Actuarial Science Major, B.A.; B.S.
B.A. and B.S. degrees
Why Study Actuarial Science?
Actuaries study risk. The work is quite quantitative. About 70% of actuaries work for insurance companies; about 25% for consulting firms, and about 5% for government agencies. The publication Jobs Rated Almanac has always rated actuary as one of the top five jobs in the United States. In the 2002 edition (sixth edition), it is rated number 2.
Actuarial Science at CMU
The Actuarial Science major is an interdisciplinary major with an advisor from the Department of Mathematics. It offers courses to prepare students for the first (Exam P) and second (Exam FM) actuarial exams jointly administered by the Society of Actuaries and the Casualty Actuarial Society. Students should try to pass both exams by the time they graduate from CMU. The major also provides coursework to prepare a graduate for a career in the business world in which the insurance industry is focused. More direct contact with actuaries comes through the student organization Gamma Iota Sigma.
This major consists of 63-64 hours of course work in mathematics, statistics, accounting, economics, finance, business law, and computer science. The major is designed to give the student the type of background necessary to pursue a career in actuarial science and, in particular, to prepare the student to pass two actuarial exams. There is no required minor. Advisors are from the Department of Mathematics.
Admission Requirements; Retention & Termination Standards
As early as possible, a student interested in actuarial science should contact the actuarial science advisor. It is important to get through the calculus sequence as soon as possible in order to give the student maximum opportunity to pass actuarial exams.
NOTE to students with an Actuarial Science major and Mathematics minor: for this combination students must take 6 hours of mathematics courses numbered 300 or above which are not counted toward the Actuarial Science major.
Program Requirements
Required Courses I (52 hours)
| ACC 201 | Concepts of Financial Accounting | 3(3-0) |
| ACC 202 | Concepts of Managerial Accounting | 3(3-0) |
| ACT 539 | Probability Foundations of Actuarial Science | 3(3-0) |
| ACT 540 | Mathematical Theory of Interest | 4(4-0) |
| BLR 202 | Legal Environment of Business | 3(3-0) |
| ECO 201 | Principles of Macroeconomics | 3(3-0) |
| ECO 202 | Principles of Microeconomics | 3(3-0) |
| FIN 317 | Insurance Planning | 3(3-0) |
| FIN 332 | Managerial Finance | 3(3-0) |
| MTH 132 | Calculus I | 4(4-0) |
| MTH 133 | Calculus II | 4(4-0) |
| MTH 223 | Linear Algebra and Matrix Theory | 3(3-0) |
| MTH 233 | Calculus III | 4(4-0) |
| STA 575 | Statistical Programming for Data Management and Analysis | 3(3-0) |
| STA 584 | Mathematical Statistics I | 3(3-0) |
| STA 585 | Mathematical Statistics II | 3(3-0) |
Required Courses II (2-3 hours)
Choose CPS 150 or any programming language course (2 or 3 credits).
Required Courses III (3 hours)
Select one of the following:
| ECO 385 | Introduction to Econometrics | 3(3-0) |
| STA 580 | Applied Statistical Methods I | 3(3-0) |
Required Courses IV (3 hours)
Select one of the following:
| ECO 532 | Economic Forecasting | 3(3-0) |
| STA 589 | Time Series Forecasting | 3(3-0) |
Electives (3 hours)
Select one of the following in consultation with the advisor:
| BIS 360 | Applied Business Communication | 3(3-0) |
| ECO 365 | Intermediate Microeconomic Theory | 3(3-0) |
| ECO 370 | Intermediate Macroeconomic Theory | 3(3-0) |
| FIN 442 | Intermediate Financial Management | 3(3-0) |
| MTH 332 | Introduction to Mathematical Proof | 3(3-0) |
| STA 591 | Data Mining Techniques I | 3(3-0) |
Total: 63-64 semester hours