What does a Chief Actuary do

Practical Adult Insights; United States; On-site; USD 100,000 - 150,000; Full time

Job summary

Practical Adult Insights is seeking a Chief Actuary to manage and analyze financial expenditures within a corporate or government setting. This role includes overseeing a team of actuaries and directing assignments while preparing analytical reports and assessing business functions.

The ideal candidate will have proven research and analytical skills, a higher education background, and the ability to pass multiple actuarial exams. Responsibilities also include designing policies related to risk analysis.

Qualifications

• Complete a higher education curriculum and be accepted into a fellowship.
• Pass several actuarial exams covering economics, statistics, and corporate finance.
• Membership in an actuarial society or academy may be required.

Responsibilities

• Oversee other actuaries and direct assignments.
• Prepare reports and review business functions like budgets.
• Design and implement policies for actuary risk analysis.

Skills

Research and analytical skills

Statistical analysis

Knowledge of economics

Corporate finance

Education

Higher education degree

Actuarial exams (5–15)

Membership in an actuarial society or academy

Job description

Job Overview

An actuary weighs the risks and benefits of various financial situations, particularly insurance programs. More specifically, a chief actuary serves as a supervisor for a team and usually analyzes financial expenditures on a high government or corporate level. The term also often refers to a large organization that predicts the viability of various regional government investments.

Generally speaking, an actuary uses mathematical methods to evaluate all possible outcomes of a financial system. The system’s complexity and method of operation is strongly considered in these calculations, as are individual variables like mortality, property loss, and consumer choices. In a sense, the actuary is the ultimate accountant, creating a sprawling balance sheet of loss and rewards on large-scale projects. As such, the actuary’s main goal is to reduce loss — both financial and emotional — to its minimal level, and thus the prominence of insurance-related expenditures in the occupation. Actuaries also serve as business managers, expert witnesses, and investment advisers: all roles which a chief actuary may undertake.

Chief actuaries act as an actuary supervisor for a corporate or government department. They oversee other actuaries and distribute and direct assignments. The preparation of reports and review of business functions like budgets and mergers are other common responsibilities. Further, a chief actuary designs and implements policies and guidelines relating to actuary risk analysis. Day to day, the head actuary may perform any of the analytical and research duties required of a typical actuary.

Different regional governments have different chief actuary departments. The primary actuary organization in the United States, for example, is the Office of the Chief Actuary (OCACT). This organization manages and predicts financial trends related to social welfare programs such as Social Security and Supplemental Security Income, or SSI. Just as traditional actuaries help set insurance guidelines, chief actuaries assist in creating rules and guidelines for government insurance programs. Representatives from the OCACT may work with a board of trustees and Congressional committees to devise financial strategies for sustaining these programs.

Research and Analytical Skills

Research and analysis are the main skills required of a chief actuary. The position performs statistical demographic research among relevant affected populations and studies various financing options for an expenditure, especially insurance-related expenditures. Actuaries then use all of this information to predict the commitment required and the potential success or failure of a course of action. Recommendations may also be given.

Education and Certification

• Complete a higher education curriculum and be accepted into a fellowship that allows hands‑on experience.
• Pass several actuarial exams (typically five to fifteen) covering economics, statistics, and corporate finance.
• Many regions require membership in an actuarial society or academy.
• Chief actuary positions may involve years of promotion and political knowledge, especially for government roles.