ActuariesAn Actuary is responsible for analyzing the possible outcomes of the types of events that could potentially cause policyholders to make claims against their insurance policies. They study the overall likelihood that different events will occur, and they evaluate the potential risks each event poses. Their goal is to try and assess the costs associated with the event should it actually occur.Why do they do this type of analysis? Insurance companies need to make sure that the money they are charging and collecting from policyholders is adequate to cover the costs of settling the claims that might potentially be made by policyholders as well as their other expenses. In fact, the work that Actuaries perform is crucial to an insurance companys ability to remain in business. If policies are priced too low, there possibly wont be adequate funds available to pay out all claims. If policies are priced too high, insurance companies risk losing business to those insurance companies offering less expensive policies.The majority of Actuaries work in the insurance industry, and in particular in the life, health, and property/casualty branches. Others are employed by the financial sector and help set prices for securities, pensions and other financial offerings. Actuaries may be asked to testify at rate increase public hearings and court proceedings or they may need to help develop internal corporate policy.

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