ACTUARIAL SOCIETY OF INDIA

INDIAN ACTUARIAL PROFESSION

Serving the cause of Public Interest

STUDENTS HANDBOOK

Applicable for Examinations to be conducted in the year 2006

April 2006

Published by: Actuarial Society of India

302, Indian Globe Chambers, 142, Fort Street, Off D.N. Road, Nr. CST(VT) Station, Mumbai 400 001. Tel : 022-22691049 & 22691051. Fax: 22691052 E-mail: education@actuariesindia.org Website: www.actuariesindia.org

Contact points:
302, Indian Globe Chambers, 142, Fort Street, Off D.N. Road, Nr. CST(VT) Station, Mumbai 400 001. Tel : 022-22691049 & 22691051. Fax: 22691052 E-mail: education@actuariesindia.org Website: www.actuariesindia.org

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FOREWORD
The year 2005 saw a change to a new examination structure, in keeping with developments inter naturally to match up to standards that the International Actuarial Association aims at. It is indeed gratifying that ASI was one of the few national actuarial bodies whose pattern and standards of examination were found to measure up in a first round of review last year. It is up to us now, existing members and new students to be forming us, to maintain our performance and continue to be adjudged as remaining of international standards, more particularly in the global worth of the actuaries who qualify through the ASI. We should be in a position to start holding the qualifying processes this year (2006) for subjects CT9 (Business Awareness) and CA2 (Modelling). So again, we are gearing up to start examinations in some subjects that had been deferred, in Health and Core Insurance (ST1 and SA1) and Finance (SA5). While we have had increasing members joining us as Students, we would like to see a reflection in the passes through our examinations. What we believe as needed is an appreciation of the nature of the tests they represent and of the techniques called for to take them successfully. Melanie Puris write-up on examination techniques that is reproduced here should be really helpful and the advice contained therein followed seriously.

K.P. Narasimhan Chairperson (EB)

INDEX Sr. No Page No. 3.4 1 3.5 3.6 3.7 3.8 3.9 3.10 3.11 17 17 3.12 3.13 3.14 18 3.15 3.16 19 21 3.18 2.2 2.3 2.4 2.5 2.6 2.7 Duration of Course Syllabus and Reading Material Advice to New Students Date of Admission Mode of payment of fees How to apply for Admission 23 23 23 23 23 23 1 2 3 4 5 Examination 3.0 3.1 3.2 Entry form for Examination Examination Centers Examination Time-table (May and Oct/Nov 2005) 27 27 28 6 7 3.19 3.17 1 1 2 2 14 15 3.3 Sr. No Introduction 1.0 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 Education Board Students Affairs Committee Future Education Strategy Issues Committee Admission 2.0 2.1 Subjects for Examinations Criteria for Admission as a student Education Administration Membership fees Class of Membership Job Opportunities Year 2005 Education Policy Document (Ver 3.02) Who can become an Actuary? What do Actuaries do? Who is an Actuary? Actuarial Society of India Contents

Contents

Page No.

Eligibility for the Examination

28

Admission to Examination, expulsion an withholding of results

28

Suspension and cancellation of Examination Results / or Registration. Criteria for Passing

28

29

Pattern of Question paper

29

Examination Fees Structure (and Late Fee)

30

Change of subject / centre

30

Withdrawal from Examination Hall ticket Certificate of Attendance Publication of Results Liability of ASI Performance Report

30

30

30

31

31

31

Exemption Arrangement with UK Profession

31

Exemption Arrangement with Institute of Actuaries of Australia Examination Techniques Exam Conduct

34

34

41

Appendixes

Appendix 1: Application Form for Student Membership

43

Appendix 2: Schedule of membership & subscription fees

47

Appendix 3: Schedule of examination & study material fees

48

Appendix 4: Additional Reading material

49

Appendix 5: Examination Time Table (May 06 & Oct/Nov 06)

54

Appendix 6: Calendar for Important Dates for examination

56

Appendix 7: Prizes and Awards

57

INTRODUCTION
1.0 The Actuarial Society of India (ASI) was formed in September 1944 with the following objectives: a) b) c) d) In 1979, the ASI was admitted as a member of the International Actuarial Association. On 14th December 1982, the ASI was formally registered as Registration of Literary, Scientific and Charitable Society under Societies Registration Act XXI of 1860. A certificate of registration of the ASI under section XII AA of Income Tax Act was received on the 14th March 1984. ASI is also registered under Bombay Public Trust Act 1950. 1.1 WHO IS AN ACTUARY? An actuary is a financial expert who applies mathematical and statistical methods for assessment of financial and other risks relating to various contingent events and for scientific valuation of financial products in the fields of insurance, retirement and other benefits, investment and other related areas. More specifically, a Fellow member of Actuarial Society of India is allowed to use the designation of Actuary. 1.2 WHAT DO ACTUARIES DO? 1.3 providing facilities and guidance to those studying for Actuarial Examinations. facilitating research, arranging lectures on relevant subjects, reading of papers etc, and providing opportunities for interaction among members of the profession, advancement of the Actuarial profession in India, ACTUARIAL SOCIETY OF INDIA

1.2.2. Actuaries Enable More Informed Decisions:

Actuaries add value by enabling businesses and individuals to make betterinformed decisions, with a clearer view of the likely range of financial outcomes from different future events.

The actuarys skills in analysis and modeling of problems in finance, risk management and product design are used extensively in the areas of insurance, pensions, investment and more recently in wider fields such as project management, banking and health care. Within these industries, actuaries perform a wide variety of roles such as design and pricing of product, financial management and corporate planning. Actuaries are invariably involved in the overall management of insurance companies and pension, gratuity and other employee benefit funds schemes; they have statutory roles in insurance and employee benefit valuations and to some extent in social insurance schemes sponsored by government.

Actuarial skills are valuable for any business managing long-term financial projects both in the public and private sectors.

Actuaries apply professional rigour combined with a business oriented approach to the decision -making process.

1.2.3. Actuaries Balance the Interests of All

Actuaries balance their role in business management with responsibility for safeguarding the financial interests of the public. The duty of actuaries to consider the public interest is illustrated by their concern for protecting the benefits promised by insurance companies and pension schemes. The professions code of conduct demands the highest standards of personal integrity from its members.

WHO CAN BECOME AN ACTUARY?

Any person with a high degree of aptitude for mathematics and statistics can take up this course and aim to become an Actuary. Generally, graduates or postgraduates with high grades in Mathematics, Statistics or Econometrics will be in a better position than others to qualify as actuaries. To enable one to become an actuary one has to get admitted first as Student member on fulfilling entry requirements.

1.2.1. Actuaries Make Financial Sense of the Future Actuaries are skilled in assessing the financial impact of tomorrows uncertain events. They enable financial decisions to be made with more confidence by: Analysing the past Modelling the future Assessing the risks involved, and Communicating what the results mean in financial terms. 1 1.4

To qualify as an Actuary, a candidate has to pass examinations in the prescribed subjects. In addition, he has to comply with other criteria such as experience requirement and attendance at a professionalism course prescribed for the purpose.

ASI Year 2005 Education Policy (Version 3.02): Objective

To develop actuaries of the future with appropriate skill sets for variety of roles including that of regulatory and business leadership in the financial services industry.

The Skill Sets of actuary of the future ASI believes that the actuary of the future, in order to play key roles in the financial services industry, should have atleast the following skill sets, 1. Full appreciation, knowledge and understanding of actuarial principles & practices on an ongoing basis. 2. Ability to apply actuarial principles and practices to variety of business problems in the financial services industry 3. Ability to apply actuarial principles and practices with a high degree of technical competence. 4. Orientation to assume business leadership responsibilities and discharge such responsibilities with commitment to serve the cause of public interest. 5. Commitment to professionalism in general and as it embeds in to the actuarial profession in particular. ASI further believes that these skill sets are not static but need to be reevaluated dynamically as needs of the financial services industry evolve and change over time.

7. Build and deliver an appropriate model of actuarial education, which recognises need for and takes in to account the fact that actuarial education as it progresses towards fellowship need to take place in a working context.

8. Recognise need for and maintain at all times the standards of education in relation to and along with other major actuarial professional bodies.

9. Recognise need for and maintain at all times the standards of Professionalism in co-ordination with professionalism in other major professions such as Medicine, Law, Accountancy and similar. Year 2005 Education model As annexed.

Education Policy Administration Issues 1. 2.

ASI shall conduct examinations at all levels as is the current practice.

ASI shall outsource the production of reading material for all subjects except those that pertain to Specialist Application (SA) group of subjects, to ActEd in UK, which course material is in compliance with syllabus requirements of ASI and meets standards of education policy. ASI will achieve this by working closely with UK Actuarial Profession (F&I o A). 3.

Elements of Y 2005 Education Strategy

The required skill sets in the actuary of the future will be best developed if the following elements are embed in the Education Strategy; 1. Prepare actuaries for a broadening range of roles to be performed nationally and internationally. 2. Acknowledge the increasing globalisation of actuarial profession, particularly across national boundaries over which actuaries will work. 3. Acknowledge the need of, prepare for and deliver dynamically generalised actuarial knowledge and skills including business skills. 4. Acknowledge the need of, prepare for and deliver dynamically jurisdiction specific actuarial applications as a component of qualification at fellowship level for jurisdiction over which ASI education largely caters for. 5. Build and deliver an appropriate model of actuarial education, which embeds business skills explicitly. 6. Build and deliver an appropriate model of actuarial education, which provides all what is needed of an actuary at fellowship level and the time horizon over which such qualification takes place is about 5 (five) years. 3

For formulation of syllabus and core reading for all subjects except those that pertain to Specialist Application (SA) group of subjects, ASI will work closely with F & IoA so as to ensure that subject specific mutual exemption and mutual recognition at fellowship level is maintained at all times, between the two bodies. 4.

ASI shall formulate syllabus and develop core reading for subjects under SA group for India-specific applications as well as for those jurisdictions over which ASI has significant number of students.

Y 2005 Education Policy implementation Major implementation activities and time frame;
Branding the subject (particularly at CT Level)

Activity
Announce key aspects of Y 2005 Education Policy to members Y 2005 Education Policy Document to members Meet of students at the following places Mumbai, Hyderabad, Bangalore, Gurgaon, Chennai, Kolkata Conducted as scheduled except for Mumbai which was held on 10th July 04. On request of students to the President meet at Hyderabad was reconducted on 21st August 04. Done Decided by Education Board Done Done On 26 06 2004 Latest by 31 03 2004 As above and uploaded on the website In the March 2004 issue of the Actuary India Published in March 04, May 04, June 04 ActuaryIndia magazine

Time frame

Status

Branding Issues Group (BIG) consisting of Mr. K Subrahmanyam, Mr. K S Gopalakrishnan and Ms. Meenakumari J appointed to address the issue and submit their report as early as possible

Report submitted and recommendations incorporated.

Preparation of SA2 (Life Insurance),SA3 (General Insurance) and SA4 (Pensions and other employee Benefits) Syllabus and Core reading

Inform Transitional arrangements to each student Examiners for the Year 2005 to be announced Supply of reading material for Y 2005 to Examiners Y 2005 Examiners Meet Workshop of Examiners for the year 2005 Second fortnight of Jan. 2005 One-day workshop in the first fortnight of December 2004 By second week of November, 2004 By 31 07 2004

By 31 01 2005

One Member Committees consisting of Mr V Rajagopalan, Mr V Govindan and Mr G N Agarwal respectively; first report to be submitted by 30 09 2004 final report to be submitted by 31 12 2004. Appointment of nodal person to liase with IoA Y 2005 Education Policy implementation group

Reports submitted.

S Madhusudhanan

Done

EB through Chairperson,ViceChairperson and Secretary EB

Annexure Year 2005 Education Model

Scheduled to be held on 16th -17th September 04. Dr Elisabeth Goodwin, Chief Education Executive, IoA, London will be conducting the Workshop.

2005 will see the introduction of a new structure for the actuarial examinations one of the most far-reaching changes for many years. Not only are the exams being updated to reflect the broadening range of areas in which actuaries are involved, but there has been a real focus on what knowledge and skills including business skills are needed at each stage.

