Actuarial Science

CENTRAL WASHINGTON UNIVERSITY, Ellensburg, WA

If you excel at mathematics, and like to apply your mathematical skills to challenging problems, then becoming an actuary may be your ticket to an exciting and rewarding management-track career.

WHAT DO ACTUARIES DO?

Actuaries are professionals who specialize in the assessment of risk. Actuaries define, analyze, and solve real-world problems using mathematical, statistical and financial techniques. Actuaries work on a variety of problems, such as applying mathematical models to insurance company pricing problems, investigating the effects of high-tech medical care on life expectancies, or participating in a company merger or acquisition.

WHY BE AN ACTUARY?

In the 1988 "Jobs Related Almanac," actuary was the top-rated job, and the 2002 edition has actuary rated second among several hundred job types.  These ratings are based on salary, working conditions, stress, and potential for advancement. Actuaries are very well paid because people who can successfully apply mathematics in developing practical solutions to real-world problems are hard to find. Both large and small companies throughout the United States need actuaries. The unusually high demand for actuaries is expected to continue for the foreseeable future. And because actuaries are usually knowledgeable about all aspects of a business, they are well suited for management positions.

WHAT DOES IT TAKE TO BE AN ACTUARY?

In addition to having mathematical and statistical skills, actuarial candidates should have the ability to think logically and creatively. A basic knowledge of business and the desire to solve problems are also important. While analytical training and ability are definitely necessary, the ability to communicate effectively, both orally and in writing is of equal importance.

WHY ACTUARIAL SCIENCE AT CENTRAL?

Central's Department of Mathematics has 14 full-time members, including two specialists in probability, statistics and actuarial science. In the 15 years of its existence, Central's program in Actuarial Science has earned an enviable reputation for producing properly-trained students who are much in demand and who have done well on the job.

The Mathematics Department regularly offers specialized seminars designed to prepare prospective actuaries for the examinations given jointly by the Society of Actuaries and the Casualty Actuarial Society. Exam I covers standard coursework in calculus and probability theory.  Exam II covers Economics, Finance and the mathematical theory of interest. Many prospective employers require passage of Exam I; passing both exams prior to graduation is a noteworthy achievement that will not go unnoticed by potential employers.  Central students have demonstrated outstanding ability in these exams, having pass rates that generally exceed the national average. The Actuarial Science Program at Central Washington University offers small classes, and a high degree of faculty-student interaction. The genuine interest the Department of Mathematics has in the welfare of students is a key ingredient in the program's success.

SCHOLARSHIPS, GRANTS AND HONORS

SAFECO Insurance Company of Seattle, Washington, who has been a major supporter of Central’s actuarial science program, has instituted a grant program that gives each CWU student who passes Examination I a $150 cash award; those passing Exam 2 earn a $200 cash award.  In addition, the Howard Johnson Company, a national consulting firm and a division of Merrill Lynch, awards occasional scholarships to promising students in Actuarial Science.  Jodie Higbee Hansen, a recent graduate of CWU's actuarial science program and an Associate of the Society of Actuaries, has established an annual scholarship for a promising actuarial science student.   In addition, an anonymous donor who appreciates the program, has recently made several extraordinarily generous contributions to set up an endowed scholarship fund for Actuarial Science students.  Part of these donations were matched by the State of Washington, and beginning with the 2000-2001 school year, funds became available.  More information on these scholarships will be available at meetings of the Actuarial Science Club.

COURSEWORK FOR ACTUARIAL SCIENCE OPTION IN MATHEMATICS

Required Courses

Course Title

Quarter Credits

Math 172, 173

Calculus

10

Math 265

Linear Algebra

4

Math 272, 273

Multivariable Calculus

10

Math 311

Statistical Methods

5

Math 410A, 410B

Advanced Statistical Methods

6

Math 411A

Introduction to Probability Theory

4

Math 411B, 411C

Mathematical Statistics

6

Math 413

Introduction to Stochastic Process

5

Math 418A, 418B

Theory of Interest I, II

(3,3)

Math 419A, 419B, 419C   OR

Actuarial Mathematics I, II, III

(3,3,3)

Math 417A, 417B, 417C

 

Loss Models I, II, III

(3,3,3)

Acct 251

Financial Accounting I

5

Econ 201

Micro Economics

5

Econ 202

Macro Economics

5

Econ 301

Intermediate Microeconomic Analysis

5

Econ 302

Intermediate Macroeconomic Analysis

5

Finance 370

Business Finance

5

Finance 475

Investments

5

CS 110

Fundamentals of Computer Science  I           

4

CS 167 or 367

Visual Basic Programming          

4

 

 

Total:                           108

The following seminars, while not required, are recommended preparation for the actuarial exams indicated:

Course

Title

Preparation for

Math 416A

Seminar: Actuarial Science Problems II

Course 1-Probability&Mathematical                                      Statistics Segment

Math 416B

Seminar: Actuarial Science Problems III

Course 1-Insurance Application

For information on Actuarial Science Program, please contact: Dr. Yvonne Chueh at chueh@cwu.edu Tel: 509-963-2124 or Dr. C.T. Lin at ctl@cwu.edu Tel: 509-963-2842.