Actuarial Exam Preparation

Actuarial Science is a desirable field for career changers who possess strong quantitative skills.  Actuaries need a Bachelor’s degree and students must complete coursework in economics, applied statistics, and corporate finance, as well as pass a series of exams to become certified professionals.

Transitioning to actuarial careers takes commitment.  The first few  years for entry-level actuaries can be demanding, with both work and study taking large amounts of time.  Most companies give their entry-level employees time on the clock to study, but it is also expected that a large majority of the study time will be done off the clock.

During the first couple of years in actuarial sciences you may find yourself working and studying for many hours

There are certain individuals who are done studying and taking tests once they reach an Associate Status, while others move towards the Fellow Status, based on their interests or career goals.  It can take about 3 to 5 years to obtain an Associate Status and up to another 3 to 5 years to obtain Fellow Status. To learn more about the different levels of status in Actuarial Science, please visit the Society of Actuaries website here: https://www.soa.org/member/

Visit Student Financial Services for current tuition and fees. You can also review options for discounts, grants, loans, scholarships, and more here.

UVM’s Actuarial Science Certificate prepares students to take the first two actuarial exams.  There are two courses in particular that we recommend that students take as a part of their preparation for the P/1 and FM/2 exams.

STAT 2510/Applied Probability is recommended for students preparing for the P/1 exam.  MATH 2700/Fundamentals of Financial Mathematics is recommended for students preparing for the FM/2 exam.

There are other exams beyond the P/1 and FM/2, but these are generally not taken until you have a few years of experience in the field.

You can visit the websites below for more information on the exam process:

• General Information
• For Associate Status
• For Fellow Status

The Validation by Educational Experience (VEE) Credentials are something that you can apply for once you have passed at least two actuarial exams and are working in the field of actuarial sciences.  The following courses available through UVM’s Actuarial Science Certificate are designed to help students qualify for these credentials:

EC 1400/Principles of Macroeconomics and EC 1450/Principles of Microeconomics qualify students for the Economics VEE Credit.  Both courses are required.

STAT 2830/Statistics for Business qualify students for the Applied Statistical Methods VEE Credit.

BUS 2800/Managerial Finance qualify students for the Managerial Finance VEE Credit.

For more information about the VEE credentials and the qualification process, please visit the Society of Actuaries’ webpage here: https://www.soa.org/education/exam-req/edu-vee.aspx

In general, students may take the courses in the Actuarial Science Certificate in any order they wish.  It is important to note, however, that some courses do have prerequisites (please see “What prerequisites do I need?” below).

Most students will choose to start with STAT 2510/Applied Probability or MATH 2700/Fundamentals of Financial Mathematics as they begin to prepare for the P/1 and FM/2 exams.  Please note that the exams themselves can be taken in any order.  Students do not have to pass the P/1 exam before taking the FM/2 exam.

Once students have passed their first two exams, they can then continue with the other courses in the certificate in order to qualify for the Validation by Educational Experience (VEE) Credentials (please see “What are the Validation by Educational Experience (VEE) Credentials” above).

Other students may choose to take the VEE Credential courses at the same time as the two exam prep courses.  For more information about an academic plan that will work best for you, please contact a program advisor at learn@uvm.edu or at 1-800-639-3210

Students wishing to take STAT 2510/Applied Probability and MATH 2700 /Fundamentals of Financial Mathematics to prepare for the P/1 and/or FM/2 exams need to have taken up through Calculus II in order to meet the course prerequisites.  If students are not ready for Calculus, they can begin with College Algebra or Pre-Calculus.  At UVM, students can fulfill these requirements through one of two sequences:

1. MATH 1012/College Algebra > MATH 1212/Fundamentals of Calculus I > MATH 1224/Fundamentals of Calculus II
2. MATH 1034/Pre-Calculus > MATH 1234/Calculus I . MATH 1248/Calculus II

While we do our best to offer the necessary prerequisites online, not all of the above courses may be available online every semester.

Students wishing to take the P/1 exam should take STAT 2510/Applied Probability and then plan to take an extra four weeks to prepare for the exam through self-study and practice problems.

Students wishing to take the FM/2 exam should take MATH 2700/Fundamentals of Financial Mathematics and then plan for an extra four weeks or more to prepare through self-study and practice problems before taking the exam.  A little more time may be required to prepare for the

FM/2 exam because of the wide range of material that it covers.

It is recommended to do enough practice problems so that the different types of problems become familiar and solution methods become intuitive.

There are a lot of practice problems available online. Students can also purchase exam prep books.

The total preparation time varies by student, but most students will spend around 500 hours preparing for the two exams.

Please note that it is not recommended to study for both exams at once.

According to the Bureau of Labor Statistics Occupational Outlook Handbook, the employment of actuaries is projected to grow 23% from 2022 to 2032, much faster than the average for all occupations.

Students who have passed at least one or two actuarial exams and have had an internship should have the best job prospects for entry-level positions.

For more information, please visit the Bureau of Labor Statistics website.

Students are able to take the exams all over the U.S. and the world at Prometrics testing centers.  Find a testing center and exam schedules.

Please submit this completion form after you have received your final grades for the program. Once your request has been reviewed and successful completion of the program has been confirmed, a certificate of completion will be emailed to you.

International students are welcome to participate in the Actuarial Science Certificate courses that are offered online.  However, it is important to note that participation in the certificate does not qualify students to receive an invitation letter or any other documentation from UVM to travel to the United States for the purposes of the program.

The University of Vermont is able to certify VA benefits for this program. If you intend to use VA benefits for this program, please apply to the program and contact UVM’s Veterans Affairs Coordinator, David Carlson, via email at dcarlson@uvm.edu or by phone at (802) 656-0581 to inform the university of these intentions.