Ask an Actuary

"Be prepared to work hard and be patient. The opportunities are great but success will not come overnight."

"Ask an Actuary" features an actuary that is asked to describe the path that led him/her to an actuarial career.  For this installment, our featured actuary is Tammy F. Dixon, an Actuary at The Segal Company in Glendale, CA.

Q: When did you first decide to become an actuary?

A: High School.

Q: Who or what influenced your decision?

A: Math teachers and CNA Insurance Companies (which sponsored Illinois mathematics competitions). I didn't want to teach.

Q: What is your educational background?  Where did you attend college and what was your major?

A: Southern Illinois University - B.A. in Math, Minor in Economics.

Q: What classes did you take in college that helped prepare you for the career?  What class was most helpful?  What classes outside of math and statistics (such as communications) were helpful?

A: The high school math competitions were good training for actuarial exams. My most useful outside activity was the debate team which taught me both to think on my feet and to relax.

Q: What was your first job in the profession?

A: Actuarial Student

Q: How did you get the job?

A: Recruiter

Q: Did you start as an intern or in an actuarial training program?

A: Training Program

Q: What type of work did you perform in you first actuarial job?

A: I worked in a marketing division of an insurance company, doing pricing and analysis of marketing results.

Q: What was your career path from your first job to your current position?

A: From health and life insurance, to pension consulting in a major firm, to pension consulting in a small firm specializing in multiemployer pensions, and back to a mid-size firm.

Q: What type of work do you do on a day-to-day basis in your current position?

A: Staff management, quality control review for defined benefit pension valuations, and daily Q&A from clients who want to understand the actuarial results.

Q: When did you take your first exam?

A: 1982

Q: Where are you currently in the exam process?

A: F.S.A., E.A.

Q: What advice would you give to someone first starting out down the path of an actuarial career?

A: Be prepared to work hard and be patient. The opportunities are great but success will not come overnight.

Q: I have an interest in statistical and geographical analysis of demographic data. I have six years experience in this type of work. My education is a Masters Degree in Urban Planning and I am employed as a Long Range Planner with a suburban city in the Dallas area.

I would like to have a career based more in demographic and geographic analysis and wondered if Actuarial Sciences would be a possibility. I really enjoy doing statistical analysis, studying about people, describing groups of people or what is occurring in a community though the use of Statistical Analysis. I also really enjoy working with Geography.

I excelled in Statistical courses in College. I have taken the first two semesters of Calculus at the College level.

My question for you- Is Actuarial Sciences a good career path for this type of interest or is there another option I should consider?

A: Demographic assumptions underlie most of an actuaries work, but we don't deal much in the area of geographic analysis. Your statistical and calculus courses should provide good background for the first actuarial exam, but you're likely to need quite a brush-up after the lengthy break from those subjects. Much of an actuaries work is in financial analysis rather than people analysis, with an emphasis on long term costs. The actuarial field is full of opportunities, but only you can know whether this is a good path for you.

Q:I have reviewed the listing of colleges offering actuarial science programs. I live in N.J. and would prefer to attend one that is within several hundred miles of home. It's difficult to ascertain which of the schools listed might have more comprehensive, well developed programs and which may be more heavily recruited than perhaps some of the others. Is there any rating of school programs in this field? What kinds of questions should I ask to determine the quality of the programs offered at various colleges? Thanks.

A: I'm not personally aware of any formal rating of college actuarial programs. You might ask the recruiting officer about the past performance of undergraduates on actuarial exams or how many graduates have entered the actuarial profession. It would probably also be beneficial to see if any of the instructors are credentialed actuaries, and seek some out to speak to individually. In my experience, employers don't necessarily recruit for entry level positions from particular schools (although I am certain there are exceptions to that rule), but look instead for individuals who have demonstrated a commitment to the field of study by sitting for actuarial exams. Best of luck to you.