Mock examinations in Subjects CT 4, CA 1, CA 2, ST 6 & SA 6 Preparation of SA5 subject (Finance) syllabus and core reading

March 2005

The Year 2005 Education Model as against the current one (existing till year 2004) implies;
Report Submitted

Committee consisting of Dr. R Kannan, Dr. K Sriram and Dr. Dheeraj Misra; first report to be submitted by 31 12 2004. final report to be submitted by 31 03 2005 One Member Committee consisting of Mr. Walter Deoude; first report to be submitted latest by 31 12 2004 final report to be submitted latest by 31 03 2005.

More focus on the core principles of actuarial work and the ability to apply it in a variety of situations;

Less emphasis on knowing detail of all the main actuarial areas (including those which students never plan to work in);

Report on ST1 and SA1 (Health and Care)

ActEd Material to be used

Building on the financial economics techniques included in the current syllabus

Recognition that wider business skills are important for the modern actuary there will be an introductory business awareness module effective for students enrolling on and after 01 07 2004 and a more structured work experience requirement. 5

Renewed focus on work based skills.

The Education CORE TECHNICAL STAGE (CT) The Core Technical Stage is designed to give students a solid grounding in the key actuarial techniques. There will be 9 subjects, similar to the current 100 series. This stage is perhaps the one with least change from the current exams, but content has been challenged to make sure techniques are up to date and relevant to at least two of the later subject areas. Material which is important in only one subject area has generally been moved to the relevant Specialist Technical subject (ST). Old Subject 101 102 103 & 104 * 104 a Abolished effective Nov. 2004 Exam Diet CT 5 Abolished effective Nov. 2004 Exam Diet CT 6 CT 7 CT 2 CT 8 Statistical Methods Economics Finance and Financial Reporting Financial Economics General insurance, Life and Health Contingencies. CT 4 Models CT 1 Financial Mathematics CT 3 Probability and Mathematical Statistics New Subject New Subject Title+

CORE APPLICATIONS STAGE (CA)

The principle of the Core Applications Stage is to teach actuarial concepts (e.g. risk, funding, reserving, etc) across a range of subject areas rather than each subject area separately Australia has adopted this approach for several years and the aim is to encourage thought about how these concepts can be applied, in both familiar and unfamiliar situations.

The main Core Applications Concepts subject will be assessed by two papers covering assets, liabilities and asset-liability management. The two papers will be added together to give a single mark for:

CA1 Core Applications Concepts

During the transition period, which will last at least two years (November 2006), the two papers will cover designated parts of the syllabus:

CA11 paper on assets (corresponds to existing 301)

CA12 paper on liabilities and asset-liability management (corresponds to generalised aspects of 302, 303 & 304)

105 105 a

In making the choice for credit the student will need to consider the Specialist Technical stage as well. The CA1 papers may only be taken separately by students who have an exemption through transition from one paper. Care will be taken not to disadvantage students who only have to take one paper in the transition.

106 107 108 109

Note: Students who do not have any credit in 300 series will have to take CA11 and CA12 together which is of 3 hours each unseen examinations. If the student passes only one paper out of the two then he has to appear for both the examination again.

Where CA11 (the assets paper) and CA12 (the liabilities and asset-liability management paper) are taken together an aggregate mark will be given as these will be treated as one subject in the new strategy. CA2 Modelling

* Subject will be set in two halves ( ie one-and-half-hour exam each on old 103 and old 104 syllabus) for exam Diets in year 2005 & year 2006 to help transitional arrangements. Student who have not passed 103 and 104 need to take both papers at one time. All the subjects will be examined as now i. e time constrained 3-hour unseen examinations. CT9 - Business awareness Module A business awareness module will be assessed through attendance at a 2-day introductory course and by on course assessment. This will be effective for students who enrolled on and after 01 07 2004 need to take this module and has to be completed within 30 months of enrolment as student.

There will be a Modelling course and the aim of this course will be to ensure that a candidate has data analysis skills and can communicate the results to a technical audience. It will involve use of spreadsheets for producing models from given data sets. Students will be assessed at the end of the course, which will be held at designated number of locations.

Students who have atleast one pass credit in the 300 series exam in the existing system need not take this exam. However for this purpose a pass credit in 305 (Indian Insurance Regulations) will not be considered as valid pass for exemption from modelling. Thus students who have pass credits in one or more out of 301,302,303 and 304 need not take this exam. 7

Eligibility: A student who have completed all the CT subjects, the BAM course and at least have FA/FB grade in CA1 and CA3 can be enrolled for this subjects. CA3 The aim of the communications paper is to ensure that a candidate can communicate with a non-technical audience. The nature of question consist of draft a letter/report/memo, correct a draft letter, redraft a report for different audience, draft presentation slide and draft an email. The paper will consist of two questions and will be of 2.5 Hrs. duration. 301 302 303 304 SPECIALIST TECHNICAL STAGE (ST) This stage builds on the Core Applications Stage but in individual specialisms (non-jurisdiction specific). Choice is introduced at this stage. The student will choose 2 subjects from the 6 offered: New Subject Code ST1 (from Nov. 2005 Exam Diet) ST2 ST3 ST4 304 305 (UK, ASI did not have this subject) All: 3: ST5 ST6 Finance and Investment B Finance and Investment A Pensions and other employee Benefits General Insurance 303 Life Insurance 302 Health and Care New Subject Title Old Subject Code Communications

Concepts (the liabilities and asset-liability management paper) is chosen the student cannot then take ST2 Life Insurance Specialist Technical. Similar situations exist for 303 which corresponds to ST3 General Insurance Specialist Technical and for 304 which corresponds to ST4 Pensions and Other Benefits Specialist Technical.

Each 300 series will only be allowed to count once in the transition thus: CA11 and CA2

(CA12 + CA2) or (ST2 + CA2)

(CA12 + CA2) or (ST3 + CA2)

(CA12 + CA2) or (ST4 + CA2)

Where a Specialist Technical (ST) subject is required, the corresponding 300 series subject pass cannot be also be used to gain credit in another subject. Moreover, a student will not be allowed to retake a subject that he or she has passed as the 300 series subject equivalent. Thus someone with e.g. 302 can count this against ST2 Life Insurance Specialist Technical or part of Core Applications but not both. If they choose to count it against part of Core Applications they cannot then take ST2 Life Insurance Specialist Technical. Subject to these Constraints, the student will be allowed to choose the position in new strategy based on previous 300 series subjects passed.

Credits for 300 series subjects will be given according to the following table: Passed 301 + 3 out of 3 others 301+2 out of 3 others

Credits

Still to take

CA11+ CA12 + CA2 + 2 ST

Each specialist technical subject will be assessed by one 3-hour time constrained unseen paper. Students will have a choice as to how to translate the 300 series subjects that they have already passed into credits in the new Core Applications stage and Specialist Technical stage. Some basic rules as under will apply: 1. Anyone with all four of the 300 series (i. e. 301, 302, 303 & 304) subjects will be assumed to have passed the Core Applications Concepts subject and two Special Technical subjects. 301 will correspond only to the assets part of the Core Applications Concepts subject. Students will only be allowed to use each 300 series subject they have passed once and cannot take the equivalent paper again in the new strategy.

Either CA11 + CA12 + CA2 + 1 ST

1 ST

[OR] CA11 + CA2 + 2 ST 3 out of 4 300 but not 301 2: 301+ 1 out of 302 -304 2 Out of 302-304 but not 301 1: 301 1 from 302-304

CA12

CA12 + CA2 + 2 ST

CA11

Either CA11+ CA12 + CA2 [OR] CA11+ CA2 + 1 ST

2 ST CA12, 1 ST

2. 3.

Either 2 ST + CA2 [OR] CA12 + CA2 + 1 ST

CA11+CA12 CA11, 1 ST

CA11 + CA2

CA12, 2 ST

1 ST + CA2 A student with 302 for example can choose whether to count this as CA12 Core Applications Concepts (the liabilities and asset-liability management paper) or ST2 Life Insurance Specialist Technical. However if CA12 Core Applications 9

[OR] CA12 + CA2

CA11 + CA12, 1 ST CA11, 2 ST

10

SPECIALIST APPLICATIONS STAGE (SA) The final stage of the examinations is one specialist (India-specific or other jurisdiction specific to be allowed from a later date) subject chosen from: New Subject Code SA1 (from Y 2006) SA2 SA3 SA4 SA5 (from Y 2006) SA6 There will only be one compulsory paper and the main assessment will be one 3hour time constrained unseen paper There is no requirement to have passed the corresponding specialist technical subject, however, the Specialist Applications subjects will typically assume knowledge of the corresponding Specialist Technical subject (and SA5 and SA6 may each assume knowledge of both ST5 and ST6). Work Based Competencies Students will be required to maintain a logbook of work undertaken and of courses attended as part of the development of work based competencies. This will include some technical actuarial skills as well as more general business and management skills. Investment 401 Finance Pensions and other employee Benefits 404 General Insurance 403 Life Insurance 402 Health and Care New Subject Title Old Subject Code

Qualification

There will be four levels of Qualification as under; Qualification Certificate in Actuarial Techniques (CAT)

Required All CT

Diploma in Actuarial Techniques (DAT)

Diploma Diploma in Actuarial Techniques Health Insurance (DAT Health) Diploma in Actuarial Techniques Life Insurance (DAT Life) Diploma in Actuarial Techniques General Insurance (DAT Non Life) Diploma in Actuarial Techniques Pensions (DAT Pensions) Diploma in Actuarial Techniques Finance & Investment (DAT Finance) Associate (AASI) Fellowship (FASI)

Required All CT + CA 3 + ST 1

All CT + CA 3 + ST 2

All CT + CA 3 + ST 3

All CT + CA 3 + ST 4

All CT + CA 3 + ST 5 Or ST 6

All CT + All CA All Subjects+ India Fellowship Seminar + Work based experience as under;

Application for admission Minimum number of as FASI date: years of work based experience required:

1. On or after 01 01 2008 2. On or after 01 01 2007 but before 01 01 2008 3. On or after 01 01 2006 but before 01 01 2007 4. Before 01 01 2006 Notes:

Three (3) years

Two (2) years

One (1) year None

(i) An Associate member admitted prior to June 2005 Exam Diet even though not qualifying for exemption in CA subjects will continue to be considered as an Associate member. However, the change in the eligibility standards for associateship will not award such a candidate any additional exemption more than what he/she is eligihle for based on his/her pass credits.

11

(ii) The work based experience could be pre and/or post application date for admission as FASI 12

TRANSITION ARRANGEMENTS 1.5 Summary of the mapping from old to new is as follows, details will be communicated to each student latest by 31 01 2005. 1)
Business Awareness Course None 100 Series including 104 (a) & 105 (a) Core Applications Communications (CA3) Core Applications Modelling (CA2) (NEW) Core Applications Concepts 300 Series (301 + one of 302/303/304) Specialist Technical (ST) (two of 302/303/304, other than the one in respect of which exemption has been claimed under CA concept) 400 Series Specialist Applications (SA) Core Technical (CT) 2-day Business Awareness Course for students enrolling on and after 01 07 2004. and to be completed within 30 months of enrolment. (Compulsory) NEW

JOB OPPORTUNITIES: 1.5.1. Within India

Actuaries and actuarial students are generally employed in;

Life Insurance Corporation of India (LIC). 2) 3) 4) 5) 6) 7) 8) 9)

General Insurance Corporation of India (GIC).

Public Sector General Insurance Companies.

Private Sector Life Insurance Companies.

Private Sector General Insurance Companies.

Firms of Consulting Actuaries.

200 Series

Insurance Regulatory and Development Authority (IRDA).

Tariff Advisory Committee (TAC)

Software development companies

10) Back-end and virtual offices in India for employers overseas.

