Unit 1195: Introduction to Actuarial Science

1. Overview of Actuarial Science

• Definition and history of actuarial science
• Role of actuaries in various industries
• Key areas of application: insurance, finance, pensions, risk management

2. Actuarial Exams and Certification

• Overview of actuarial professional bodies (e.g., SOA, CAS, IFoA)
• Structure and stages of actuarial exams
• Types of certifications and designations
• Continuing professional development requirements

3. Probability and Statistics in Actuarial Science

• Basic probability theory and concepts
• Random variables and probability distributions
• Statistical inference and estimation methods
• Applications of statistics in modeling risk and uncertainty

4. Financial Mathematics and Time Value of Money

• Interest theory and accumulation functions
• Present and future value calculations
• Annuities, loans, and amortization schedules
• Bonds, yields, and other financial instruments

5. Risk Management and Insurance Principles

• Concepts of risk and uncertainty
• Types of insurance and insurance contracts
• Principles of underwriting and claims management
• Risk pooling and diversification

6. Actuarial Models and Forecasting

• Introduction to actuarial modeling techniques
• Survival models and life tables
• Loss models and frequency-severity approaches
• Forecasting methods and predictive analytics

7. Ethics and Professionalism in Actuarial Practice

• Code of conduct and professional standards
• Ethical dilemmas and decision-making frameworks
• Responsibilities to clients, employers, and the public
• Importance of transparency and communication