effects of climate change.

The work carries a high level of responsibility, and the decisions of actuaries affect thousands of people. In insurance-related specialisms actuaries must ensure that premium rates are set accurately and that adequate funds exist to meet claims. Actuaries may also be responsible for legislative and advisory work, managing other staff and reporting financial forecasts to management.

Career progression is encouraged through direct client responsibility, specialisation, management or partnership. Although qualification can be a lengthy and demanding process, the work is highly respected, globally recognised, and extremely well remunerated - student actuaries typically earn around £31,000, while qualified actuaries may earn anything from £43,000 to £185,000 depending on location and experience.

Most positions occur in towns and cities throughout the UK, and opportunities for international and self-employment also exist. Working hours tend to be predictable; although extra hours are common, actuaries are not usually required to work at the weekend, and there is scope for providing flexible/shared working hours depending on the employer.

Vacancies are advertised through specialist recreuitment agencies, websites and in publications such as The Actuary.

Typical employers of actuaries

• Life assurance companies
• Pension funds
• Healthcare providers
• The Government Actuaries Department
• Actuarial consultancies
• Investment banks
• Accountancy firms
• Management consultancies.

Qualifications and training required

Employers generally expect a good record of academic achievement, including grade C in a mathematical subject at A level and a first or second class degree result. Although any degree discipline is acceptable, employers often prefer a degree in maths, statistics, economics, physics or similar numerate subjects. Internships are stongly encouraged by employers, and are commonly used as a way of evaluating suitable candidates for future positions

Qualification as an actuary takes three to six years. Courses are often provided through distance learning, although university-based courses are also available. Students must pass a range of traditional and practical exams, and complete one year of work-based training before being granted associate membership of the Institute of Actuaries (England and Wales) or the Faculty of Actuaries (Scotland). In order to then become a Fellow of either/both, three years of work-based training are required, as well as further specialised study and exams.

Professional study is well supported. Students are granted membership of the Institute/Faculty of Actuaries while they study, and employers often provide paid study leave, sponsorship and contribution to study materials as well as mentoring students. A substantial amount of private study is often required, but exemptions from some assessments may be available if you can demonstrate significant prior knowledge of the syllabus.

Key skills for actuaries

Employers look for candidates who are confident in their abilities, as well as motivation due to the difficult and lengthy nature of the qualification process. Further valued skills include:

• Numeracy
• Analytical ability
• Problem solving ability
• Self-assessment
• A deep understanding of economics and of the legislation relating to financial services
• Attention to detail
• Responsibility
• Technical aptitude
• Computer literacy, as specialised software may be used
• Written and verbal communication skills.