1.5.2. In addition to the above, employment opportunities are expected to arise in future in offices of the;

11) Insurance Intermediaries

12) Pension providers other than Insurance companies 13) Education

None

Structured work based experience as under; Application for admission as FASI date: 1. On or after 01 01 2008 2. On or after 01 01 2007 but before 01 01 2008 3. On or after 01 01 2006 but before 01 01 2007 4. Before 01 01 2006 Mimimum number of years of work based experience required: Three (3) years Two (2) years One (1) year -

14) Re-insurance

15) Social Securities Schemes

16) Financial Analysts

17) Construction Industry / Engineering Projects 1.5.3. Internationally

13

The actuarial profession has distinct and well-recognized role in insurance, pensions, investments, social security and other areas of work. The profession is not only highly regarded in public esteem but also well rewarded. The members of ASI now increasingly work in internationally recognized environment, and the system of education and examination ensures that the members of ASI are and are seen as competent actuaries globally. 14

1.6 Members of ASI can be either in the category of Student member, Associate member, Affiliate member, Fellow member or Hon. Fellow member. The Executive Committee has power to set rules of Admission and currently the following are the criteria for admission. (i) a. Before a candidate can enter for any part of the examinations, he/she must have been admitted as a student member. The criteria for becoming a student member are given on Page No. 22 b. Certificate in Actuarial Technique (CAT) Student members who have passed and/or got exemption in all the subjects of CT Series will be eligible to apply for Certificate in Actuarial Techniques. c. Diploma in Actuarial Technique (DAT) Diploma in Actuarial Techniques (DAT) in various practice/work areas of actuarial personnel will be provided to student members. This is expected to provide focus actuarial practice/functions at an early on stage and should lead to employer focus in actuarial recruitment. The Diplomas are; Diploma Diploma in Actuarial Techniques in Health Insurance (DAT Health) Diploma in Actuarial Techniques in Life Assurance (DAT Life) Diploma in Actuarial Techniques in General Assurance (DAT Non-Life) Diploma in Actuarial Techniques in Pensions (DAT Pensions) Diploma in Actuarial Techniques in Finance & Investment (DAT Finance & Investment) (ii) Associate Member Student members who have passed all the Subjects of CT series and all the subject of CA series are eligible on an application to become Associate Member of the Society. An Associate member is entitled to use the designatory letters of AASI. 15 Examinations required All CT + CA3 + ST 1 All CT + CA3 + ST 2 All CT + CA3 + ST 3 All CT + CA3 + ST 4 (v) (iv) Student Member

CLASS OF MEMBERSHIP

(iii)

Affiliate Member

A person on application, who is a Fellow Member, or is a holder of membership considered equivalent to the Fellow Membership of the Society, of any other institution, whether located in India or not, having objects wholly or substantially similar to those of the Society is admitted as an Affiliate Member.

An Affiliate member is not entitled to use the designatory letters of FASI. Fellow Member

A member of ASI on application is admitted as a Fellow member subject to following;

A student or Associate member who having passed all the examinations of CT, CA, ST, and SA series, has attended 3-days mandatory India Fellowship Seminar on India specific Legislation, environments, practices and Professionalism and has work based experience as under:

Application for admission as Fellow Member (FASI) On or after 01-01-2008 On or after 01-01-2007 On or after 01-01-2006 but before 01-01-2007 Before 01-01-2006

Minimum Number of years of work based experience required

Three (3) years

Two (2) years

One (1) year

None

An affiliate member who has had at least 1 year of India residence experience and has attended 3-days mandatory India Fellowship Seminar on India specific Legislation, environments, practices and Professionalism will be entitled to apply for Fellowship.

A Fellow member is entitled to use the designatory letters of FASI.

Honorary Fellow Member

All CT + CA3 + ST 5 Or ST 6

The Executive Committee may, by a vote of not less than two-thirds of all its members, recommend for election as an Honorary Fellow a person who, on account either of his position or of his eminence and his experience in matters relative to the profession of Actuary is considered to be able to render assistance in promoting the objects of the Society and who is not professionally engaged in practice as an Actuary in India. The recommendation is then published and balloted on at an Ordinary General Meeting with three-fourths of the total votes cast at the OGM being required for Election.

16

Honorary Fellows may attend OGM and take part in the discussion of the papers read thereat; they are, however, not entitled to vote. Honorary Fellows may use the initials Hon. FASI. Functions: 1. 1.7 For Schedule of Membership Fees, please see Appendix-2 on Page No. 47 1.8 1.8.1 Education Board All education and examination matters are administered by the Education Board appointed by the Executive Committee. Membership of the Board can be found on the website. The functions of the Board are as under; (i) (ii) (iii) Matters relating to education policy, examination syllabus, reading material and related matters Matters relating to education of actuarial science in academic institutes Matters relating to mutual recognition and exemption from corresponding subjects of internationally recognized professional actuarial bodies such as UK Actuarial Profession, Society of Actuaries in US, Casualty Actuarial Society in US and Institute of Actuaries of Australia. Matters relating to conduct of examinations, issuance of student handbook and examiners handbook Issues as they arise relating to education matters of International Actuarial Association Liaison with other Boards and Committees on relevant issues. The EB will have powers to appoint subcommittees within its own members and/or other members to deal with specific issues, as it deems fit with the approval of the President. The Chairperson of such a subcommittee will always be a Member of EB. EB submits to the President/Executive Committee reports of its functioning from time to time. 1.8.2 Students Affairs Committee (SAC) With a view to relating the feed back from Examinees and recommending action to be taken by Education Board and/or Executive Committee, the Students Affairs Committee having of the following functions has been constituted. 17 4. 2. 3. EDUCATION ADMINISTRATION a. b. c. MEMBERSHIP FEES

Membership of the SAC can be found on the website.

To receive suggestions from students and advise action in respect of all matters regarding conduct of examination. Some examples of such matters are;

Communication from any student about a particular question or questions not being from the prescribed reading material.

Content of question not being in accordance with aims and objectives of the syllabus.

Report of unethical/unfair practice in the conduct of examination at any centre.

To give opinion on a matter relating to examination as referred to it by the Chairperson, Education Board or the President.

The Committee however shall not deal with issues which are not directly related to the examination and/or conduct of the same. Some examples of such matters are;

(a) Issue related to sitting arrangements and facilities at the centre.

(b) Issue related to hall ticket, change of examination centre etc.

(c) Carry forward of examination fees

(iv) (v) (vi)

(d) Any administrative matters

Suggestions / Complaints from the candidates should be received within 15 days from the last date of examination. Complaints received after 15 days of completion of the examination may not be entertained.

1.8.3 Future Education Strategy Issues Committee

The Education Board has constituted a Committee named as Future Education Strategy Issues Committee with the mandate to look at all issues relating to ASI education as may arise in the implementation of the newly introduced Education Strategy and in providing possible future directions and report to EB from time to time and keep the members informed through its magazine the Actuary India and ASI Website.

18

ADMISSION
2.0 A person is eligible to be considered for admission as student member if s/ he satisfies the following conditions: 1. 2. a. b. i. ii. iii. Econometrics iv. Computer Sciences v. Any discipline of Engineering The admission under these groups will, however, be subject to following conditions; 1. The total marks secured in the subjects coming under the classification of Mathematical subjects taken together in all the years of the degree course is not less than 55%. The content of Mathematical subjects in all the years of the course taken together is not less than 50% of the total content. This is measured by the ratio which the maximum marks allotted to Mathematical subjects in all the years of the Course bears to the total maximum marks allotted to all subjects included in the examination of the entire course excluding languages. vi. Subject in Science such as Physics or its branches 1. Statistics or any of its sub classifications such as Mathematical Statistics and Applied Statistics Mathematics or any of its branches Graduate or Post Graduate with Mathematical subjects. For this purpose following subjects constitute mathematical subjects; Passed 10+2 (H.S.C) or equivalent with at least 85% in Mathematics/ Statistics. f. Should have attained any one of the following Educational Standards; Should have completed 18 years of age e. CRITERIA FOR BECOMING STUDENT MEMBER

Full qualification would mean completion of all required examinations leading to designation based on such full qualification such as ACA/FCA in case of Institute of Chartered Accountant of India. In case of Insurance Institute of India it would however mean AIII plus pass in subjects 81-Mathematical Basis of Life Insurance and/or 82-Statistics.

A student member of following actuarial bodies i. ii.

Institute of Actuaries, London

Faculty of Actuaries in Scotland

iii. Institute of Actuaries, Australia

A student of following actuarial bodies provided at least one subject has been passed from these bodies i. ii. 3.

Society of Actuaries, USA

Casualty Actuarial Society, USA

The medium of Instruction in final stage of examinations based on which admission is sought should be English.

The documents which are required to be submitted along with Admission Application form;

Attested photocopies of the following documents; Sr No. If seeking admission under category +2 or equivalent 1. 2.

Attested Photocopies required

2.

Graduate / Post Graduate

c. d. i. ii.

MBA/PGDBA or equivalent in disciplines having mathematical/ statistical content. Each case is to be examined on case to case basis. Fully qualified members of following Professional/Educational bodies; The Institute of Chartered Accountants of India (ICAI) The Institute of Cost and Works Accountant of India (ICWAI) iii. The Institute of Chartered Financial Analyst of India(ICFAI) iv. The Insurance Institute of India (III) passing with subjects 81-Mathematical Basis of Insurance and 82-Statistics 19

3.

MBAs and certain Professionals 4.

5.

Members of actuarial bodies such as Institute of Actuaries, London, Faculty of Actuaries, Scotland, Institute of Actuaries, Australia Members of actuarial bodies such as Society of Actuaries, USA and Casualty Actuarial Society, USA

Mark Sheet and Proof of medium of instruction i Mark Sheets (or Grade Sheets) of all examinations leading to awarding the degree ii Proof of medium of instruction Mark Sheets (or Grade Sheets) of all examinations leading to awarding the degree Proof of membership (e.g. copy of the relevant page from the membership directory)

Proof of passing at least one subject

20

The photocopies should be attested by an official of a Government or Semi-Governmental organization or one of similar status recommending the application (e.g. Principal of a college, practicing medical Doctor) or by a Fellow or Associate member of Actuarial Society of India.
Subject Code Subject Name

2.1.2 Core Applications Series

No. of Papers

Duration

Marks

CA1 CA11 CA12

2. Two Passport size recent photographs 3. Proof of Age 2.1 Students must take 15 subjects in preparing for the actuarial examinations. These subjects are grouped in CT series, CA series, ST series and SA series. There are 9 subjects in CT series, 3 subjects in CA series, 6 subject in ST series out of which the student will chose 2 subjects and 6 subjects in SA series out of which the student will chose 1 subject. These are as described hereunder: 2.1.1 Core Technical Series
Old Subject Code 102 108 101 103 & 104 * 105 CT5 CT6 CT7 CT8 CT9@ 106 107 109 CT4 CT3 Probability and Mathematical Statistics Models General Insurance, Life and Health Contingencies Statistical Methods Economics Financial Economics Business Awareness Module CT2 CT1 Financial Mathematics One One Two One One One One Finance and Financial Reporting One New Subject Code Subject Name No. of Duration Papers 3 hrs. 3 hrs. 3 hrs. 1.5 Hrs each 3 hrs. 3 hrs. 3 hrs. 3 hrs. Marks

SUBJECTS FOR THE EXAMINATIONS CA2 CA3

Core Applications Concepts consisting of Paper on assets (Corresponds to existing 301) Paper on liabilities and asset-liability management (Corresponds to generalized aspects of 302, 303 & 304) Modelling Communications

One

3 hrs

100

One One One

3 hrs 3 hrs 2 hrs

100 100 100

2.1.3 Specialist Technical Series

Old Subject Code New Subject Code

Subject Name

No. of Duration Papers

Marks

100 100 100 100 100 100 100 100 -

302 303 304 2.1.4

Old Subject Code

ST1 Health & Care Insurance (from Nov 2005 Exam Diet) ST2 ST3 ST4 ST5 ST6

One

3 hrs

100

Life Insurance General Insurance Pension & other Employee Benefit Finance & Investment A Finance & Investment B

One One One

3 hrs 3 hrs 3 hrs

100 100 100

One One

3 hrs 3 hrs

100 100

Specialist Application Series

New Subject Code

Subject Name

No. of Duration Papers

Marks

* Subject will be set in two halves ( i.e. one and half hour exam. each on old 103 and old 104 syllabus) for two years as transitional arrangements @ CT9 will be assessed by online examination and in an attendance at a 2-day introductory course This is effective for a student who enrolled on or after 01-072004 and has to be completed within 30 months of enrolment as student.

