Actuaries are responsible for determining the risk involved in insuring a person’s life, their property, their health, or their business. If you’re 23, you probably pay more for auto insurance than your friend who is 27. That’s because an actuary determined that age has a dramatic effect on the risk of insuring a driver. Because their analysis is used to establish coverage risk, actuaries are one of the most important elements of the insurance industry. A successful actuary understands government legislation and social tendencies that effect risk. They often work with government entities, insurance agencies, pension management firms, and other advisors.