health care actuarial

Health care actuarial science involves using mathematics, statistics, and financial theory to analyze health care costs and risks. Actuaries assess the likelihood of various health events, such as illness or injury, to help insurance companies set premiums and reserves. They consider factors like age, health trends, and medical advancements to predict future expenses. This analysis ensures that insurers can provide coverage responsibly while maintaining financial stability. In essence, health care actuaries play a crucial role in balancing risk and financial management within the health care system.