AI Will Not Replace Actuaries — But It Will Replace the Old Way of Doing Actuarial Work

Artificial Intelligence is no longer a future concept for the insurance industry. It is already becoming part of how actuarial teams analyse data, build models, support underwriting and make risk decisions.

The important question is not “Will AI replace actuaries?”

It is “What will actuaries do differently when AI becomes part of their everyday work?”

What Is Changing in Actuarial Work?

Traditional actuarial work involves large amounts of data preparation, calculations, modelling, reporting and analysis. AI and machine learning can increasingly automate or accelerate parts of these processes.

For example, AI can support:

• Predictive modelling and risk segmentation
• Data analysis and data preparation
• Pricing and underwriting
• Claims analysis
• Reporting and documentation
• Model testing and scenario analysis

The SOA's 2026 research highlights how AI is already being explored across actuarial workflows, including pricing, reserving, underwriting, valuation and risk assessment.

So, What Happens to the Actuary?

The role does not disappear. The value of the actuary changes.

Instead of spending most of their time producing numbers manually, actuaries can increasingly focus on:

Interpreting results → Challenging assumptions → Managing model risk → Explaining uncertainty → Making business decisions

AI can process enormous amounts of information, but professional judgment, context, accountability and communication remain critical.

The SOA has specifically emphasized that AI should be treated as a tool rather than an authority, with actuaries remaining responsible for understanding and challenging its outputs.

The Actuary of the Future

For actuarial students, this does not mean abandoning traditional actuarial knowledge.

It means adding technology to it.

Future-ready actuaries will increasingly need a combination of:

• Actuarial mathematics and statistics
• Programming and data skills
• Predictive modelling
• AI literacy
• Business understanding
• Communication and professional judgment

The real advantage will belong to actuaries who can understand the numbers, use the technology and explain the decision behind them.

The Bottom Line

AI is unlikely to replace the need for actuarial expertise. But it will replace many of the traditional ways actuarial work is performed.

The actuary of tomorrow may not be the person who calculates everything manually.

It will be the person who knows what to ask, which model to trust, what to challenge and how to turn AI-generated analysis into a defensible business decision.

AI won't replace actuaries.

But actuaries who know how to use AI may replace those who don't.

Source: Society of Actuaries Research Institute — 2026 research on AI and actuarial work.