Insurers are the most common type of actuary internship offer.
Students seeking an actuary internship should typically have demonstrated statistical analysis skills, as demonstrated by successful completion of various undergraduate mathematics courses, actuary courses, or economics courses. Specific qualifications for actuary interns vary from company to company, although most employers require interns to be college students pursuing a bachelor’s degree in areas related to actuarial science and in their freshman or final year of college. Some employers also require passing a standardized actuary exam and a competitive grade point average.
Actuarial analysis is commonly used to calculate the price of insurance premiums.
Since an actuary must skillfully project the statistical probabilities of a company having financial profit, loss, risk or liability in future years based on behavioral and market analysis, a person seeking an actuary internship must be proficient in the science of calculating probabilities and proportions. Consequently, the first step in acquiring an internship is to enroll in a college that offers an undergraduate degree in statistics, actuarial science, or economics. After completing the first two years in one of these disciplines, an aspiring intern would consult with a representative at the college’s employment office, which typically has a list of companies that accept applications for internships in actuarial science.
Rather than seeking help through job placement services, a student can get an internship by directly approaching companies that need actuary interns; there are four main types. Insurers are the most common type of offering an actuary internship as they need an actuarial team to estimate the percentage of compensation they may face in future customer claims or litigation. Local and federal governments that pay pensions and social service benefits also hire intern actuaries who can analyze how these programs will be self-sustaining in the future, projecting the number of beneficiaries and anticipating funding needs.
Banks that deal daily with future profits and losses, making loans and mortgages and selling bonds and certificates of deposit, need actuaries to calculate potential future risk. This institution may offer an actuary internship lasting from six months to a year. Consulting firms that advise companies and individuals on 401K retirement funds, long-term investments, endowments, or other financial products also tend to respond favorably to those seeking an actuary internship.
After selecting a few companies, the aspiring intern must then put together an application package and arrange for all the exams required by the companies to be taken. Applicants usually obtain the latest transcripts from the university and attach them to the application. Internships are normally offered full-time in the summer, but part-time internships during the school year may also be available. Occasionally, students get internships after graduation and use these jobs as entry points to a full-time career. If a student gets an internship, companies often offer ongoing professional training and salaries.