# Actuarial Science

An Actuarial Science is an interdisciplinary field that applies mathematics and statistics to determine risk assessment.

**See:**Statistical Methods, Mathematics, Probability Theory, Computer Science, Economics, Finance, Stochastic.

## References

### 2016

- (Wikipedia, 2016) ⇒ Retrieved 2016-07-24
**Actuarial science**is the discipline that applies mathematical and statistical methods to assess risk in insurance, finance and other industries and professions. Actuaries are professionals who are qualified in this field through intense education and experience. In many countries, actuaries must demonstrate their competence by passing a series of thorough professional examinations.Actuarial science includes a number of interrelated subjects, including mathematics, probability theory, statistics, finance, economics, and computer science. Historically, actuarial science used deterministic models in the construction of tables and premiums. The science has gone through revolutionary changes during the last 30 years due to the proliferation of high speed computers and the union of stochastic actuarial models with modern financial theory (Frees,1990).

### 2009

- (Farflex Financial Dictionary, 2009) ⇒ Actuarial science. (n.d.) Farlex Financial Dictionary. (2009). Retrieved July 24 2016 from http://financial-dictionary.thefreedictionary.com/Actuarial+Science
- The statistical study of risk as it relates to insurance. A practitioner of actuarial science computes various risk factors and determines the likelihood of whether (or when) an event will occur. For example, one may look at a person's medical information, such as height, weight, and pre-existing conditions, and mathematically determine how likely it is that the person will cost the insurance company more than he/she will pay in premiums. This helps the insurance company decide whether the person will receive coverage and, if so, what the monthly premium will be. Many universities offer degrees in actuarial science, though many insurance companies hire individuals with math degrees and teach them actuarial science directly.