402 403 404 401 21

SA1 Health & Care (from year 2006) SA2 Life Insurance SA3 General Insurance SA4 Pension & other Employee Benefit SA5 (from Year 2006) Finance SA6 Investment

One

3 hrs.

100

One One One

3 hrs. 3 hrs. 3 hrs.

100 100 100

One One

3 hrs. 3 hrs.

100 100

22

2.2 A candidate may seek admission for Student Membership with the Society by making an application in prescribed format (see Appendix 1 on Page 43) along with membership fees of Rs. 600/- for a resident of India and Rs. 3000/ - for a resident outside India. 2.3 All fees should be paid by Demand Draft/ Pay Order in favour of Actuarial Society of India payable at Mumbai. 2.4 Candidates are admitted throughout the year. However, candidates admitted up to and including month of January will be eligible to appear in May/June examinations and those registered up to and including the month of July will be eligible to appear in Oct/Nov examinations in the same year. 2.5 DURATION OF THE COURSE There is no fixed duration to complete the course. Since all the subjects prescribed are to be cleared before one is awarded the Fellowship, continued and sustained effort is necessary to complete the course. Single minded devotion, total dedication and a systematic approach to problems are the qualities that will enable a person to qualify as an actuary within a reasonable time. While earlier level subjects of CT series can be taken up as a student not working on actuarial assignments, for passing subjects of CA, SA and ST series examinations, concurrent working experience is helpful. 2.6 SYLLABUS:- The Complete syllabus for CT , CA , ST & SA level subject is available on ASI website at www.actuariesindia.org/syallabus/ menu.html. ADVICE TO NEW STUDENTS (i) Level of Mathematics needed for Actuarial Studies Students are reminded that the CT series subjects will require knowledge of mathematics equivalent to that specified for the entry requirements to the profession. It is important for students to ensure that they are familiar with the techniques covered at this level and are competent in their usage. Students who wish to refresh their knowledge of the relevant mathematical skills and techniques should obtain a suitable textbook on mathematics or consider buying under mentioned foundation course in Mathematics from ASI office. DATE OF ADMISSION MODE OF PAYMENT OF FEES

HOW TO APPLY FOR ADMISSION

2.7

Students should have the following particular mathematical skills: CT1 CT2 Pre-calculus permutations & combinations; expansion of Y (a+x)n using the sigma notation to express the sum Y of a series summing the terms of an arithmetic Y progression and a geometric progression interpolation and local approximation Y Elementary calculus the idea of a limit Y differentiation of polynomial, exponential Y and logarithmic functions product, quotient and function of a function Y rules for differentiation definite and indefinite integration of Y polynomial and exponential functions area under a curve methods of numerical integration integration by substitution and by parts Y More advanced calculus higher order derivatives Y finding turning points of simple functions Y with polynomial and exponential terms; curve sketching maximization under constraints: method of Lagrange multipliers Taylors theorem; power series expansion Y for exp(x) differentiation of definite integrals: Y Fundamental Theorem of the Calculus solving first order differential equations: exact, separable (including logistic), linear second order differential equations with constant coefficients: complementary function and particular integral Calculus of two variables partial derivatives of functions of two variables Y maxima and minima of functions of two variables double integrals and changing the order of double integrals Algebra matrix addition and multiplication determinant and inverse of a square matrix using matrices and vectors to represent linear equations solving simultaneous linear equations Y complex numbers linear difference equations with constant coefficients Probability sample spaces, events the probability of an event Y Y basic rules of probability Y conditional probability independent events Bayes Theorem Students should also be familiar with the calculator they are to familiar with all its functions.

CT3 CT4 CT5 CT6 CT7 CT8

Y Y

Y Y

Y Y

Y Y

Y Y Y

Y Y Y

Y Y Y

Y Y Y

Y Y

Y Y

Y Y

Y Y

Y Y

Y Y Y

Y Y Y

Y Y Y

Y Y Y

Y Y Y

Y Y Y

Y Y Y Y Y Y use in

Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y the examination and should be

23

24

(ii) It is expected that students joining the profession would be comfortable with algebraic manipulation. (iii) ActEd FAC The Foundation ActEd Course (FAC) is designed to help students to refresh and improve their mathematical skills in preparation for the CT series subjects. The course is designed as a reference document to which students can refer when they need help on a particular topic. Each chapter contains explanatory notes, examples and self-assessment questions to test understanding. These is also a summary test and a Question and Answer Bank providing extra practice for students. This course is a copyright material and is supplied by ASI on the authorisation of the Institute of Actuaries, London. Students who are admitted for membership are supplied this course material at a fee of Rs.1000. Before a student decides to appear for one or more of the subjects, he is advised to study the foundation course, attempt all the tests and go through a self-administered evaluation process. Students are also advised to get the evaluation done by a Professor/Senior Lecturer in Mathematics from a college of repute. (iv) Choosing number and order of subjects Candidates are free to take subjects in any order that they choose. There is however considerable merit in following the natural order of the subjects in the syllabus. There is no formal requirement relating to the order in which the examinations are taken. However it is recommended that the CT series subjects are atleast studied (even if not passed) before a student attempts the CA and ST series subjects. These later subjects including subjects in the SA series build upon the core material. Similarly when attempting the CT series subjects, it should be borne in mind that some subjects build upon others. There are therefore some logical routes through the subjects. The particular route chosen may depend on the area in which a student is working or on any exemptions the student has been awarded. The numbering of the subjects in the CT series represents our ordering that would be appropriate for anyone working in Life Insurance, General Insurance or Pensions. Students might opt to take subjects CT7-Economics and CT2-Finance and Financial Reporting at any stage. A student working in investment might prefer to take subjects CT7Economics, CT2-Finance and Financial Reporting and CT8 - Financial Economics before studying subjects CT4 - Models, CT5 General Insurance, Life and Health Contingencies and CT6 - Statistical Methods. 25 Foundation Course in Mathematics

Guidance on Mathematics by Subject

Subject CA3 covers communication. It will be based on the concepts in the CT series subjects. However, as the questions will be set within a financial framework, some students may prefer to delay this subject until after studying some or all of the ST series subjects.

Students are also advised to have at least studied the relevant ST series subject before attempting their chosen SA series subject. The SA series subjects require the student to have both knowledge of Indian practice and good understanding of practical issues. A practical approach is expected from candidates in all the SA series subjects. While evidence of practical experience may help the candidate, it will not be demanded; but breadth of knowledge and evidence of judgement are expected of candidates taking the SA series subjects.

Study material for the various subjects of Actuarial Society of India:

The study material is to be purchased by all student members of Actuarial Society of India desiring to take the examination in that subject. The Institute and Faculty Education Limited., a subsidiary of the Institute & Faculty of Actuaries, UK, own the copyright for the study material. They had allowed Actuarial Society of India to duplicate their study material for the benefit of students appearing for its examinations. Actuarial Society of India thus has the copyright on these materials. The students must therefore purchase the study material from Actuarial Society of India to become eligible for appearing in its examinations. Although no outside text books are prescribed for the subjects as core reading material, students may benefit from undertaking additional reading.

The study material is sold to the student for his/her own exclusive use. No student should hire out, lend, give, sell, transmit electronically, store electronically or photocopy any part of it. The student has to take care of the study material to ensure that it is not used or copied by anyone at any time. Any updates supplied will form part of the main study material.

Legal action will be taken if these terms are infringed. In addition, disciplinary action will be initiated through the profession or through the students employer.

These conditions remain in force even after student has finished using the course. (v)

Number of subjects to be taken at one sitting:

It is not expected, exceptions apart, that the students can appear in one sitting for more than say, three subjects. Accordingly, study material for more than three subjects will not be purchased. However, in cases where any student has reasons to purchase more than three, application in writing explaining the reasons and on written permission of Chairperson, Education Board, Honorary Secretary or President, will be allowed.

26

EXAMINATION
3.0 Entry Forms for Examination are made available about 14 weeks prior to the beginning of each session of examinations in May/June and October/ November each year. 3.3 Application for admission to examination is to be made in prescribed format along with requisite examination fee so as to reach Admin Officer in accordance with the direction given by the Society from time to time. The blank examination form may be obtained from office of the Society. The student can also submit application in typed form as per the format given in the Student Hand Book or can be downloaded from ASIs website www.actuariesindia.org . 3.4 The closing date for accepting the entry forms duly completed is about 12 weeks before the beginning of the session of Examination. Note: - While submitting the entry form and selecting the subjects, the candidates must satisfy themselves that there is no clash with any other examination they are taking. In the event of a clash, candidates should select a different subject. Wrong or unsuitable selection will not entitle a candidate to claim refund or carry forward of entry fees. Handwritten application submitted in different format or application not duly filled will not be accepted. 3.1 Examination Centres: Examinations will be held only at such places where satisfactory arrangements can be conveniently made for conducting them and where there are reasonably sufficient numbers of candidates. Further, the Education Board reserves the right to reduce the number of centres for examinations at their discretion. i) CENTRES IN INDIA 1) Mumbai, 2) Kolkata, 3) Delhi, 4) Hyderabad, 5) Kanpur, 6) Chennai, 7)Bhopal, 8) Bangalore, 9) Lucknow, 10) Cuttack, 11) Coimbatore, 12) Chandigarh ,13) Pune and 14) Thiruvanthapuram. ii) OVERSEAS CENTRES Examination can be held at centres outside India if there are candidates desiring to appear at such centres. Normally Colombo (Sri Lanka), Port Louis (Mauritius), Dhaka (Bangladesh), Reigate (UK), centres in (USA) and Muscat (Gulf) are where examinations have been conducted in recent past. Candidates who wish to appear from overseas centres should make a formal request to ASI. 27 3.5 Entry Form for Examination

3.2

EXAMINATION TIME TABLE

(May/June 2006 and October/November 2006)

The time-table for May/June 2006 and October/November 2006 examinations are incorporated in Appendix 5(i) & 5(ii) on Page 54

ELIGIBILITY FOR THE EXAMINATION

A candidate will not be allowed to appear for examination unless he has paid his subscription and also has purchased the study material for the subject he is appearing for the examination.

ADMISSION TO EXAMINATION, EXPULSION AND WITHHOLDING OF RESULTS (a)

The Education Board may for reasons to be recorded in writing(i)

Refuse to admit a candidate in examination;

(ii) Admit him to an examination subject to such conditions as it may consider to be reasonable in relation to the student;

(iii) Expel him from an examination hall after he has been admitted to it in the usual course (b)

Notwithstanding the fact that a candidate has obtained any specified minimum number of marks for passing an examination, the Education Board may for reasons to be recorded in writing, withhold his result.

SUSPENSION AND CANCELLATION OF EXAMINATION RESULTS/ OR REGISTRATION

In the event of any misconduct by a registered student or a candidate enrolled for any examination conducted by the Society, the Executive Committee or the Education Board may suo motu on receipt of a complaint, if it is satisfied that the misconduct is proved after such investigation as it may deem necessary and after giving such student or candidate an opportunity to state his case, suspend or debar the person from appearing in the examinations, cancel his examination results or even annul membership registration.

Misconduct for the above purpose shall mean and include behaviour in disorderly manner in relation to the Society or in or near an examination premises/centre, breach of any regulation, condition, guideline or direction laid down by the Society, attempting to resort to unfair means in connection with the writing of any examination conducted by the Society.

