Compiling and reviewing statistical data, advising companies on policies, developing methods of risk analysis and offering expert testimonies are some of the primary duties of an actuary. An actuary is a business professional who uses statistics, mathematics and financial theory to analyze financial consequences of a risk. Actuaries can work in banks and investment firms, insurance companies, and government and consulting firms.
The primary responsibility of an actuary is to obtain data on accidents, mortality, sickness, retirement or any other data that is relevant to their employer. They then analyze this data and determine how it may affect insurance beneficiaries in the future. An actuary also reviews insurance plans, contracts, annuity plans, pension plans and company policies. They examine policies to see if they take into account the calculated risks, and they make recommendations on how to improve them.
Actuaries act as expert witnesses in lawsuits involving insurance or risks. They may also testify before public agencies with regards to new or revised laws affecting the corporations or companies they work. An additional duty of an actuary is to develop or modify statistical models used to evaluate risks for new insurance policies. They utilize mathematical abilities to format equations and statistical formulas to aid in the resolution of issues.