Developing Actuarial Judgement

Abstract

Explicit actuarial capability frameworks are being developed to measure actuarial quality as a basis for pre- and post-qualification learning goals. These frameworks focus on the development of broader and normative capabilities that can be described as actuarial judgement. This paper explores different perspectives on how actuarial judgement might be identified and developed. It suggests that actuarial students need more help in developing personal and coherent frameworks with which to evaluate their decisions. The actuarial core technical syllabuses should be extended to include more ethical issues and a critique of positive economics. Ethical issues should include some understanding of the rationalizations that accompany unethical and corrupt behaviour. Committed teachers and mentors prepared to address ethical conflicts in practical cases play a role that needs greater emphasis.

Keywords: Actuarial, Judgement

JEL Classification: A20