What Does an Actuary Do?

Actuaries are at the heart of the insurance industry. Experts in statistics, business and finance, actuaries use their knowledge to assess risk in order to formulate policies and minimize costs of risk for the insurance industry.

Data is the essence of the job of an actuary, as they gather, assemble and analyze information to estimate the probability and likely costs of events such as death, sickness, injury, disability, or loss of property.

Those choosing an actuary career use data in such areas as pension and other retirement asset management; home, automobile and other areas of the insurance industry. Their expertise is essential in helping insurance companies design coverage plans, and in helping a wide spectrum of companies decide how they should invest their assets in order to maximize returns and minimize risks to those investments.

Median Annual Actuary Salary

The U.S. Bureau of Labor Statistics says actuaries are well-paid, especially in the legal, finance and securities and insurance industries. Here are median annual salaries for actuaries by state and percentiles from the 2022 Occupational Employment Statistics.

What Does an Actuary Do?

Although 60% of actuaries work in the insurance industry, some work in these environments:

• Financial or accounting institutions
• Corporations managing financial asset investments
• The government, managing the Medicare, Medicaid and other insurance programs
• As consultants, who may work on a contract basis in any of these fields