Page 8 - Turkinsurance Digital Magazine

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help an actuary to transgress their own limits, improving the current
situation in the market and accelerating it.
Underwriting Knowledge
Legislation
Statistics
Professionalism Complex Problem How do you see the role of big data in actuarial science?
and Ethical Values Solving
Financial Mathematical Customer ‘Big data’ entered our lives with the differentiation of data sources.
Jurisprudence
Statistics
Statistics Awareness
We could divide ‘data’ into two categories: First one is the struc-
Reasoning Market tured company data, second one is the unstructured data coming
and Decision- Actuarial Kwowledge
making Science from everywhere including the social media accounts.
Research and
Claims
Finance Mathematics Development In its essence, actuarial science is about examining, analyzing and
Knowledge
modelling the data; therefore, big data has a major role in our pro-
Analytical
Agility fession. However, only your method of using the big data you have
Thinking
can make it important and beneficial. One of the major problems
about big data is its risk of turning into ‘garbage data’. If you know
How about the preference rates of this profession? Do you co- how to read and interpret the big data, it will considerably benefit
operate with universities or other institutions to guide young and guide you. On the contrary, if you do not know how to do that,
people towards this profession? the size of your data will mean nothing.
Actuarial science is among the ten most popular professions in de- We will soon witness that actuaries are positioned as playmakers
veloped western countries. Though it has not reached the same pop- and take part in projects where they will advise and guide people
ularity in our country, every year more people choose this profession from different teams. We can think of those teams as data engi-
as it gets known better. We can say that increasing number of actu- neers, data scientists and computer scientists.
aries is one of the indicators supporting this fact.
“Actuary is the person who sees the unseen in the data”
Today, the number of actuaries in our country is 361. 143 of them
are registered actuaries, and 161 of them are interns. There is a very significant point I would like to highlight about tech-
nological developments. As you know, with the industrial revolution
In order to promote this profession and to reach out to young peo- in the 18th century, machines had been built to replace the unskilled
ple, we are trying to be active both on social media platforms and labor. Combined with developments such as IoT and AI, the wave of
through corporate organizations. Moreover, we visit universities as ‘Industry 4.0’ which has been impacting the business world for the
keynote speakers to introduce young people to our profession and last ten years, has caused a transformation by replacing the skilled
inform them about the recent updates. Building close relations with labor this time. Therefore, in addition to analytical thinking and
universities is important for us. In the end, our future is growing ability to make accurate analyses; ideal actuaries will be those who
there today. Our door is always open to all students, no matter which can follow-up the latest developments and news, scrutinize the so-
channel they use to reach us. It is our duty to help and guide them. cial transformations and estimate which dynamics will be impacted
by the renewals and changes entering our lives. We can define this
How do artificial intelligence apps and other digital solutions skill as ‘going beyond the data’. The ability to decide only by looking
which have increasingly been used in recent years affect actu- into historical data will probably turn into an unskilled labor which
arial studies? can be carried out by artificial intelligence in the next 10 years.
That’s why candidate actuaries should aim for a versatile and mul-
Even though we have not yet seen the use of artificial intelligence tidimensional professional development.
and machine learning widely in our country, they have begun to
be used actively in other countries. Of course, we will benefit from Can you inform us about IFRS 17? What is it; what will it bring
them to a great extent in our market. But what’s important is to to insurance market; what will change?
integrate those technological developments to our work accurately.
Telematics systems that can be implemented via devices integrated In short, International Financial Reporting Standards 17 (IFRS
in vehicles or wireless devices such as mobile phones, wearable tech- 17) are accounting standards that offer higher transparency in fi-
nology products that can be used by wearing on the human body, or nancial tables compared to the current standards. However, IFRS
other similar smart systems will surely bring new elements into the 17 should not be seen only as a series of accounting standards.
business processes of insurance companies. Telematics will have
a direct influence on the tariff process. We are moving towards a In the process of transition to IFSR 17, independent audit com-
fairer pricing system. panies are expanding their actuarial departments. In addition, if
companies that offer technological solutions for this process hire
One of the reasons why the experience and technical capabilities of actuaries, they will stand out among the competition.
an actuary is so valuable in our market is significant details such
as their ability to distinguish meaningful signals in the data while IFRS 17 is more than a series of standards. They do not only change
analyzing the past and modelling the future, to determine the im- an item in a financial table, but rather the entire table! Several
pact of an extreme value, if any, on the model and how it should be measurement models will enter our lives that will be used for the
interpreted. Therefore, while making technological solutions a part first time. That’s why it is highly important.
of the business, for instance while building models through machine
learning; an actuary’s know-how and experience will be required for With IFRS 17, accounting and risk data are coming together and
significant details such as determining the learning pattern. In oth- uniting with technology. The main purpose is to make all companies
er words, artificial intelligence or other technological solutions will