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Risk manager vs actuary

The differences between risk managers and actuaries can be seen in a few details. Each job has different responsibilities and duties. Additionally, a risk manager has an average salary of $116,072, which is higher than the $88,255 average annual salary of an actuary.

The top three skills for a risk manager include oversight, risk assessments and project management. The most important skills for an actuary are risk management, VBA, and GAAP.

Risk manager vs actuary overview

Risk ManagerActuary
Yearly salary$116,072$88,255
Hourly rate$55.80$42.43
Growth rate17%21%
Number of jobs75,79513,566
Job satisfaction--
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 83%
Average age4639
Years of experience8-

What does a risk manager do?

A risk manager is responsible for analyzing potential risks that may affect the organization's operations, reputation, and market credibility. Risk managers identify risk controls and discuss business contingency plans for unforeseen circumstances to prevent delays in operational services. They also develop compliance training and programs for all the employees to provide them the awareness of the safety and security regulations within the company premises. A risk manager must have excellent communication and leadership skills, especially on handling and investigating cases that might compromise the business stability and financial status.

What does an actuary do?

An actuary specializes in performing research and analysis to assess risks and help companies prepare for any financial disadvantages or impact it may bring. Their responsibilities revolve around coordinating with different departments to gather accurate data, maintain records of all transactions, evaluate the data through various processes, and develop new strategies to cut down costs and risks. An actuary is also responsible for performing clerical tasks such as producing reports through graphs and charts, preparing presentations, answering inquiries and concern, all while adhering to the company's policies and regulations.

Risk manager vs actuary salary

Risk managers and actuaries have different pay scales, as shown below.

Risk ManagerActuary
Average salary$116,072$88,255
Salary rangeBetween $84,000 And $160,000Between $52,000 And $147,000
Highest paying CitySan Francisco, CANew York, NY
Highest paying stateCaliforniaNew York
Best paying companyCredit KarmaPayPal
Best paying industryTechnologyProfessional

Differences between risk manager and actuary education

There are a few differences between a risk manager and an actuary in terms of educational background:

Risk ManagerActuary
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 83%
Most common majorBusinessMathematics
Most common collegeUniversity of PennsylvaniaUniversity of Notre Dame

Risk manager vs actuary demographics

Here are the differences between risk managers' and actuaries' demographics:

Risk ManagerActuary
Average age4639
Gender ratioMale, 59.3% Female, 40.7%Male, 74.3% Female, 25.7%
Race ratioBlack or African American, 7.5% Unknown, 4.1% Hispanic or Latino, 14.4% Asian, 10.1% White, 63.5% American Indian and Alaska Native, 0.3%Black or African American, 3.1% Unknown, 3.0% Hispanic or Latino, 5.1% Asian, 17.3% White, 71.4% American Indian and Alaska Native, 0.0%
LGBT Percentage11%18%

Differences between risk manager and actuary duties and responsibilities

Risk manager example responsibilities.

  • Lead team in addressing Sarbanes-Oxley, HIPAA, and SAS70 compliance and control mandates.
  • Develop procedures and policies to manage site implementation of successful JD Edwards ERP system.
  • Direct staff, manage A/R and reconciliations, petty cash disbursements and tracking of all incoming claims and payments.
  • Manage the loan loss receivables SAS data mart, document change initiatives, implement SAS coding changes and process ongoing updates.
  • Manage accounting procedures and general ledger reconciliations.
  • Lead SOX project planning and implementation, successfully implement the corporate governance policies and internal control framework.
  • Show more

Actuary example responsibilities.

  • Support the development and implementation of manually-rate renewal strategies, lead by a season FSA.
  • Manage the design, implementation and oversight of all insurance and reinsurancepricing functions and processes for corporation.
  • Complete several health and group annuities projects.
  • Administer payroll, conduct accounts reconciliations, and track all A/R and A/P.
  • Update duration calculation formula to deliver more reasonable behavior of A/E ratio in Alteryx.
  • Extract and analyze data by state using SAS in order to analyze and project Medicaid costs.
  • Show more

Risk manager vs actuary skills

Common risk manager skills
  • Oversight, 10%
  • Risk Assessments, 6%
  • Project Management, 6%
  • Portfolio, 5%
  • Strong Analytical, 4%
  • Operational Risk, 4%
Common actuary skills
  • Risk Management, 13%
  • VBA, 9%
  • GAAP, 5%
  • SAS, 5%
  • Health Insurance, 5%
  • Financial Reports, 5%

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