Actuarial Science

An actuary is a business professional who uses mathematical skills to define, analyze and solve financial and social problems. The actuary creates and manages programs and evaluates the financial risks for a company when it sells an insurance policy. It has recently been ranked one of the most desirable professions in terms of job satisfaction and low stress.

If you are interested in statistics, insurance, risk assessment and math in general, perhaps a career in the actuarial sciences might be good for you. There are a series of 10 exams that you must take to become a Fellow of the Society of Actuaries (FSA). [Note: you don't need to pass more than the first two to find interesting jobs.] The first two exams are offered in the fall (October) and in the spring (May). These (100 Calculus and Linear Algebra and 110 Probability and Statistics) should be taken while you are still in college. The later exams split into the two divisions of the insurance field. You may either pursue the series of exams for life and health insurance or property and casualty insurance. Also, many companies such as The Travelers, MassMutual, John Hancock, Ætna, Cigna, and New York Life Insurance, have summer internship programs. It is best to do an internship the summer after your junior year.

The ordering and coverage of exams has changed in recent years. In order to prepare yourself for the first exam, you need to have a strong background in Calculus, Probability and Statistics. It is not an overload to take both Calculus III and Linear Algebra concurrently your first semester sophomore year, followed by Probability. It is best to take the exams right after you have taken these courses. Ultimately, you should take Mathematical Statistics before you graduate.

For applications and sample exams, write, call or check the website:

Society of Actuaries
475 N. Martingale Road
Suite 800
Schaumberg, Il 60173-2226

(708) 706-3500
http://www.soa.org

Other general questions can be directed to members of the faculty teaching the related classes.

Judith Ha '92