Follow
Since employment prospects are projected to grow much faster than average at the rapid rate of 26 percent before 2022 by the Bureau of Labor Statistics, it an advantageous time for students with solid analytical, communication, and problem-solving skills to become an Actuary. Within the insurance industry, actuaries are given the responsibility of utilizing statistics to analyze risks and help clients develop plans to minimize the financial costs of those risks. Actuaries are often involved in designing insurance policies, pension plans, investments, benefit packages, and other business strategies in order to maximize an organization’s profit. If you are considering entering this in-demand position, read on to learn more about the steps you should follow to become an actuary in today’s competitive business marketplace.
1. Earn a Relevant Undergraduate Degree
In order to get on the right track towards becoming a business professional for managing the financial impacts of risk, you will need to earn at least a bachelor’s degree. While there are no specific major requirements, the majority of actuaries pursue an undergraduate degree related to actuarial sciences, statistics, mathematics, business, accounting, management, or another related analytical field. It is recommended that aspiring actuaries also take career-oriented courses in economics, applied statistics, corporate finances, public speaking, writing, calculus and business to supplement their major. Since actuaries must have the technical skills to develop spreadsheets and utilize complex statistical analysis software, taking electives in computer science can also be beneficial.
2. Build Essential Skills with Hands-On Experience
Whether you are still pursuing your undergraduate degree or have recently graduated, participating in an internship experience is an excellent way to strengthen your resume with practical hands-on skills in the actuary profession. Most entry-level actuaries will be placed on teams with more experienced actuaries to compile statistical data, conduct basic research, and draft financial reports. In addition to the fact that some employers make a point to hire their interns for permanent actuarial positions upon completion, internships provide ample opportunities for individuals to enhance their analytical, communication, computer, internship, mathematical, decision making, problem-solving, and critical thinking skills for identifying patterns in complex data sets.
3. Pursue Professional Certifications
Once you have obtained a bachelor’s degree and have gained some practical experience in the profession, it is suggested that you pursue professional certifications. Through the Society of Actuaries, individuals have the choice to pursue certification as an Associate, Fellow, or Chartered Enterprise Risk Analyst, depending on their level of expertise. While the initial associate certification takes four to six years to fully complete, the fellow certification takes an additional two or three. In order to satisfy all of the requirements for achieving certification, you will need to receive a passing score on several examinations, participate in seminars on professionalism, and complete online continuing education courses. Luckily, many employers in the actuarial field are happy to cover the expenses accrued throughout the certification process for the actuaries on their staff.
Related Resource: Financial Analyst
Overall, actuaries are specialized business professionals within the insurance industry who utilize their knowledge of mathematics to evaluate the likelihood that events will happen and assist businesses in making sound decisions to minimize risk. Once you have followed these steps on how to become an Actuary, you will have the credentials needed to break into the growing actuarial field and start working towards a sizeable median annual salary of $93,680.
