Anyone with some knowledge of insurance practices has encountered the term “actuaries.” These professionals have played a critical role in the industry. Even as upcoming technologies and data analytics shape how insurance looks in the 21st century, one shouldn’t underestimate the importance of the actuary future.
Analytics and Mathematics
Data analytics doesn’t operate in a vacuum. Interpretation is key, as well as understanding the mechanics behind estimating risk and potential losses. Surprisingly, students in the field are now choosing to study theoretical mathematics. This approach offers a couple of benefits:
- Improved reasoning and problem-solving
- Enhanced communication skills
Theoretical mathematics is a challenging area of study, typically required of physicists and engineers. Future actuaries adopting this approach may be attractive to prospective employers.
Lofty and Practical Values
Analysis, prediction and mathematics are critical, but actuaries must also work well with people. Along with interpersonal skills comes professionalism, which requires integrity. While actuaries may contend with on-the-job pressure to serve their organizations’ interests, the profession as a whole must benefit from continued dedication to accuracy and truth.
Actuaries in the 21st Century
The future of the actuary profession underscores the important connection between people and technology. Insurers who understand this connection plus the value of their actuaries will poise themselves for better success in the decades to come.