28

3.6 Students may particularly note that the papers that are set for the examination will test for knowledge in the respective areas covered but also for ability to apply that knowledge and to exercise judgment in measures that increase with the level of the examination. Every paper therefore, could call for display of higher order skills by way of application and judgment and for attainment of minimum level in these areas of assessment. With a spread of these additional requirements over the set of questions in the paper, a pass level based on knowledge alone may not be reached if any questions were to be left unanswered. 3.9 3.7 There will not be marked departure from the structure of the question paper set for the immediately proceeding exam diet. The paper of CA3- Communication is of 2 hours and will consist of two questions which the candidate has to answer. Students will have fifteen minutes of reading time before start of the paper. The two questions will be based on content of any two of the CT series subjects. 1. ST Series : Each subject will have one paper of three hours duration. Students will be given fifteen minutes reading time before the start of the paper. The paper will have short answer questions, which can be either open or closed, and long structured questions. The balance is likely to be even between the two types. The students must note that the answers are not expected to be any country or jurisdiction specific. However, if examples/illustrations are required for any answer, the country or jurisdiction from which they are drawn should be mentioned. Any reference in a question to a currency or any other link to country should not be taken to mean, it is specific to that country and the answers are expected to be non-specific to such country. 2. SA Series : Each subject of SA Series will have one paper of 3 hours duration with 15 minutes reading time before the start of each paper. The answers are expected to have India Specific application for the syllabus and corresponding core reading. However, substantially the core reading material is still taken from material supplied by Actuarial Education Company which is meant for UK Fellowship examination. The core reading does include some material which is India Specific. In view of this, it should be noted that the focal point of answers is expected to be India Specific application. However if application specific to any other country is quoted in the answer the same should further cover the Indian environment. 29 3.11 PATTERN OF QUESTION PAPER

CRITERIA FOR PASSING

3.8

EXAMINATION FEES STRUCTURE

Examination fees structure and late fees: The schedule of Examination Fees currently in force is given in Appendix 3(Page 48).

CHANGE OF SUBJECT/ CENTRE

A change of centre / subject(s) will only be entertained up to two weeks of the last date of submission of examination form. Thereafter no change in centre/subject(s) will be allowed. Error in the submission of entry form will not entitle the candidate to claim either refund or adjustment of entry fees paid by him. The fee paid shall be forfeited in such circumstances. The candidates must therefore fill in the entry forms with the utmost accuracy. No letter or communication of any type should be sent along with the entry form. 3.10

WITHDRAWAL FROM EXAMINATION

Fifty percent of the examination entry fee will be refunded if application for withdrawal from examination reaches the Societys office at Mumbai, on or before the prescribed date given in Appendix 6(Page 56). All such requests should be addressed and sent directly to the Societys office in Mumbai.

If it is discovered that a candidate is not eligible to enter for an examination or is eligible only on completion of certain formalities which he has failed to comply with, he may not be allowed to sit for the examination. In such cases, the entry fee will not be refunded or adjusted under any circumstances. HALL TICKET

Hall ticket will be sent by post and Under Certificate of Posting about two weeks prior to the beginning of the examinations, to every registered candidate. A candidate who has not received his Hall ticket in time must immediately get in touch with the Actuarial Society of India. The Society will not be responsible for postal delay, non-delivery or loss in transit of Hall Ticket.

In case of delay or non-receipt of Hall ticket the candidate is advised to carry his examination receipt along with proof of identity to the examination and approach the person in charge at the local examination centre for guidance. Proof of identity can be Passport, PAN Card, Employer Identity Card etc. 3.12

CERTIFICATE OFATTENDANCE

The Certificate of Attendance will be issued on demand to all candidates who appear for Actuarial Society of India examination at the listed centres, by the Presiding Officers or by the authorized Invigilators. No request for separate certificate will be entertained by the Actuarial Society of India later.

30

3.13 The examination results will be announced normally not later than in the following January for October/November examination and in August for May/June examination. The results will be published on the website as and when declared. 3.14 Under any circumstances, the liability of the Actuarial Society of India shall be limited to a refund of examination fee paid for the concerned examination. In all cases, the Education Boards / Executive Committees decision regarding success or failure of a candidate shall be final. No request for re-evaluation of papers and reconsideration of the result will be entertained. 3.15 PERFORMANCE REPORT Candidates will be advised of their performance in the examination by ORDINARY POST only. The candidates who do not receive the result intimation by the end of August for May /June examination and by the end of January for October/November examination, should write to the Education Department ( education@actuariesindia.org ) of the Actuarial Society of India at Mumbai for a duplicate copy. No request for issue of duplicate copy will be entertained thereafter. 3.16 EXEMPTION ARRANGEMENT BETWEEN EXAMINATIONS OF ASI AND UK ACTUARIAL PROFESSION The Faculty and Institute of Actuaries will grant exemption from their examinations to students who have passed Actuarial Society of India (ASI) examinations on the following terms. From May 2005 Exemptions arising from ASI Core Technical Subjects The Faculty and Institute of Actuaries will exempt students, who have passed the equivalent ASI Core Technical examination CT1 CT9, after May 2005, from the corresponding Faculty and Institute Core Technical subjects. Exemptions will be granted on a subject by subject basis. For 100 series examinations passed before May 2005 see below. Exemptions arising from ASI Core Applications Subjects The Faculty and Institute of Actuaries will exempt students, who have passed the equivalent ASI Core Applications subjects CA1, CA2, CA3 after May 2005, from the corresponding Faculty and Institute Core Applications subjects. Exemptions will be granted on a subject by subject basis. 31 LIABILITY OF ACTUARIAL SOCIETY OF INDIA

PUBLICATION OF RESULTS

Core Applications Concepts CA1

If all or part of ASI CA1 has been obtained through the ASI transition arrangements then each relevant ASI 300 series examination must have been passed with the ASI from November 2002 to November 2004. Exemption from CA1 may be considered where one or both ASI 300 series examination leading to CA1 under the ASI transition arrangements were passed in November 2000 to May 2002. Where only part of ASI CA1 was obtained through transition the corresponding part must also be passed with the ASI before the Faculty and Institute will exempt students from CA1.

Core Applications Communications CA3

If ASI CA3 has been obtained through ASI transition arrangements then the Faculty and Institute of Actuaries will exempt students who passed the ASI 201 examination from November 2002 to November 2004. Exemptions may be granted to ASI students who passed the ASI 201 examination from November 2000 to May 2002.

Exemptions arising from ASI Specialist Technical Subjects

The Faculty and Institute are prepared to offer exemption from their requirement to pass two Specialist Technical subjects to students who have passed two of the ASI Specialist Technical subjects.

Where an ASI Specialist Technical subject has been obtained through the ASI transition arrangements then the relevant ASI 300 series examination must have been passed with the ASI from November 2002 to November 2004. Exemption from the Specialist Technical subjects may be considered where one or both ASI 300 series examination leading to Specialist Technical subjects under the ASI transition arrangements were passed from November 2000 to May 2002.

Exemptions arising from ASI Core Technical subjects obtained under transition from ASI 100 series

The Faculty and Institute of Actuaries will exempt students of the ASI from the Core Technical subjects through transition, according to the date the ASI 100 series examinations were passed. From November 2002

Examinations passed under the Actuarial Society of Indias 100 series syllabuses in place from November 2002 to November 2005 will give exemptions from the equivalent 100 series which then transfer to the appropriate Core Technical subjects through the transition arrangements. From November 2000

Subjects 101, 102, 104, 105, 106, 107 and 108

32

Examinations passed under the ASI syllabuses introduced for the May 2000 examinations will give exemptions on a subject by subject basis as follows: ASI examination paper passed 101 102 104 105 106 107 108 These exemptions will then transfer to the appropriate Core Technical subjects through the transition arrangements. Subjects 103 and 109 Exemptions may be granted to any ASI students who passed the Subjects 103 or 109 in the following ASI examination diets from November 2000 to May 2002. These exemptions will then transfer to the appropriate Core Technical subjects through the transition arrangements. Each application will be considered separately and must be made through the Actuarial Society of India. Pre 2000 Examinations passed under the Actuarial Society of Indias syllabuses in place before 2000 would give the following subject by subject exemptions: ASI examination paper Subject 1 Subject 2 Subject 3 Subject 4 Subject 5 Subject 6 Exemption from Faculty and Institute 101 102 105 107 and 108 if passed before 1994 107 only if passed 1994 and after 106 104 Exemption from Faculty and Institute 101 102 104 105 106 107 108

(ii) If all 6 examinations were passed with the ASI before 1 January 2000 with Subject 4 being passed in or after May 1994, and 108 was passed with the Faculty and Institute of Actuaries by September 2000, exemptions will be granted from all or the 100 series subjects.

Or

(iii) If all 6 examinations were passed with the ASI before 1 January 2000 and Subject 4 was passed in or after May 1994 exemptions will be granted from Subjects 101, 102, 104, 105, 106 and 107. They will not be granted from Subject 103, 108 and 109.

These exemptions will then transfer to the appropriate Core Technical subjects through the transition arrangements.

Exemptions earned under the old syllabus translate into corresponding exemptions under the new one. The carry forward of credits is detailed on section 3.20. 3.17

EXEMPTION ARRANGEMENT BETWEEN EXAMINATIONS OF ASI AND INSTITUTE OF ACTUARIES OF AUSTRALIA

Exemption arrangement between examinations of ASI and Institute of Actuaries of Australia are effective from examinations of ASI held in or after November 2002. ASI students passing 100 series examinations of the old syllabus and having corresponding credit under the new syllabus are exempt from the corresponding subjects of Part I examinations of IAAust, conversely a student member of IAAust on application and also seek exemption from corresponding subjects of the CT level examinations of ASI. 3.18 3.18

EXAMINATION TECHNIQUES

(i) The Art of Passing Exam

(This article is authored by Ms. Melanie Puri, and is reproduced from the Actuary India April 2003 issue)

In addition the following conditions apply: (i) If all 6 examinations were passed with the Actuarial Society of India before 1 January 2000 and Subject 4 was passed before May 1994, exemption will be granted from all of the 100 series subjects. Or 33

Theres an art to passing exams or should that be theres a science? You need to know the subject well to have any hope of passing, but is that enough? The short answer is No! you must know how to pass exams, by having great exam technique if youre going to give yourself the best chance of passing.

The techniques below are described with the 300 and 400 series in mind though they can also be applied to the 100 and 200 series, with a bit of tailoring.

34

So what amounts to great exam technique? There are 5 stages: 1. 2. 3. 4. 5. 2. Looking at each one of these in turn: 1. Make sure you use the 15 minutes reading time wisely. To do this you need to stay calm during this period and remain focussed on what you need to achieve - youve got a lot to do in 15 minutes! Read the first question in full. Identify the level of detail required in the solution: Use the command word as a guide. If the command word is List then make sure your solution is just that a list of points. If the command word is Describe or State with reasons then youre going to need to write more detail than a list - you need to write full sentences to score good marks and to demonstrate your understanding of the question. If you write a list in answer to a question that has a command word like describe, you will not score well. Use the number of marks as a guide. As a rough guide you will need to make two good points for each mark. So for a question worth 10 marks, you need to think of 20 relevant points to make in your solution. (Note this doesnt necessarily mean 20 separate points theres likely to be marks for making a statement and then expanding on it and demonstrating understanding.) When youre reading the question, underline the key words to help prompt you when writing up your solution. Make some notes on scrap paper of points that come to your mind straightaway and that you want to use in your solution but remember to answer the question asked! The biggest single mistake that candidates make is to answer a question that they wish had been asked! Read the question carefully make use of the information youre given in the question. For example, if youre told that a new product is going to be sold through a particular distribution channel, think about how your answer can be tailored to take into account the distribution channel youve been told the company is going to use. 35 Planning how youre going to answer the questions Planning how youre going to answer the questions Prioritising the order in which youre going to answer the questions Writing up your answers Perfecting those answers Practicing the techniques before the exam!

Work out how long youll have to answer the question. Try allowing 1.5 minutes per mark so for a 7 mark question, give yourself about 10 minutes to write your answer.

Now move on and read through all of the questions, underlining the key words, making rough notes and working out how long youve got to answer each question.

