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IAI Actuarial Core Principles · Business Management · Skills and knowledge for working as an actuary in financial services

Under the Actuaries Act, 2006, a person who is not a member of the Institute of Actuaries of India signs a statutory valuation certificate that the law requires an actuary to certify, describing himself as an actuary. Which statement is most accurate?

It is not permitted. The Actuaries Act, 2006 restricts use of the actuary designation and statutory certification to qualified members of the Institute. A mathematics degree, board approval, long experience or informal later review cannot substitute for membership.

  1. AIt is acceptable if the person has a degree in mathematics
  2. BIt is acceptable if the insurer's board approves the signature
  3. CIt is acceptable if the person has experience of more than ten years in insurance
  4. DIt is acceptable as long as an IAI Fellow later reviews the certificate informally
  5. It is not permitted, because the Act restricts the use of the designation and the practice of actuarial functions requiring certification to qualified members of the InstituteCorrect

Explanation

The Actuaries Act, 2006 establishes the Institute and reserves the actuary designation and statutory actuarial certification to qualified members. Academic degrees, board approval or experience do not substitute for membership, and informal later review does not cure an unauthorised signature.

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