ACTEX Learning (AL): How many practicing actuaries do you have?
Victor Hugo Molinas (VHM): Just one - me. There are some local people who do work that is related to actuarial science, but have not studied this formally. Some businesses bring in consultants from outside the country.
AL: What is the word for actuary in your local language?
VHM: Actuario
AL: When was actuarial science first introduced?
VHM: I can't answer exactly, but some of the pension funds have actuarial reports from the 1950s. These works were usually carried out by multilateral organizations.
AL: What is your favorite part about being an actuary?
VHM: The work we carry out has a real impact on people, whether it be new product development or the technical support for a new law.
AL: How did you decide to study actuarial science?
VHM: I realized that there was a big need here for expertise in mathematics and econometrics. My father was involved with the national insurance commission, and in my research, I found out about actuarial science and the fact that there weren't any actuaries here. This led me to decide to go "next door" to Argentina to study.
AL: Can you share an interesting anecdote from your career?
VHM: In my company, we begin a "young professionals" program, and heavily recruited employees with a technical background to work in my department in order to support our actuarial work. This was of great help in improving our organization's reports.
On a lighter note, once a company asked me to analyze the pricing of a group life policy within 24 hours. I asked for the data regarding the lives involved, and they brought me a pile of folders full of papers, and said that all the information was in there. I had to explain to them that I couldn't work with data in that way, and definitely not in 24 hours!
AL: What developments on the horizon could affect future opportunities in your country?
VHM: Many international companies with a branch in Paraguay are going to seek to implement Solvency II, and this will require a great deal of work to implement.
AL: What have you seen from inside your company? Where do you think the changes to actuarial work in your country will happen in the next five years?
VHM: There needs to be a regulation requiring the presence of someone with actuarial knowledge within insurance companies, for reserves and pricing. There should be the requirement of a certain level of statistical analysis.
AL: Who are the main employers of actuaries?
VHM: Pension funds with defined benefits schemes and life insurance companies.
AL: What qualifications do you find most important for upcoming actuaries?
VHM: An actuary should be able not only to determine ratemaking, actuarial liability or make reports for financial statements, but also develop new products and find solutions for current issues.
AL: Do the schools in your country have actuarial majors, minors, concentrations or do students study on their own or overseas?
VHM: Schools do not have actuarial majors or minors, it is a topic in Statistics in the School of Economics. I studied Actuarial Science in Argentina.
AL: What is the credentialing procedure like for an actuary in your country?
VHM: There is not credentialing procedure for an Actuary in the country.
AL: What is the reputation of actuaries in your country?
VHM: The reputation of the actuaries is that we are professionals that focus on the mathematical aspects of the problem and not on how our work actually affects individuals.
AL: Is there anything else you would like to share?
VHM: If anyone is interested in learning more about the Paraguayan market, feel free to contact me at victor.molinas@mgc.com.py.