Prioritising the order in which youre going to answer the questions

The last thing you need to do in your 15 minutes reading time is decide on the order in which youre going to answer the questions. You can answer them in any order you choose. There are different approaches you can use here:

Answer the questions on the subjects you know best first. This will boost your confidence. But a word of warning - take care to stick rigidly to the time you have allocated for each question. You can always come back to the question later if you have time at the end and want to write more.

Answer the longest questions first since these require the most effort and planning. You need to be confident of your solution if you take this approach. Again, take care not to spend more than the time you have allocated for writing your solution.

Answer the shortest questions first to get them out of the way. If you do this you MUST take care not to lose careless marks by rushing your answers and not writing a full enough solution. Easy marks are often lost on short questions.

You must attempt all questions. You are very unlikely to pass if you totally miss out a question. Attempt the question you know least about last. Write down some obvious points its likely that you will score some marks.

Lastly, sort your rough notes into the order in which youre going to answer the questions and youre ready to start the exam. 3. Writing up your answers

Start with the question youve decided to answer first. Check the time and write it down then work out the time that you must finish writing up your answer and write that down too. This will put sufficient pressure on you to write quickly throughout the whole exam if you do this at the start of each question.

Reread the question thoroughly. If its a longer question, reread all of the parts together, as they will usually be related and this will help you not to answer parts (ii) and (iii) when youre writing your answer to part (i).

36

Make sure your answer flows in a logical order and make it easy for the examiners to mark by guiding them through your solution: For long questions, use sub-headings Underline key words in your solution Use bullet points if this helps you to make your script look neater BUT make sure you write full sentences if the command word requires them. A common mistake is to use bullet points and not explain your answer fully (e.g. a higher mortality assumption is conservative yes but why is that true for this particular question? Make sure you demonstrate understanding when required.) Keep your writing legible throughout the whole exam if an examiner cant read your writing then they cant give you marks for whatever they cant read! If you know that your handwriting is poor, you must practice writing quickly AND neatly prior to the exam and get in the habit of keeping it legible. Make sure that all of the points you noted on scrap paper during the reading time actually make it onto your script. Its easy to forget some points that youd thought of earlier. 1.19 Be very strict with your time. Keep checking the time whilst writing your solution. When the time you have allocated is up, move on to the next question. There is an opportunity cost principle here candidates generally score most marks in the first page of their answer, with fewer marks being gained on each subsequent page. So you will score more marks by moving onto the next question at the correct time than writing another two pages of solution for the previous question. If you intend to return to a question, leave plenty of space to continue your solution and mark the paper so that you dont forget to go back. 4. Perfecting your answers Allow a small amount of time at the end of the exam to go back through your answers: Reread your answers. Make them clearer by rewording them if you have time Check that your writing is legible (rewrite any odd words that you cant read yourself!) Add any last bullet points you can think of but dont repeat points already made. Add any headings or underline any words that you think will make it easier for the examiner to mark your script. Make sure that each page of your answer script is headed up properly. Lastly, breathe a huge sigh of relief that its over! 37

5.

Practicing the techniques before the exam

The techniques outlined above need to be practised. They should be second nature so that you dont even spend time trying to remember them.

Practise, practise, practise! You must do as many past exam papers as you can prior to the exam. To get the most out of this, you must do them under exam conditions, in 3 hour sittings with no interruptions and you must write full solutions to each of the questions. Dont just write down bullet points and then read the full solution in the examiners report and think yes Id have written all of that if I were answering this in an exam you wouldnt!! You must practice answering questions fully and train yourself to use the techniques above to give yourself the best chance of passing.

The actuarial exams are not easy but provided you know your subject well and know how to answer the questions you will pass.

Study Time (Adopted from the Students Handbook for the UK Actuarial Profession)

The actual amount of time each student needs to spend on a particular subject will vary from student to student. Quality of study time is far more important than quantity of study time. However, the following guidelines are suggested:

Core Technical subjects (CT1CT8)

between 125 and 150 hours depending on the subject and an individual students past educational background in the subject.

Business Awareness Module (CT9) Modelling (CA2)

25 hours plus two-day course

Core Applications Concepts (CA1)

400 hours

20 hours (this assumes that some of the preparation for this module forms part of Work-based skills) plus two-day course Communications (CA3) Specialist Technical subjects

50 hours

200 hours

Specialist Applications subjects

taken with UK Practice Modules

300 hours

It is therefore suggested that a reasonable workload for any one study session from November to June might be: Three Core Technical subjects Core Applications Concepts Two Specialist Technical subjects One Specialist Technical subject and the chosen Specialist Applications subject Some other comparable combination

38

The study session from June to November is shorter and so it may be difficult for a student to study at the same rate during this time. A student who studies every session with no failures could be expected to attain Fellowship within three years. 3.18(ii) Beyond the known landing your first actuarial job (This article is authorized by Mr. Akash Gupta and Mr. Robert Johnsen and is reproduced from the Actuary India December 2005 issue) With the Indian Non Life Insurance Industry on the verge of detarrification whats inevitable is the importance of Actuaries in the industry. Enough has been said about that. What else? Shrinking margins, higher claims disbursement, and increasing competition in recent years in the global insurance markets; more than 1500 General Insurance companies and 1300 health insurance companies in the US alone; hefty cost of actuarial expertise in the west; 4000, and a still increasing number of aspiring actuaries in India and ASIs admirably growing initiatives on mutual recognitions with actuarial societies worldwide - the Actuarial profession in India is all set to scale new heights. But, is clearing exams sufficient for actuarial students to meet the recruiters expectations? Gone are the days when there was an acute shortage of actuarial students and a few exams were sufficient to get through a job opening. Not to infer that exam focus is not important, but more is needed. An increasing number of junior actuarial students are frustrated about the fact that they are not able to find a job. Why cant I get a job? I have cleared three exams! Unfortunately, 3-exam clearance is becoming a commodity for employers and is often not sufficient to get a job. If you find yourself in this situation, here are a few traits that would add to your actuarial expertise and improve your chances of landing your first job in the actuarial field. Excellent Analytical Skills: No matter how proficient you are in remembering complex probability distribution functions, their moments, and generating functions; no matter how instantly you recollect what the ChapmanKolmogorov equation is what actually matters is the application. Given a real life situation, how good are you in using your knowledge is what finally matters. In real life, you would just open your books and pick out the probability density if that is what you need the application part is finding out which density for which situation. Good Communication Skills: Theoretically, technical expertise should speak of what you can do. But, unless you are able to communicate it, how will the world know what you are capable of? 39

Further, English is the international insurance language. The lack of ability to express yourself in English is often a reason for declining a person for a job. This is unfortunate because students who are otherwise very talented get rejected for this very reason. Written and spoken English skills, therefore, are essential and a must-have.

IT Skills: There was a time when IT skills where a nice addition to your resume. Today, it is almost a mandate to have some IT exposure and a perfect combo if you have proper expertise. But remember, if you had a course where someone explained C++ to you and you never actually did any programming yourself, then the learning is limited. You need to have hands-on experience before claiming to know the skill.

If you have recently landed your first actuarial job, here are few things that the employer would be looking for.

Sincerity on Work Front and Exam Focus: First and foremost, sincere execution of a given job responsibilities is minimal requirement on the part of any employee. The best way to demonstrate that you are ready for the next level is to ace your current responsibilities. Moreover, for an actuarial student cum employee, whats equally important is the undeviating exam focus. Unwavering efforts towards attainment of the actuarial designation and demonstration of skills acquired are keys to growth.

Long-term Vision: The initial phase of almost all technical jobs is not the very high-end stuff. But, only by understanding a process in details can one become an expert. It is the same for the actuarial field.

The initial phase of an actuarial career begins with the basics. If you thought that you were going to use your high-end statistical knowledge from day one, you will probably be disappointed.

Whats vital is to have a long-term vision with the organization and a fair amount of patience. Your hard work will surely reap returns. Establishing your credibility with the organization is the key to move to the next level.

Most experienced students would probably be able to switch jobs and earn a little more. Frequent job shifts may be a good strategy in the short term, but you have got to realize that it takes time to build expertise. Two years in a company will not make you an expert. If you feel that way, there is most likely something you have missed. Just scratching the surface is not who we are. We are experts in the deep complexities of the business.

Remember, it is the job of any employer to select and promote the best candidate for an open position. If you could not make it through - Dont take it personally. Request feedback to improve yourself. Unsuccessful interviews are just point estimates in your long and exciting career as an actuary. They are not permanent thumps down for any future actuarial openings.

Get back in the game, be persistent and improve your market value by clearing exams and following some of the advice above. Good luck. 40

3.19 Candidates are not permitted to keep books, notes, periodicals etc. with them in the examination hall at the time of the examination and / or use mathematical tables (except those supplied by the Society for use in the examination hall by the candidates) etc. during the examination. Possession of the above mentioned or like items would be construed as adoption of unfair means. The use of scientific calculator is permitted during the course of answering the paper but it should not be able to store prior data and should not be programmable. However, the Society does not take any responsibility for providing such calculators. Further, the candidates are forbidden to write their names in the answer scripts or supplements. Action on the use of unfair means etc. (a) The Education Board takes the view that serious punishment should be awarded to candidates who resort to unfair means. Accordingly, candidates who do so, run the risk of being temporarily or permanently debarred from sitting at further examinations of the Society by the Education Board. (b) Where the Education Board has reason to believe that unfair means have been adopted by a number of candidates individually or in concert at any examination centre or there has been mass copying or that there has been leakage of question papers, the Education Board may cancel the result of all the candidates who appeared at any centres or at more than one centre or at all centres. The decision of the Education Board in this respect shall be final and binding on the candidates. (c) The Education Board or the authority empowered in this behalf shall have the right: (i) (ii) (iii) (iv) to disqualify a candidate who, they have reason to believe has received or given unfair assistance at the examination; to cancel the result of such candidate in all or any of the papers of the examination at which he may have appeared; to report his name to his employers; and to take such other action against him as the Board in its absolute discretion, deems fit.

EXAM CONDUCT

As appeal against the decision of the Chairman (Education Board) or Vice Chairperson (Education Board), shall lie to the Education Board provided that the appeal is submitted within three months from date of receipt by the candidate concerned of the communication conveying the decision.

No appeal shall lie against any decision of the Education Board.

The Chairperson (Education Board), or failing him the Vice Chairman (Education Board), may from time to time, issue such instructions or directions as may be necessary to give effect to and carry out the provisions of these Regulations and in order to secure effective control over the candidates appearing and / opting to appear for the examination at any centre or centres as the circumstances and nature of the case may require.

Alterations to Syllabus and Regulations: The Education Board reserves the right to alter, amend or revoke, from time to time, the time-table, Syllabus and rules providing for all matters relating to the examinations and the fees payable by candidates.

The decision of the Education Board shall be final and binding on the candidates concerned. A decision to debar a candidate temporarily or permanently from sitting at further examinations of the Society or to take any other action shall be taken by the Chairperson (Education Board), or in his absence, Vice Chairperson (Education Board). 41

42

Appendix 1

If you wish to start the examinations, the ASI should receive this application, together with the necessary fee by the appropriate date shown below: Examination Session May 2006 October/November 2006 4.
Title Mr / Ms

ACTUARIAL SOCIETY OF INDIA

302, Indian Globe Chamber, 142, Fort Street, Off D N Road, Fort, Mumbai 400001 E-mail: education@actuariesindia.org Website: www.actuariesindia.org

Affix Your Photograph here

Last date of receipt of application: 31st Jan 2006 15th July 2006

NAME AND DATE OF BIRTH

Surname Full Name other than surname (BLOCK LETTERS) (BLOCK LETTERS)

Date of Birth

APPLICATION FORM FOR STUDENT MEMBERSHIP N.B: Before completing this form the applicant should study the Instructions and Information given below. The completed form should be lodged with the Society at the above mentioned address only.
NOTES FOR APPLICANTS 1. Applicants are strongly recommended to discuss the implications of entering the actuarial profession with an actuary before submitting this application. It is emphasized that the examinations as a whole will call for close application to study over a period of years. Admission as a Student of the Actuarial Society of India will normally be granted to an applicant who meets the minimum entry standards prescribed in the Student Handbook, copy of which is available from the Society or can be viewed on the website, www.actuariesindia.org When this application has been approved, the applicant may become a student member by paying the appropriate Admission fee alongwith Annual Subscription fee which is as under; 7.
Status Admission fee (one time only) Annual Total amount to be Subscription remitted (renew in April every year) Rs. Resident in India Resident outside India 300/1500/Rs. 300/1500/600/3000/-

DD MMY Y Y Y

5.

