Actuarial assistant

Actuarial assistants perform statistical data research in order to set premium rates and insurance policies. They review the possibility of accidents, injuries and property damage by using statistical formulas and models.

The duties of an actuarial assistant include, but are not limited to:

• Maintaining and updating insurance company databases with information about customers’ claims history, medical records, and other personal information
• Calculating the cost of providing annuities and other insurance products to meet clients’ needs
• Reviewing insurance applications to determine whether they meet state laws and regulations
• Calculating the cost of insurance premiums based on actuarial methods and assumptions such as interest rates and mortality rates
• Explaining complicated insurance terms to customers who are purchasing policies
• Calculating insurance payouts based on clients’ stated needs and their investment holdings
• Preparing reports that summarize information about insurance policies, including claims made and payouts made
• Reviewing data to determine the likelihood that an insurance company will incur a loss on a policy
• Preparing reports that help senior management make strategic decisions about the company’s business operations

The following job titles also refer to actuarial assistant:

actuarial analyst assistant
senior actuarial assistant
senior actuarial aide
actuarial assistant – life product development
junior actuarial aide
junior actuarial assistant
actuarial aide

Actuarial assistants work in the same type of environment as actuaries, spending most of their time behind a desk working with facts and figures. However, they may have less responsibility and may not be involved in as many complex projects as actuaries.

Actuarial assistants may work regular business hours, although they may be required to work overtime during busy periods. The work can be stressful and demands intense concentration and attention to detail, but actuarial assistants find their jobs to be rewarding and satisfying.

Most actuarial assistant positions require a bachelor’s degree in actuarial science, mathematics, statistics or a related field. Some employers may hire candidates who have a strong background in mathematics and statistics without a degree, but these candidates will need to demonstrate their knowledge and skills in these areas.

Most actuarial assistant positions require candidates to have at least two years of experience in the field. Experience can be gained in a variety of roles, including as an entry-level actuary, an entry-level actuary assistant, an actuarial intern or an actuarial intern assistant.

Actuarial assistants can also receive on-the-job training in their roles. This training may include learning the specific processes and procedures of the company and the software and technology they use.

ISCO skill level is defined as a function of the complexity and range of tasks and duties to be performed in an occupation. It is measured on a scale from 1 to 4, with 1 the lowest level and 4 the highest, by considering:

• the nature of the work performed in an occupation in relation to the characteristic tasks and duties
• the level of formal education required for competent performance of the tasks and duties involved and
• the amount of informal on-the-job training and/or previous experience in a related occupation required for competent performance of these tasks and duties.

Actuarial assistant is a Skill level 3 occupation.

These occupations, although different, require a lot of knowledge and skills similar to actuarial assistant.

insurance risk consultant
title closer
property insurance underwriter
insurance claims handler
insurance fraud investigator

These occupations require some skills and knowledge of actuarial assistant. They also require other skills and knowledge, but at a higher ISCO skill level, meaning these occupations are accessible from a position of actuarial assistant with a significant experience and/or extensive training.

actuarial consultant
insurance rating analyst
securities analyst
insurance product manager
business economics researcher

This knowledge should be acquired through learning to fulfill the role of actuarial assistant.

• Statistics: The study of statistical theory, methods and practices such as collection, organisation, analysis, interpretation and presentation of data. It deals with all aspects of data including the planning of data collection in terms of the design of surveys and experiments in order to forecast and plan work-related activities.
• Financial markets: The financial infrastructure which permits trading securities offered by companies and individuals govern by regulatory financial frameworks.
• Statistical analysis system software: Specific software system (SAS) used for advanced analytics, business intelligence, data management, and predictive analytics.
• Actuarial science: The rules of applying mathematical and statistical techniques to determine potential or existing risks in various industries, such as finance or insurance.

These skills are necessary for the role of actuarial assistant.

• Calculate insurance rate: Gather information on your client’s situation and calculate their premium on the basis of various factors such as their age, the place where they live and the value of their house, property and other relevant assets.
• Analyse market financial trends: Monitor and forecast the tendencies of a financial market to move in a particular direction over time.
• Apply statistical analysis techniques: Use models (descriptive or inferential statistics) and techniques (data mining or machine learning) for statistical analysis and ICT tools to analyse data, uncover correlations and forecast trends.
• Obtain financial information: Gather information on securities, market conditions, governmental regulations and the financial situation, goals and needs of clients or companies.
• Carry out statistical forecasts: Undertake a systematic statistical examination of data representing past observed behaviour of the system to be forecast, including observations of useful predictors outside the system.
• Compile statistical data for insurance purposes: Produce statistics on potential risks such as natural and technical disasters and production downtimes.

This knowledge is sometimes, but not always, required for the role of actuarial assistant. However, mastering this knowledge allows you to have more opportunities for career development.

• Insurance law: The law and legislation concerning the policies of transferring risks or losses from one party, the insured, to another, the insurer, in exchange for a periodic payment. This includes the regulation of insurance claims and the business of insurance.
• Risk management: The process of identifying, assessing, and prioritising of all types of risks and where they could come from, such as natural causes, legal changes, or uncertainty in any given context, and the methods on dealing with risks effectively.
• Principles of insurance: Understand the principles of insurance, including third party liability, stock and facilities.
• Insurance market: The trends and major driving factors in the insurance market, insurance methodologies and practices, and the identification of the major stakeholders in the insurance sector.
• Types of insurance: The various types of risk or loss transfer policies that exist and their characteristics, such as health insurance, car insurance or life insurance.

These skills and competences are sometimes, but not always, required for the role of actuarial assistant. However, mastering these skills and competences allows you to have more opportunities for career development.

• Produce statistical financial records: Review and analyse individual and company financial data in order to produce statistical reports or records.
• Perform risk analysis: Identify and assess factors that may jeopardise the success of a project or threaten the organisation’s functioning. Implement procedures to avoid or minimise their impact.
• Provide cost benefit analysis reports: Prepare, compile and communicate reports with broken down cost analysis on the proposal and budget plans of the company. Analyse the financial or social costs and benefits of a project or investment in advance over a given period of time.
• Examine credit ratings: Investigate and look for information on the creditworthiness of companies and corporations, provided by credit rating agencies in order to determine the likelihood of default by the debtor.
• Advise on insurance policies: Advise on specific contracts and general insurance guidelines, such as the terms of coverage, the risks that are involved, the handling of claims, and terms of settlements.
• Consult credit score: Analyse the credit files of an individual, such as credit reports which outlines a person’s credit history, in order to assess their creditworthiness and all the risks that would be involved in granting a person a loan.
• Create insurance policies: Write a contract that includes all the necessary data, such as the insured product, the payment to be made, how often the payment is needed, the personal details of the insured and on what conditions the insurance is valid or invalid.
• Analyse insurance risk: Analyse the probability and size of the risk that is to be insured, and estimate the value of movable or immovable property of the client.
• Analyse financial risk: Identify and analyse risks that could impact an organisation or individual financially, such as credit and market risks, and propose solutions to cover against those risks.

3314 – Statistical, mathematical and related associate professionals

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References

1. Actuarial assistant – ESCO
2. Actuarial Assistant Job Description: Salary, Duties, & More – Climb the Ladder