actuary

noun

ac·tu·ary | \ ˈak-chə-ˌwer-ē

, -shə-, -ˌwe-rē-\

plural actuaries

Definition of actuary

1 obsolete : clerk, registrar

2 : a person who calculates insurance and annuity premiums, reserves, and dividends

Examples of actuary in a Sentence

Recent Examples on the Web

The number of Medicare beneficiaries is expected to surge to 87 million in 2040, from 60 million this year, according to Medicare actuaries. — Robert Pear, New York Times, "Medicare’s Trust Fund Is Set to Run Out in 8 Years. Social Security, 16.," 5 June 2018 Each group crafts its own, often with the help of pet actuaries. — Jo Craven Mcginty, WSJ, "As Veterinary Bills Add Up, More Pet Owners Opt for Insurance," 24 Aug. 2018 The fact sheet says that for the first time in a decade, this budget would fully fund the number of dollars requested by the actuary of the Teachers' Retirement System. — Tom Loftus, The Courier-Journal, "Gov. Matt Bevin's Kentucky budget proposal includes surprise on teacher pensions," 17 Jan. 2018 The report from actuaries at the Centers for Medicare and Medicaid Services is likely to add to the pressures making health care a significant issue in the 2020 election. — Stephanie Armour, WSJ, "Health-Care Spending Projected to Accelerate as Population Ages," 20 Feb. 2019 Traditionally, the state’s annual required contributions to its pension plans are calculated by actuaries as a percentage of the state’s payroll. — Tom Loftus, The Courier-Journal, "Kentucky pension reform bill's funding method may kick 'kids in the teeth,' critics say," 9 Jan. 2018 Steven Dicker, PwC’s chief actuary, said in a release. — Nina Trentmann, WSJ, "Rentokil Initial Unloads Pension Obligations—And Makes a Profit," 4 Dec. 2018 Critics of the overhaul plan note that this estimate hasn’t been verified by actuaries. — Joseph De Avila, WSJ, "New Jersey Lawmakers Try to Wrangle Pension Problem," 30 Aug. 2018 This revenue will be lower than previously expected while the cuts in individual tax rates are in effect through 2025, the actuaries said. — Robert Pear, New York Times, "Medicare’s Trust Fund Is Set to Run Out in 8 Years. Social Security, 16.," 5 June 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'actuary.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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4 May 2019

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The first known use of actuary was in 1570

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More Definitions for actuary

actuary

noun

Financial Definition of actuary

What It Is

An actuary is a person who evaluates the likelihood of certain events and creates plans to deal with those events.

How It Works

Actuaries must understand business, have good analytical skills, and be aware of how human behavior affects risk. In the insurance business, for example, actuaries use an issuer's costs to calculate premiums for policyholders. They also make estimates of damage after big events, such as hurricanes or earthquakes. Additionally, they may use medical records, geological information, or other data to predict things such as how long a customer will live or where the next big earthquake will occur. Comfort with statistics is key.

Actuarial work typically requires a bachelor's degree, and actuaries must also pass a series of exams to earn a professional designation through the Casualty Actuarial Society or the Society of Actuaries. It can take six to 10 years to pass all the tests. In 2010, the median pay for actuaries was $87,650 per year.

Why It Matters

Because actuaries manage risk, many work in the insurance industry, but many also work in private industry, as consultants, at accounting firms, in banks and in other organizations.

Source: Investing Answers

actuary

noun