Online Actuary Science Diploma and Certificate Programs

Actuarial science uses mathematical and statistical models to solve problems in finance and insurance. Degree programs in actuarial science are not offered, but are instead conducted through traditional on-campus programs. However online learning programs are available for individuals already familiar with the actuary field.

Overview of the Online Fundamentals of Actuarial Practice Program

Presented by the Society of Actuaries (SOA), the Online Fundamentals of Actuarial Practice (FAP) program is designed for individuals who wish to be admitted as an Associate of the SOA and are currently involved in the actuarial profession. Introductory topics provide an overview of traditional areas of actuary practice, including property and casual insurance, life insurance, retirement benefits and health insurance. Course content presents various aspects of the business environment and asks students to examine real-world actuarial problems by studying the Control Cycle as a framework for practical problem solving. Students learn practical techniques to assist in their day-to-day responsibilities as actuaries.

Program Information

The FAP program is composed of eight different course modules that address various aspects of the business environment while describing actuarial practices, approaches, methods, principles, commonalities, problems and solutions. Course components include online and offline reading assignments, case studies, online discussion forums, practical exercises and end-of-module tests. All course materials and learning can be completed at a distance. In addition to the course modules, students are expected to pass both an interim and a final assessment. Technical requirements for this type of program include high speed internet access, Adobe Acrobat Reader, Microsoft Excel and a JavaScript enabled Web browser.

Required Online Coursework for the Fundamentals of Actuarial Practice Program

Students are required to take the eight modules of coursework in sequential order, as principles and concepts build upon the content of previous modules. This program presents actuarial concepts and principals by using the Control Cycle as a framework.

The Role of the Professional Actuary Module

Instruction provides a basic overview of actuary functions and work opportunities, including the major areas of practice and skills required to be successful in the actuary profession. Focus is placed on the Control Cycle model.

Risk in Actuarial Problems Module

This module provides students with a foundation for identifying and defining problems within the practice areas. Students learn to understand risk involved in various actuarial problems and the commonalities between them.

Design and Pricing of an Actuarial Solution Module

Focus is placed on the principles and tools used to solve common actuarial problems. Students are introduced to various models, coverages and benefit design components of actuarial solutions.

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Overview of an On-Campus Bachelor's Degree in Actuarial Science

In addition to a rigorous curriculum in mathematics, study topics focus on actuarial science, insurance, finance, economics and applied statistics. Students learn to apply statistical and mathematical concepts to the measurement of life and its contingencies. Graduates of a bachelor's degree program have the mathematical knowledge and business background necessary to pursue a career as an actuary right away or continue their education through graduate study in areas such as economics, statistics, actuarial science or finance.

Program Information

An undergraduate program in actuarial science requires approximately 120-136 credit hours. Coursework incorporates general education requirements with core requirements in the major, including a number of elective courses. Students can expect this major to require at least four years of study. Upon completion of the appropriate coursework, students are strongly encouraged, and sometimes required, to begin the series of professional examinations administered by the SOA to earn associate- or fellowship-level credentials from the society.

Common Coursework required for an On-Campus Bachelor's Degree in Actuarial Science

Coursework focuses on basic business principles while providing students with an in-depth understanding of actuarial models and methods. In addition to the required core of mathematical and actuarial courses, students can further customize their learning through elective courses, such as personal finance planning, actuarial probability as problem solving and applied corporate finance.

Probability Course

This course introduces probability models, special distributions, random variables and the central limit theorem. Other topics include independence and dependence, probability of events, sample spaces and expected values.

Risk Management Course

Students study and analyze risk management tools as they pertain to corporate financial decisions. Alternatives for spreading risk, such as external funds, retention funds and insurance, are covered.

Calculus III Course

Instruction includes variable functions, vectors, partial derivatives, and volume integrals. The Green's, Divergence and Stokes' theorems are discussed.

Career and Certification Information

By utilizing their knowledge in statistics, business, mathematics and finance, actuaries assess the risk of events and assist businesses and clients in creating policies and strategies for minimizing the costs associated with risk. Actuaries are most often employed by health, life and casualty companies, as well as consulting firms and government agencies. Although competition for available jobs is expected to be high, the U.S. Bureau of Labor Statistics (BLS) projected the employment of actuaries to increase by 21% between 2008 and 2018 (www.bls.gov). As of May 2009, the BLS reported that actuaries in the United States earned a median annual wage of $87,210.
Both the SOA and the Casualty Actuarial Society (CAS) sponsor programs leading to the professional credentialing of practicing actuaries. According to the BLS, more and more companies are requiring potential employees to have passed the initial actuarial exams administered by one of these organizations. The SOA certifies actuaries in the fields of finance and investment, life insurance, health benefits systems and retirement systems. The CAS administers a series of exams in the property and casualty field, including personal injury liability, automobile, workers compensation and homeowners. More detailed information regarding exam and certification requirements can be accessed through the SOA and CAS websites.