Actuaries Institute of Australia President inspires growth in Sri Lankan actuarial profession

Actuaries Institute, Australia President Naomi Edwards recently embarked on a short but impactful private visit to Sri Lanka. 

During her visit, she met with several council members and volunteers of the Actuarial Association of Sri Lanka (AASL) to share her insights and experiences in the field of actuarial science.

Naomi is a highly esteemed professional company director who currently serves on the boards of TAL, Australia’s largest life insurer and various other boards across different industries in Australia. Her illustrious career has taken her through roles in actuarial and superannuation sectors in New Zealand and in the UK before she settled in Australia. Remarkably her career encompasses a wide array of fields, including environmental activism, political engagements, and even stand-up comedy performances at comedy festivals. An actuary is a highly specialised professional who applies mathematical and statistical methods to assess and manage financial risks, particularly in areas like insurance, pensions, investments, and financial planning.

During an interactive luncheon meeting, Naomi graciously shared her insights into the growth of the actuarial profession in Australia and the opportunities available to smaller, developing markets like Sri Lanka to learn from their experiences. Actuaries are known for their ability to apply mathematical and statistical techniques to assess and manage financial risks, making them valuable assets in various industries.  Traditionally, actuaries have primarily operated within sectors such as life, non-life and health insurance, pensions, investments, wealth management and banking.

However, owing to the unique skill set actuaries possess, Naomi highlighted that actuaries could be valuable assets in any industry requiring the construction of models using extensive data to address business challenges. Further elaborating on this point, she mentioned that actuaries could contribute to predictive analytics, predictive modelling, and data mining and offer tools as well as techniques and perspectives for managing operational risks within an organisation. Some time ago, actuaries in Australia began venturing into uncharted industries, leading to the presence of actuaries and actuarial teams in non-traditional areas such as the airline industry, supermarket chains, environment-related agencies, genetics, information technology, e-commerce, telecommunications, and public infrastructure.

She also spoke of the Actuaries Institute of Australia’s active involvement with the Australian Government Actuary in shaping public policy through research, consultations, and public engagement. One such example of this is the recent publication on “Home Insurance Affordability and Funding for Flood Costs: Affordability, Availability and Public Policy Options”.

Naomi went on to say in this age of big data, there is a growing global demand for decision-making and risk management reliant on data science techniques. As such actuaries are ideally positioned to meet this demand, as a result of our training, intellectual abilities, professionalism and experience of working with data for nearly two centuries. Australia boasts a community of over 3,700 actuaries who have been practising for over 125 years.

In comparison, Sri Lanka is still taking its initial steps in this direction, although substantial progress has been made since 2008 when AASL was established. AASL stands as the sole professional body representing actuaries and actuarial students in Sri Lanka. It is a member-driven association dedicated to promoting, upholding, and nurturing the actuarial profession in Sri Lanka. Commencing with a modest membership of eight, the association has now grown to include over 100 members, some of whom are located outside of Sri Lanka.

In 2023, as AASL celebrates its 15th anniversary, it›s impressive to note that over two-thirds of the members are under 35 years of age showcasing the growing demand for the actuarial profession within Sri Lanka and around the world.

AASL holds the prestigious status of being a Full Member of the International Actuarial Association (IAA), a global organisation of professional actuarial associations, comprising 73 full members and 26 associate members. The IAA, established in 1895, actively encourages the development of a global actuarial profession while ensuring that the public interest is served. The inaugural International Congress of Actuaries (ICA) took place on 2 September 1895, in Brussels, Belgium, consequently, 2 September is celebrated as International Actuaries Day. ICA, which was hosted by Actuaries Institute, Australia in May this year, is convened every four years, under the auspices of the IAA, and is often referred to as the “Actuarial Olympics”. The Actuarial Association of Sri Lanka will host the 3rd South Asian Actuarial Conference (SAAC 2023) in November 2023 under the theme “Actuary: part superhero, part fortune-teller, part trusted advisor.”

SAAC 2023 will be a platform to explore how in a world filled with uncertainty, actuaries can use their versatile set of skills to serve the public interest, identify opportunities within emerging risks and help the public and private sectors make financial sense of the future. 

This conference will serve as a valuable opportunity for stakeholders to engage in deliberations and gain deeper insights into the actuarial profession and its prospects in insurance and other industries.

In conclusion, Naomi Edwards› visit to Sri Lanka has highlighted the potential for growth and collaboration in the actuarial profession, showcasing the valuable role actuaries can play in various industries. As Sri Lanka continues its journey towards developing its actuarial community, the upcoming SAAC 2023 promises to be a significant event that will further catalyse the growth of the profession in the region.