Integrating AI into Actuarial Work: Preserving Control and Applying Judgment

Talk about AI is everywhere, but what does it really mean for actuaries and the future of our profession? While AI is certainly a powerful tool, it is simply that: one tool, among many, in an actuarial toolkit. However, these tools are different from others in our traditional toolkit and if used improperly, they will remove control and blind us to opportunities where we could be applying actuarial judgment.

This presentation describes how a project’s structure and an actuary’s mindset must change to take advantage of AI tools. We discuss how control and application of judgment should not be removed, but rather shifted from one part of the process to another when using AI. Additionally, we discuss governance practices and some less obvious risks associated with the use of AI in actuarial work.