ADDRESS

STD Code

Tel. No. 2. E-mail

PIN Code

Fax. No.

Mobile No. 6.

EMPLOYERS DETAILS, if employed. Name Address

3.

STD Code

Tel. No.

Fax. No. Address for correspondence (tick as appropriate): Residential 8.

Work

Are you member of any other actuarial body? If so, please give the name and class of membership. Name Membership status

43

44

9. achievements attained with dates starting with XIIth Standard. Examination successes
Year examination Body (State also the class and honours, if any) Title of Examining Subjects passed and Marks/Grades obtained

Please give details of Schools, Colleges and Universities and Professional

Signature ................................................................ Date ..............................

............................................................................... Place .............................

Name (BLOCK LETTERS) ....................................................................................

Before signing this declaration you are strongly advised to read the Memorandum of Association and Rules & Regulations of the Society which is available on our Website www.actuariesindia.org . Hard copies of these are available at ASI.

FOR OFFICE USE ONLY Rcpt. No. NB: Please enclose attested true copies of educational certificates and marksheets for all the examinations from 10+2 onwards. Please also attach proof of date of birth, if the same is not included any of these documents. 10. DECLARATION TO BE SIGNED BY APPLICANT I apply for admission as a Student Member of Actuarial Society of India. If my application is approved I agree to conform to the Rules and Professional Conduct Standards of the Society as they now exist or as they may in future be altered, amended or enlarged, and I will to the best of my ability promote the objects of the Society. I understand that to withdraw from membership I must inform the Society of my resignation and that after payment of any arrears, delivery of books, papers or other property of the Society, I will be free from these obligations. I further declare that I have not applied earlier to the Society for admission as a member. Note: In case the applicant applied earlier for admission as a member, the details of same should be furnished including whether such admission was granted or denied. Amount: Initial: Date:

45

46

Appendix - 2 Schedule of Membership and Subscription Fees

Sr.No Subject

Appendix -3

Schedule of Examination & Study material Fees

1.

The Admission fee to any class of membership shall be equal to one years annual subscription at the rate mentioned below for the appropriate class of membership to which the admission is sought. The admission fee is a one-time payment. The annual subscription has to be renewed every year on 1st April as per the Rule 6 of Rules & Regulations. The subscription should reach ASI office by local cheque or demand draft on or before 30th June every year. The current subscription rate applicable are as under; Class of Membership Resident in India (Rs.) Fellows / Affiliates Associates Students 300 750 2,250 1,500 1,500 3,000 (Rs.) Resident in rest of the world
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11.

Examination Concessional Price for Old New Price for New Fees Students who have already subject Students (Amt in Rs.) purchased study material for the corresponding

Soft Copy

Hard Copy

Soft Copy Hard Copy

Core Technical Stage CT1-Financial Mathematics CT2-Finance and Financial Reporting CT3- Probability and Mathematical Statistics CT4-Models CT5-General Insurance, Life and Health Contingencies CT6-Statistical Methods CT7-Economics CT8-Financial Economics CA1 - Core Applications Concepts CA11- Paper on Assets CA12- Paper on Liabilities and Asset-Liability Management 12. CA3 Communications Specialist Technical Stage (ST) 13. ST2 - Life Insurance 14. 15. 16. 17. ST3 - General Insurance ST4 - Pension and Other Employee Benefits ST5- Finance and Investment A ST6- Finance and Investment B Specialist Application Stage (SA) 18. 19. SA2 - Life Insurance SA3 - General Insurance 2000 2000 1800 1800 1800 1800 1800 900 900 900 900 900 900 900 900 3000 1500 1500

2.

750

1500

1000

2000

750

1500

1000

2000

750

1500

1000

2000

750

1500

1000

2000

750

1500

1000

2000

750

1500

1000

2000

750

1500

1000

2000

750

1500

1000

2000

1000

2000

1500

3000

1000

2000

1500

3000

1000

2000

1500

3000

If the subscription is not received on or before 30th June every year the membership will be treated as lapsed. If Reinstatement has to be sought for lapsed membership, the following terms and conditions will apply; 1. If the request for reinstatement is received within three months of ceasing to be a member, then the payment of the annual subscription plus a penalty of 25% thereon. (Applies to members whose subscription is outstanding only for the current year). If the request for reinstatement is received after three months of ceasing to be a member, he has to pay existing annual subscription, in addition to penalty of 50% of the annual subscription prevailing at the time of reinstatement. (Applies to members whose subscription is outstanding only for the current year). Where subscription is in arrears for more than one year, reinstatement subject to approval of EC can be made on payment of subscription for 2 years together with penalty of 50% on the current annual subscription. 47

1000

500

750

600

1200

1000

2000

1500

3000

1000

2000

1500

3000

1000

2000

1500

3000

1000

2000

1500

3000

2.

1000

2000

1500

3000

1500

3000

2000

4000

1500 20. SA4 - Pension and Other Employee Benefits 2000

3000

2000

4000

3.

1500 21. SA6 - Investment 2000

3000

2000

4000

1500

3000

2000

4000

48

Appendix-4
3. i) READINGMATERIAL For subjects of CT, CA, ST and SA series additional reading beyond the ActEd Core material may be selected from what are listed for the corresponding subjects for the examinations of the Institute of Actuaries, London. (ii) ADDITIONALREADING MATERIAL: The additional reading material for ST series under each subject as prescribed below is meant to enhance understanding of the core reading material as prepared by ActEd. However, it is not meant to be examined and hence no questions will be set on the content of the additional reading material. 1. i.) Concept of Investment Efficiency & its application to investment management structures by T. M. Hodgson, S. Breban etc.- BAJ.Vol.6. Part III, No.28 - including the discussions. Actuaries and Derivatives by Mr. M.H. D. Kemp, in BAJ. Vol.2 The financial management of Unit Trust and Investment Companies by M/S S. J. B. Mehta, M. G. Abbot, D. T. Addison and others - BAJ. Vol.2 Financial Services and investment markets in a low inflation environment by M/S P.J. Nowell, J. R. Crispin, M. Iqbal etc. - BAJ. Vol.5 Part V Introduction to the formation of investment strategy for life insurance companies and pension plans by Mr. R. H. Stapleford & Mr. K. W. Stewart - a SoA study note. CA 11 Assets and ST6 Investment 4.

Subject CA12 and ST4 Pensions and other Employee Benefits:

The Role and Responsibilities of Actuaries in the Defined Contribution Environment in the United Kingdom by M A Stocker, MA; FIA. & Others BAJ Vol. 5 Part IV, NO. 24

Pension Fund Valuations and Market Values by S J Head, FIA BAJ Vol. 6, Part I, No. 26

For SA subjects:

The ActEd Study material has been edited of, those parts that are specific to UK application. The additional reading material as given under each subject is part of core reading. However, it is not meant to be examined and hence no questions will be set on the content of the additional reading material. Subject SA6 - Investment: (i)

Concept of Investment Efficiency & its application to investment management structures by T. M. Hodgson, S. Breban etc.BAJ.Vol.6. Part III, Vol.28 - including the discussions. (ii) (iii) (iv) (v) (vi)

ii.) iii.)

Investment Strategy for Actuarial Profession by David Kingston.

Life Office Investment Strategy - a SIAS paper (1992)

Economic Survey - 2002-03 released by Planning Commission [and which appeared in newspapers on 26th February 2001.]

iv.)

Actuaries and Derivatives by Mr. M.H. D. Kemp, in BAJ. Vol.2

v.)

The financial management of Unit Trust and Investment Companies by M/S S. J. B. Mehta, M. G. Abbot, D. T. Addison and others - BAJ. Vol.2 (vii)

2. i)

Subject CA12 and ST3 General Insurance: Assessing the Solvency and Financial Strength of a General Insurance Company JIA 114, Part II By Chris Daykin Hon.D Sc; FIA & Others Actuaries and General Insurance JIA, Vol 113, No 455 Part III by W M Abbott, MA; FIA. (iii) Reserving for Catastrophe Reinsurance JIA 121, Part I, No 478 By D H Craighead, MA; FIA. (viii)

Financial Services and investment markets in a low inflation environment by M/S P.J. Nowell, J. R. Crispin, M. Iqbal etc. - BAJ. Vol.5 Part V

Introduction to the formation of investment strategy for life insurance companies and pension plans by Mr. R. H. Stapleford & Mr. K. W. Stewart.- a SoA study note. (ix)

(ii)

RBI Monetary and credit policy for the year 2002-2003/ 2003-2004. (x) (xi)

Macro Economic and Monetary Developments in 2002-2003

49

Investment risk and Asset modeling by R T Howie Bbuss, August 1997. 50

(xii) 3. (i) Subject SA4 :

The Concept of investment efficiency and its application to investment management structures Hodgson, Tim M, Breban, Stephan J, Ford, Chris L Introduction to the formation of investment strategy for life insurance companies and pension plans (SoA Study Note) Stapleford, R H,; Stewart, K W. (ii) (iii)

(x)

2nd GCA Business Planning for new General Insurance Company by Cook, Ann Maree

(xiii)

Employees Provident Funds and Miscellaneous Provisions Act 1952 and in particular as this applies to Employees Deposit linked insurance and Employees Pension Scheme 1995

In addition, the students are advised to read any of the daily financial newspapers - Financial express, Economic Times or the Business Standard - regularly. 5. (i) British Actuarial Journal Vol. 1, Part 4, No. 4 October 1995: Asset Shares and their use in financial management of a with profits fund by P D Needleman, FIA and T A Roff, FIA Page No. 603 to 670 British Actuarial Journal - Vol. 2, Part 3, No. 8 August 1996: An Alternative to the Net Premium Valuation method for statutory Reporting by P G Scott, FIA, S F Elliott,FIA, L J Grey, FFA, T W Hewitson, FFA, D J Lechmere,FIA, D Lewis, FIA and P D Needleman, FIA Page No. 527 to 585 Actuarial Investigations of Life Assurance Offices in India - A Retrospective Review By - R.M. Mehta, FIA, FASI Subject SA2:

Pensions aspects of takeovers; a review of Practice by A S Garner, P N Thornton and A J Wise: JIA 113

The Financial Theory of Defined Benefit Pension Schemes by C J Exley, SJB Mehta & A D Smith: BAJ 3 pp 835-966

(ii)

(iii) 6. (i) (ii) (iii) (iv) (v) (vi) (vii) (viii) (ix) Aspect of Pricing in London Market Subject SA3:

BAJ Vol.4 Part IV

Loss reserves in London Mkt. BAJ Vol. .I Part IV Actuaries in General Insurance JIA. 113 , Part III No.45 Determination of Investment Returns for discounting outstanding reserves JIA Vol. 113, Part III No.45 Reserving for Catastrophe reinsurance JIA.121 Part I Assessing Solvency & Financial strength in General Insurance JIA. Vol.114, Part II Statistical Motor rating effective use of Data JIA. Vol.119 Part III Risk Based Capital in General Insurance, BAJ. 2, No. Page 265-323. Valuation of General Insurance JIA. 117, Part No. Page 597-669

51

52

Use of study material

All the study material up to ST Subjects and some part of the study material for SA subjects is owned by Institute of Actuaries & Faculty of Actuaries and the Act Ed of the U. K.. The Actuarial Society of India (ASI) is authorized to use this material.
Date & Day Subject 15/05/06 Monday SA1 Health & Care SA2 Life Insurance SA3 General Insurance SA4 Pensions and Other Employee Benefits SA5 Finance SA6 Investment 16/05/06 Tuesday 17/05/06 Wednesday CT3 Probability & Mathematical Statistics CT4 Models 1. CT4 (part 1) 103 (Stochastic Modelling) 2. CT4 (part 2) 104 (Survival Models) 18/05/06 Thursday 19/05/06 Friday 22/05/06 Monday 23/05/06 Tuesday 24/05/06 Wednesday 25/05/06 Thursday CT1 Financial Mathematics CT2 Finance & Financial Reporting ST5 Finance and Investment A CA11 Assets Life and Health Contingencies CT6 Statistical Models

