The Role of the Appointed Actuary
Understanding the responsibilities and regulatory obligations of the Appointed Actuary in insurance companies.
What Does the Appointed Actuary Do?
Every insurance company operating in the United States must designate an Appointed Actuary responsible for issuing the actuarial opinion on reserves. This individual certifies that the company's loss reserves and policy liabilities are adequate, reasonable, and in compliance with applicable laws. The role carries significant professional and legal responsibility, as regulators rely on this opinion to assess company solvency.
Qualifications and Career Path
To serve as an Appointed Actuary, you typically need Fellowship (FSA or FCAS) and several years of experience in reserving or valuation. Many Appointed Actuaries hold the title of Chief Actuary or Vice President of Actuarial Services. The position requires deep knowledge of actuarial standards of practice, particularly ASOP No. 36 (Statements of Actuarial Opinion Regarding Property/Casualty Loss and Loss Adjustment Expense Reserves). Building toward this role means developing expertise in reserving, regulatory compliance, and professional judgment.