Appendix 5(i)
FORENOON

Examination Timetable May 2006

AFTERNOON

From

To

Subject

From To

10.15* - 13.30 Hrs ST1- Health

14.15* - 17.30 Hrs

Act Ed material as well as other study material produced by ASI is a copyright of ASI and is meant to be used either as a study material for examinations or as reference material by the members. The material is also supplied on demand, to academic institutions for library purposes. The material whether produced by ASI or that of Institute of Actuaries and ActEd is strictly for use by the purchaser only and for the purpose as stated above. Caution: Any direct or indirect use of the material for the purpose other than as mentioned above will invite disciplinary action under ASIs code of conduct such as suspension or removal from membership including that of communication to the employer of the member for necessary action.

and Care Insurance

10.30 13.30 Hrs

CT7 Economics

14.30 - 17.30 Hrs

ST2 Life Insurance 14.15* - 17.30 Hrs

10.30 12.00 Hrs

12.00 13.30 Hrs

CT5 General Insurance, 10.30 13.30 Hrs

ST3 General

14.15* - 17.30 Hrs

Insurance

10.30 13.30 Hrs

ST4 Pensions

14.15* - 17.30 Hrs

&Other Employee

Benefits

10.30 13.30 Hrs

CT8 Financial

14.30 - 17.30 Hrs

Economics

10.30 13.30 Hrs

CA3

14.15* - 16.45 Hrs

Communications

10.15* 13.30 Hrs ST6 Finance and

14.15* 17.30 Hrs

Investment B

10.15* 13.30 Hrs CA12 Liabilities

14.15* 17.30 Hrs

and Asset-Liability

Management

Notes:

1 * Includes 15 mins. for reading question paper. Thereafter candidates will have three hours except for CA3 (twand half hrs) for writing the answers. 2 Arrangements for CT9 and CA2 will be announced separately

53

54

Appendix 5(ii)
Examination Timetable October/November 2006 FORENOON
Date & Day Subject 30/10/06 Monday SA3 General Insurance SA4 Pensions and Other Employee Benefits SA5 Finance SA6 Investment 31/10/06 Tuesday 01/10/06 Wednesday 3. CT4 (part 1) 103 (Stochastic Modelling) 4. CT4 (part 2) 104 (Survival Models) 02/11/06 Thursday Contingencies 03/11/06 Friday 06/11/06 Monday 07/11/06 Tuesday 08/11/06 Wednesday Investment A 09/11/06 Thursday CA11 Assets ST5 Finance and Financial Reporting CT2 Finance & Mathematics CT1 Financial CT6 Statistical Models 10.30 13.30 Hrs. ST4 Pensions &Other Employee Benefits 10.30 13.30 Hrs. CT8 Financial Economics 10.30 13.30 Hrs. CA3 Communicaions 10.15*-13.30 Hrs. ST5 Finance and Investment B 10.15*-13.30 Hrs. CA12 Liabilities and Asset-Liability Management 14.15*-17.30 Hrs. 14.15*-17.30 Hrs. 14.15*-16.45 Hrs. 14.30-17.30 Hrs. 14.15*-17.30 Hrs. Life and Health Insurance CT5 General Insurance, 10.30 -13.30 Hrs. ST3 General 14.15*-17.30 Hrs. 12.00 13.30 Hrs 10.30 12.00 Hrs CT4 Models ST2 Life Insurance 14.15*-17.30 Hrs. Mathematical Statistics CT3 Probability & 10.30 - 13.30 Hrs. CT7 Economics 14.30 -17.30 Hrs. SA2 Life Insurance Care Insurance SA1 Health and Care 10.15*-13.30 Hrs. ST1 Health and 14.15*-17.30 Hrs From To Subject From To

Appendix 6

AFTERNOON Sr. No 1. 2.

Calendar of Important Closing Dates for Examination

Particulars New Admission for Student Membership Last date of filling Examination form With late fees of 25% per subject Withdrawal of examination form Examination Dates 3. 4.

May 2006 31st January 2006

Oct/Nov 2006 15th July 2006

4th March 2006 19th August 2006

11th March,2006 26th August 2006

4th April,2006

19th September 2006

15th May 2006 To 25th May 2006

30th October 2006 To 9th November 2006

Notes: 1 - * Includes 15 mins. for reading question paper. Thereafter candidates will have three hours except for CA3 (twand half hrs) for writing the answers. 2 - Arrangements for CT9 and CA2 will be announced separately 55

56

Appendix 7
8.

Shri Chhaju Ram Memorial Scholarship Endowment:

PRIZES AND AWARDS

Prize for Scoring Highest Mark in a subject
1. The prize money of Rs. 500/- is awarded to the candidate who secures the highest marks in subject CT3 Probability & Mathematical Statistics in each of the exam diets. 2. This prize money of Rs. 500/- is being awarded to the candidates securing the highest marks in Subject CT1 Financial Mathematics in each of the exam diets. 3. Shri K P Sarma Prize Fund: The prize money of Rs. 1000/- is awarded to the candidates who secures the highest marks in subject CT4 (part 1) Stochastic Modelling in each of the exam diets 4. Shri Atma Ram Memorial Scholarship Endowment: This prize money of Rs. 500/- is being awarded to the candidates securing the highest marks in subject CT4 (part 2) - Survival Models in each of the examinations diet 5. Shri Atma Ram Memorial Scholarship Endowment: This prize money of Rs. 750/- is being awarded to the candidates securing the highest marks in Subject CT5 - General Insurance, Life and Health Contingencies in each of the exam diet 6. Smt Parvati Devi Scholarship Endowment: This prize money of Rs. 750/- is being awarded to the candidates securing the highest marks in Subject CT6 - Statistical Models in each of the exam diet 7. Prof R M Joshi Prize Fund: This prize money of Rs. 500/- is being awarded to the candidates securing the highest marks in Subject CT7 - Economics in each of the exam diet 57 15. 14. 13. 12. 11. Shri K R Talpade Memorial Prize: 10. Shri H V Krishnamurthy Prize: 9.

This prize money of Rs. 750/- is being awarded to the candidates securing the highest marks in Subject CT2 - Finance & Financial Reporting in each of the exam diet

Prof G S Diwan Centenary Commemoration Prize:

This Prize money of Rs. 2000/- is awarded to candidates securing highest marks and passing in subject CT8- Financial Economics in each of the exam diets.

Shri J R Joshi Prize Fund:

The prize money of Rs. 1000/- to be awarded to candidates securing highest marks and passing in subject CA3 - Communications in each of the examinations held in the year.

Liyaquat Khan and K S Gopalakrishnan Prize Fund:

The prize money of Rs. 1000/- to be awarded to candidates securing highest marks in subject CA11 - Assets in each of the examination diet.

Late Shri Janardan Pundalik Nerurkar Prize Fund:

The Prize money of Rs. 1000/- to be awarded to Candidates securing highest marks and passing in subject ST2 - Life Insurance in each of the exam diet.

Mr Peter Akers Prize Fund:

The Prize money of Rs. 1000/- to be awarded for the best performing student in subject ST3 General Insurance in each of the examinations held in the year.

Shri K A Pandit Memorial Prize Fund:

The prize money of Rs. 1000/- is awarded to students securing the highest marks in Subject ST4 Pensions and Other Employee Benefits in each of the examination diet.

Prof G S Diwan Memorial Prize Fund:

The prize money of Rs. 750/- is awarded to the student securing the highest mark in subject SA2 Life Insurance in each of the examinations held during the year.

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ACADEMIC EXCELLANCE AWARD

TATA AIG Life Insurance Company Academic Excellence Award for Subject CA11 Assets Eligibility Eligibility A student passing with highest marks in subject CA11: Assets in each of the two examinations conducted in a Calendar Year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award 1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each. 2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year. 3. The prize, Silver Trophy and a Letter of recognition/certificate of merit will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from TATA-AIG/ASI. Birla Sun Life Academic Excellence Award for Subject CA3-Communications Eligibility A student passing with highest marks in subject CA3: Communication in each of the two examinations conducted in a Calendar Year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award 1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each. 2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year. 3. The prize, Silver Trophy and a Letter of recognition/certificate of merit will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from Birla Sun Life Insurance/ASI. 59

Milliman Academic Award for Academic Excellence for Subject ST1: Health and Care

A student passing with highest marks in subject ST1: Health and Care Insurance in each of the two examinations conducted in a Calendar Year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award

1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each.

2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year.

3. The prize, Silver Trophy and a Letter of recognition/certificate of merit will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from Milliman/ASI.

Max New York Life Award for Academic Excellence for Subject ST2: Life Insurance Eligibility

A student passing with highest marks in subject ST2: Life Insurance in each of the two examinations conducted in a Calendar Year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award

1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each.

2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year.

3. The prize, Silver Trophy and a Letter of recognition/certificate of merit will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from MNYL/ASI. 60

EMB Consultancy (of UK) Academic Excellence Award in Subject ST3: General Insurance Eligibility A student passing with highest marks in subject ST3: General Insurance in each of the two examinations conducted in a Calendar year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. Eligibility The Award 1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each. 2. A personalised silver Trophy. Each eligible student will keep it for six months in the year. 3. The prize as well as Silver Trophy will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from EMB/ASI. 4. Appropriate publicity will be given to the eligible student in the Actuary India and in an in-house publication of EMB LIC of India Academic Excellence Award Subject ST4 Pension and Other Employee Benefits Eligibility A student passing with highest marks in subject ST4: Pension and other employee benefits in each of the two examinations conducted in a Calendar year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award 1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each. 2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year. 3. The prize as well as Silver Trophy will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from LIC of India/ASI. 61

4. Appropriate publicity will be given to the eligible student in the Actuary India.

RGA Academic Excellence Award for Subject SA2 Life Insurance

A student passing with highest marks in subject SA2: Life Insurance in each of the two examinations conducted in a Calendar year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award

1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each.

2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year.

3. The prize as well as Silver Trophy will be awarded in a suitable function such as pre-GCA Dinner or some other occasion at the hands of an official from RGA Re/ASI.

4. Appropriate publicity will be given to the eligible student in the Actuary India and in an in-house publication/s of RGA Reinsurance

Royal Sundaram Alliance General Insurance Company Academic Excellence Award for Subject SA3 General Insurance Eligibility

A student passing with highest marks in subject SA3- General Insurance in each of the two examinations conducted in a Calendar year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award

1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each.

2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year.

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The prize as well as Silver Trophy will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from Royal Sundaram Alliance General Insurance Company / ASI. K A Pandit Consulting Actuary Memorial Award and Trophy for Academic Excellence in Subject SA4: Pension and Other Employee Benefits Eligibility A student passing with highest marks in subject SA4- Pension and Other Employee Benefits in each of the two examinations conducted in a Calendar year. In case two or more students get exactly the same marks, the three Examiners will be requested to grade on some other criterion decided by them and the top one thus selected will be eligible. The Award 1. The eligible student for both the examinations in a year will get a cash prize of Rs. 10,000/- each. 2. A Personalised silver Trophy. Each eligible student will keep it for six months in the year. The prize as well as Silver Trophy will be awarded in a suitable function such as pre-GCA Dinner of some other occasion at the hands of an official from M/s K A Pandit Consulting Actuaries/ ASI Fellowship Prize Meena Sidhwani Memorial Fund Eligibility A student who has cleared all the papers including exemptions leading to fellowship within a span of 5 years from the date of admission as a student in ASI or the actuarial body for which the exemption have been obtained. In case there are more than one student, the selection will be done on the basis of shortest time limit taken and highest mark in 400 series subject. In case if equality still persists, then the prize will be shared equally. The amount of prize will be decided by the Education Board on case-to-case basis.

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